Consumer complaint: This debt resulted from someone checking out a bunch of books from a local library, using a library account that I opened 10 years ago and have n't used since. It was not me. The original creditor library had no process in place to verify the identity of the individual ; even on an account that had been dormant for many years! So this individual racked up a debt, under my name, with out my knowledge, and sent it to this collection agency. I never received a notice or bill, from either the library or this collection agency ; apparently because they were sent to the XXXX old address on file. I never received a call from either organization, which they have XXXX acknowledged as true ... stating the number they had on file for me was bad ( again, it was over 10 years old. ) The only reason I found out about this fraudulent collection account, is because I just recently found it on my credit report when attempting to finance a new vehicle. I have never had an account in collections before. I 've never so much as even been delinquent on XXXX payment to any creditor. My credit report with all XXXX credit reporting agencies shows that - not even late once, to anybody. Yet this XXXX collection account, for a transaction that was conducted fraudulently, had made significant impact to my " credit score '' for purposes of financing terms. 

My " credit score '' XX/XX/XXXX was XXXX. It is now XXXX. The difference in that score equates to an additional {$160.00} monthly, in the financing of my new vehicle. A total of {$11000.00} additional expense XXXX financial harm ) that I will have to pay ... due to a fraudulent transaction. 

I attempted the dispute this debt directly with Unique National Collections, the collection agency who is actually reflected on my credit, and they were unable to assist me. They went so far as to say that I would have to dispute it in writing, only. They refused to notate my account as disputed, or subsequently update that dispute status on my credit profile, based on my " verbal '' dispute. This is a blatant violation of the FCRA and FACTA, and I have that call recorded. 

They instead referred me back to the library creditor, stating they were unable to answer any of my questions ... even though THEY are the data furnisher supplying this harmful information to the credit reporting agencies. 

When I spoke with the creditor library, they provided information regarding the transaction ; supplying the date and book titles checked out of their institution. However, they admitted they have no protocol in place to verify update consumer information, or validate identity, when an account is suddenly used after 10 years of dormancy. It raised no flags to them that someone was checking out XXXX books on witchcraft, in one day, on account that had n't been used/accessed in a decade. They admitted that they had no way to investigate or resolve my claim of fraud, and as concession, offered to have Unique National Collections permanently delete the collection item from my credit profile if I just went " ahead and paid it ''. In fact, both the library and Unique National Collection stated that they would have the item permanently deleted if I paid this disputed debt by XX/XX/XXXX. ( I have those calls recorded as well ) Because of the incredibly detrimental damage this has done to my credit score ... I simply paid the outstanding amount, based on the agreement to delete the negative credit entry. Extortion? Perhaps. But the small amount to pay this account does n't compare to the $ XXXX in auto finance terms alone, caused by this fraudulent account. 

I have now paid the outstanding amount against my better judgement. And, as you may have guessed, they still have not removed this item from my XXXX report. They have violated the FDCPA, the FCRA, and the FACT Act ... and they are still harming my credit over a fraudulent account. 

Company response: Company believes it acted appropriately as authorized by contract or law