Consumer complaint received 2023-11-30
Company: ENCORE CAPITAL GROUP INC.
State: MD
Product: Credit reporting or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account information incorrect

Complaint:
MIDLAND CREDIT you are furnishing inaccurate information to the consumer reporting agencies. 

The reporting of such inaccurate information has caused severe damage to my character, my reputation, my general mode of living, and my ability to obtain credit for personal and house purposes. 

You and your inaccurate reporting have damaged my livelihood. 

( a ) Duty of furnishers of information to provide accurate information ( XXXX ) Prohibition ( A ) Reporting information with actual knowledge of errors A person shall not furnish any information relating to a consumer to any consumer reporting agency if the person knows or has reasonable cause to believe that the information is inaccurate. 
( B ) Reporting information after notice and confirmation of errors A person shall not furnish information relating to a consumer to any consumer reporting agency if ( i ) the person has been notified by the consumer, at the address specified by the person for such notices, that specific information is inaccurate; and ( ii ) the information is, in fact, inaccurate. 


Duty : A moral or legal obligation ; a responsibility Accurate : correct in all details ; exact Prohibition : A law or regulation forbidding something As defined by the IRS : Even if you didn't receive a Form 1099-C, you must report canceled debt as gross income on your tax return.

The IRS clearly defines a charge-off as Gross or ordinary income, INCOME DOES NOT GET REPORTED ON THE CONSUMER REPORT which in fact makes your reporting of this account inaccurate!

By definition, the IRS clearly says a canceled debt or charge-off is income. The reporting of this account as a debt is inaccurate.

15 USC 1681 S-2 says YOU ; MIDLAND CREDIT , are a furnisher of information to a consumer reporting agency.

You ARE PROHIBITED BY LAW to furnish inaccurate information. Cease and desist the reporting of incorrect/inaccurate information immediately.

15 U.S. Code 1681 S-2 ( a ) ( 1 ) ( A ) ( a ) Duty of furnishers of information to provide accurate information ( 1 ) Prohibition ( A ) Reporting information with actual knowledge of errors A person shall not furnish any information relating to a consumer to any consumer reporting agency if the person knows or has reasonable cause to believe that the information is inaccurate.

You are hereby put on notice that you are furnishing incorrect/inaccurate information.

The lender must file Form 1099-C and send you a copy if the amount of debt canceled is {$600.00} or more and the lender is a financial institution, credit union , federal government agency, or other applicable entity as discussed earlier in Chapter 1.

The above paragraph is taken directly from the IRS 2021 publication.

Send me my FORM 1099-C which you should have sent to me when you filed this account as a canceled debt. 

XXXX XXXX XXXX XXXX XXXX XXXX 15 U.S. Code 1681 S-2 ( a ) ( 1 ) ( B ) ( a ) Duty of furnishers of information to provide accurate information ( 1 ) Prohibition ( B ) Reporting information after notice and confirmation of errors A person shall not furnish information relating to a consumer to any consumer reporting agency if ( i ) the person has been notified by the consumer, at the address specified by the person for such notices, that specific information is inaccurate ; and ( ii ) the information is, in fact, inaccurate.

In Conclusion, I have shown you and you have been put on notice that you are reporting inaccurate information. The information is, in fact, inaccurate.

The continued reporting of this information is a clear violation of Law 15 U.S. Code 1681 S-2 of your responsibilities as a furnisher of information.

You have caused me and my family severe harm due to your negligence and inaccurate reporting. This is a final opportunity to cure and DELETE this erroneous, inaccurate account from my consumer report You have 10 calendar days to delete this account from my consumer reports! 

MIDLANDCRE ACCT XXXX XXXX

Company response to consumer: Closed with non-monetary relief