Consumer complaint received 2021-11-15
Company: SECURITY FINANCE CORP
State: MO
Product: Debt collection
Sub-product: Other debt
Issue: Took or threatened to take negative or legal action
Sub-issue: Threatened or suggested your credit would be damaged

Complaint:
I am utilizing CFPB as a credible agency to provide evidence in an ongoing complaint I have with XXXX XXXX XXXX. This is my formal notice of intent to sue for compensatory damages. This company has maliciously reported false information on my credit report, they have ignored my written documentation stating this account was fraud and they have repeatedly supplied false information to a government agency ( CFPB ). I wanted to establish a clear and irrefutable trail of documentation to show this companys repeated violation of my rights. This companys continued false reporting on my credit report has impacted my ability to purchase a home and has caused an increase in interest rates thereby causing undue and unjust hardship. 

The details are as follows. 

This company purchased an account from Security Finance XX/XX/XXXX with my maiden name detailed. Without prior correspondence or communication, this company immediately reported this account on my credit bureaus the same month of purchase and falsified information received from Security Finance to negatively impact my credit report. 
This company violated my rights. 
They failed to notify me of the account thereby forfeiting my right to dispute its validity. Due to this unjust and illegal practice, my pre-approval loan to purchase a home was impacted. This company blatantly ignored correspondence sent directly to its company from me advising the account they were reporting was fraud and also the details of the account ( furnished to them by Security Finance Corporation ) were not being reported correctly to the credit bureaus. 
This company falsified the charge off date given to them by Security Finance and reported to the credit bureaus as charged off as of XX/XX/XXXX. This company maliciously re-aged the debt. This company also reported a current balance on a charged off account as well. I contacted this company to verify the information they had on file and indeed, they did have what Security Finance Corporation provided to them however due to malicious collection practices this company falsified the information to the credit bureaus and re-aged the debt along with reporting a current balance on a charged off account. 

The Information Security Finance Corporation provided to XXXX XXXX XXXX is as follows. 
Opened on XX/XX/XXXX Defaulted XX/XX/XXXX. Charged off {$2000.00} opened {$0.00} balance I contacted XXXX XXXX XXXX to verify the information they have on file and a representative confirmed the information above. 

CFPB Records will show how the company reported knowingly reported false information to the credit bureau. 


The Information XXXX XXXX is reporting XXXX : Account Number XXXX Date Opened : XX/XX/XXXX Original Loan Amount : {$1300.00} Past Due Amount : {$1800.00} Status : Charge Off XX/XX/XXXX XXXX : Account Number XXXX Balance {$1300.00} Past Due {$1800.00} Date Closed XX/XX/XXXX Pay Status : charge off Date Updated : XX/XX/XXXX Date Opened XX/XX/XXXX This company responded to a government agency 3x stating false information. 
This company violated the FCRA and this company violated my consumer rights under the FCRA. 

The FCRA requires that those furnishing information to credit reporting agencies ( CRAs ) provide information that is accurate and complete. Furnishers also should prevent re-aging of debt, whereby they report the date of first delinquency as a later date than it actually is. 
They should be particularly careful in circumstances involving mergers, when a portfolio is acquired or sold, or in other situations where debt is transferred. The Federal Trade Commission, the Consumer Financial Protection Bureau and banking agencies also have rules for so-called furnishers. 

If any agency that furnishes information to credit reporting bureaus provides inaccurate information on your date of first delinquency, it could face monetary penalties. 

This company re-aged a debt on purpose and repeatedly reported the false information after receiving disputes from myself. This company responded to the CFPB 3 times with falsified information regarding the account. There are 3 documented occurrences from this that will be used as evidence.

I contacted the original owner of the account ( Security Finance Corporation ) and advised them, the account they sold was from fraudulent activity and they are actively investigating it as there is also an open case with CFPB. At the same time I opened the same dispute with XXXX XXXX XXXX and they failed to notify the credit bureaus and failed to investigate, instead they responded to through CFPB as if the account was accurate even though the original owner is actively investigating. This will also be used as evidence. 

I would like the CFPB to open a deeper investigation into the practices of this company as they are clearly violating consumer rights. 

This documentation will be used to show the ongoing violations XXXX XXXX XXXX has committed and I will be seeking compensatory damages due to this. 

XXXX XXXX XXXX this is my formal notice of intent to sue.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation