Consumer complaint received 2023-09-17
Company: Experian Information Solutions Inc.
State: DC
Product: Credit reporting or other personal consumer reports
Sub-product: Credit reporting
Issue: Problem with a company's investigation into an existing problem
Sub-issue: Their investigation did not fix an error on your report

Complaint:
XXXX XXXX Credit Card for XXXX XXXX XXXX closed my store card even when the card was active, payments were made, and billing center had accuracy that correct the response to in which the account should not be closed. They decided to hinder my credit by keeping the card on my account for years after they decided to close the account which is not fair treatment. 3 ) Notification to card issuer. Notification to a card issuer is given when steps have been taken as may be reasonably required in the ordinary course of business to provide the card issuer with the pertinent information about the loss, theft, or possible unauthorized use of a credit card, regardless of whether any particular officer, employee, or agent of the card issuer does, in fact, receive the information. Notification may be given, at the option of the person giving it, in person, by telephone, or in writing. Notification in writing is considered given at the time of receipt or, whether or not received, at the expiration of the time ordinarily required for transmission, whichever is earlier Examples of unfair practices Here are a few examples of what the FDCPA would consider a prohibited practice used to collect on a debt. Debt collectors are not allowed to : Try to collect charges in addition to the debt unless they are allowed by the contract or law ________________________________ Communicate or attempt to communicate with you in connection with the collection of a debt through a social media platform if the communication or attempt to communicate is viewable by the general public or the persons social media contacts ________________________________ Communicate with you by sending an email that the debt collector knows is provided to you by your employer, unless an exception applies Use any language or symbol on an envelope for correspondence with you that indicates it is a debt collector, other than the debt collectors address or business name that doesnt indicate its in the debt collection business Generally, a closed account with negative history can continue to hurt your credit score for seven years This paid off account should be removed in addition to no information being provided and no attempt to collect debt this hinders me from collecting any other type of credit and hinders my credit from rising due to this unjust unfair treatment being placed on my credit. I feel that this is some type of descrimination in efforts to keep me hindered from recieving credit as this hurts my ability to apply for a car, get new housing in which the creditor agrees that the account was paid on time but they continue to have this on my account as a way to hinder my credit I would like to have this item removed Employer-driven debt poses the risk of suppressing wages and forcing workers to stay in jobs they do not want, said CFPB Director Rohit Chopra . When it comes to consumer lending, federal law protects Americans even when they are on duty at work.

Employer-driven debt can cover an array of products and practices, including a workers up-front purchase of equipment and supplies that the employer requires. TRAPs are a common form of employer-driven debt. Companies use TRAP provisions to require workers to agree to pay back the purported costs of training if they leave their jobs before the end of a contractual commitment period. In some instances, workers may have to agree to debt products where the debt must be repaid if the worker leaves the employer before a certain date. 

In XX/XX/2022, the CFPB launched a formal inquiry to seek more information about employer-driven debt. The responses to the inquiry highlighted numerous ways workers experience unique harms related to employer-driven debts. In large part, these harms grow out of the fact that employer-driven debts are inextricably linked to a workers employment, and that the debt is controlled, not by the employer, but by a separate lending entity. Additional risks identified in the report include : Workers are rushed through the loan sign-up process : Workers report that employers may coerce employees to incur debts as a precondition of employment. Some employers even use high-pressure tactics, such as leaving workers with the impression that the job opportunity would not be available if they took time to carefully review and consider loan and contract terms.

Employers use bait-and-switch fine print : When commencing employment, employees are required to sign paperwork that appear to allow the employer or issuer to unilaterally change the terms and conditions of the financial product without worker consent or awareness.

Employer-driven debt puts up barriers to career advancement and higher wages : Despite it often sold to workers as a way to increase earnings and career mobility, employer-driven debt may be structured in ways that require employees to make large payments upon separation. This can impede labor mobility and dissuade employers from raising wages to retain employees. TRAPs, and other forms of employer-driven debt, can have effects similar to non-compete agreements.

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