Consumer complaint received 2022-09-30
Company: Regional Management Corporation
State: TX
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account information incorrect

Complaint:
Regional Finance is violating my rights as a consumer. I am putting the company on notice, giving them a chance to cure or be faced with civil liabilities. Let me list the violations. 

Account number XXXX Regional Finance is violating law 15 U.S. Code 1681a - Definitions ; rules of construction ( 2 ) Exclusions.Except as provided in paragraph ( 3 ), the term consumer report does not include ( i ) report containing information solely as to transactions or experiences between the consumer and the person making the report ; The law clearly states that transactions and experiences are excluded from a consumer report. Regional Finance is reporting Payment history which is transactions and reporting utilization which is experience.

Regional Finance is violating law 15usc 1681a ( d ) ( 2 ) ( B ) ( 2 ) Exclusions.Except as provided in paragraph ( 3 ), the term consumer report does not include ( B ) any authorization or approval of a specific extension of credit directly or indirectly by the issuer of a credit card or similar device ; The term credit credit which is a social security card that is used under Truth and Lending is defined as a Credit Card. 

15 U.S. Code 1602 - Definitions and rules of construction ( l ) The term credit card means any card, plate, coupon book or other credit device existing for the purpose of obtaining money, property, labor, or services on credit.

The law clearly states any authorization or approval of a specific extension of credit as a result of a credit card device ( social security card ) is excluded from a consumer report. 

Another violation is under the XXXX XXXX. Discloses are to be given to the consumer which I never have been given by Regional Finance and all conditions have to be met in order for Regional Finance to disclose my non public personal information to non affiliated third parties ( consumer reporting agencys ). I want the company to prove all conditions met under the law. Prove that the company gave an opt out disclosure. Prove that I was given an opportunity to opt out before such information was initially disclosed to third parties. Prove that I was given an explanation on how to exercise my nondisclosure right.

15 U.S. Code 6802 - Obligations with respect to disclosures of personal information ( a ) Notice requirements Except as otherwise provided in this subchapter, a financial institution may not, directly or through any affiliate, disclose to a nonaffiliated third party any nonpublic personal information, unless such financial institution provides or has provided to the consumer a notice that complies with section 6803 of this title ( b ) Opt out ( 1 ) In general A financial institution may not disclose nonpublic personal information to a nonaffiliated third party unless ( A ) such financial institution clearly and conspicuously discloses to the consumer, in writing or in electronic form or other form permitted by the regulations prescribed under section 6804 of this title, that such information may be disclosed to such third party ; ( B ) the consumer is given the opportunity, before the time that such information is initially disclosed, to direct that such information not be disclosed to such third party ; and ( C ) the consumer is given an explanation of how the consumer can exercise that nondisclosure option. 

In addition the Federal Trade Commission states on their government website that these discourses are to be given to the customer yearly. There are multiple accounts being reported by Regional Finance and I have yet to receive any disclosures pertaining to accounts being reported. The Federal Trade Commission states without proper consent according to the law it is fraud or identity theft under 18 U.S. Code 1028- Fraud and related activity in connection with identification documents, authentication features, and information.

Under GLBA, penalties for non-compliance can include fines of up to {$100000.00} per violation, with fines for officers and directors of up to {$10000.00} per violation.

I will be submitting a complaint to the FTC against Regional Finance for non compliance.

15 U.S. Code 1681n - Civil liability for willful noncompliance ( a ) In general Any person who willfully fails to comply with any requirement imposed under this subchapter with respect to any consumer is liable to that consumer in an amount equal to the sum of ( XXXX ) ( A ) any actual damages sustained by the consumer as a result of the failure or damages of not less than {$100.00} and not more than {$1000.00} ; or ( B ) in the case of liability of a natural person for obtaining a consumer report under false pretenses or knowingly without a permissible purpose, actual damages sustained by the consumer as a result of the failure or {$1000.00}, whichever is greater ; ( 2 ) such amount of punitive damages as the court may allow ; and ( 3 ) in the case of any successful action to enforce any liability under this section, the costs of the action together with reasonable attorneys fees as determined by the court.

No contract can supersede federal law. Any contract that violates federal law is FRAUD.

18 U.S. Code 1341 - Frauds and swindles Whoever, having devised or intending to devise any scheme or artifice to defraud, or for obtaining money or property by means of false or fraudulent pretenses, representations, or promises, or to sell, dispose of, loan, exchange, alter, give away, distribute, supply, or furnish or procure for unlawful use any counterfeit or spurious coin, obligation, security, or other article, or anything represented to be or intimated or held out to be such counterfeit or spurious article, for the purpose of executing such scheme or artifice or attempting so to do, places in any post office or authorized depository for mail matter, any matter or thing whatever to be sent or delivered by the Postal Service, or deposits or causes to be deposited any matter or thing whatever to be sent or delivered by any private or commercial interstate carrier, or takes or receives therefrom, any such matter or thing, or knowingly causes to be delivered by mail or such carrier according to the direction thereon, or at the place at which it is directed to be delivered by the person to whom it is addressed, any such matter or thing, shall be fined under this title or imprisoned not more than 20 years, or both. If the violation occurs in relation to, or involving any benefit authorized, transported, transmitted, transferred, disbursed, or paid in connection with, a presidentially declared major disaster or emergency ( as those terms are defined in section 102 of the XXXX XXXX XXXX XXXX XXXX and Emergency Assistance Act ( 42 U.S.C. 5122 ) ), or affects a financial institution, such person shall be fined not more than {>= $1,000,000} or imprisoned not more than 30 years, or both.

Company response to consumer: Closed with explanation