Consumer complaint received 2024-08-23
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: TRANSUNION INTERMEDIATE HOLDINGS, INC. (NC)

I am filing this complaint because the " State Employees CU/PSCU '' account ( Account Number : XXXX ) is being inaccurately reported by TransUnion and XXXX, despite having been successfully removed from XXXX after a previous dispute. Furthermore, the dispute regarding this account is still open under the CFPB, yet XXXX has recently updated this account on my credit report without resolving the inaccuracies. 

Legal Violations : Inaccurate Reporting of Balance After Charge-Off : The account was charged off, meaning it was written off as a loss by the creditor. However, both TransUnion and XXXX continue to report a balance of {$1100.00}, which is legally inaccurate. According to IRS guidelines and FCRA 607 ( b ), the balance should be reported as zero after a charge-off, as the creditor no longer expects to collect on the debt. 
Inconsistent and Inaccurate Reporting of Late Payments : XXXX report shows that this account is in a charged-off status, yet there are no XX/XX/year> days late payment entries. This inconsistency directly violates FCRA 611 ( a ) ( 1 ) ( A ), as an account can not be charged off without first being late for 180 days. This shows clear inaccuracy in the reporting of this account.

Failure to Properly Investigate Disputes : This account has been disputed multiple times. Despite this, TransUnion and XXXX have not corrected the inaccuracies, showing a failure to conduct a reasonable investigation as required under FCRA 611 ( a ). The continued reporting of this account is not only inaccurate but also demonstrates a disregard for federal law. 
Active CFPB Dispute : The dispute regarding this account is still open on the CFPB site, indicating that the investigation is ongoing. However, XXXX has recently updated this account on my credit report without addressing the issues in the dispute. This action is a violation of my rights under the FCRA and further evidences the lack of a proper investigation. 
Removal from XXXX : This account has already been removed from XXXX, proving that the information was inaccurate. The failure of TransUnion and XXXX to follow suit is a violation of FCRA 611 ( a ) ( 5 ) ( A ), which mandates that any inaccurate information must be promptly corrected or deleted after a proper investigation.

Resolution Sought : Immediate Deletion of the Account : I demand the immediate deletion of this account from both my TransUnion and XXXX credit reports due to the violations mentioned. 
Monetary Compensation : I am seeking {$1100.00} in damages for the ongoing harm to my creditworthiness and the time and effort expended in disputing this inaccurate information.

Formal Confirmation : I expect formal confirmation from both TransUnion and XXXX that this account has been deleted and that no further reporting or collection activities will occur. 
Notice of Intent to Sue : If this issue is not resolved immediately, I am prepared to take legal action for continued violations of the FCRA and seek further damages for the ongoing harm caused by these inaccuracies.

1. Violation of 15 U.S. Code 1692e False or Misleading Representations : Under the Fair Debt Collection Practices Act ( FDCPA ), it is illegal for any debt collector ( which includes entities reporting debt information to credit reporting agencies ) to use any false, deceptive, or misleading representation in connection with the collection of any debt. Reporting a balance that should legally be zero due to a charge-off is a deceptive practice and a violation of this law.

2. 15 U.S. Code 1681s-2 Responsibilities of Furnishers of Information : Creditors and furnishers have a responsibility under the FCRA to report accurate information. The creditor ( State Employees CU/PSCU ) may be in violation of 1681s-2 ( b ), which requires that upon receiving notice of a dispute from a credit reporting agency, the furnisher must conduct an investigation and correct any inaccuracies. The failure to update or correct this information after multiple disputes suggests non-compliance with this law.

3. 15 U.S. Code 1681c Requirements Relating to Information Contained in Consumer Reports : This section of the FCRA specifies that adverse information ( such as charge-offs ) must be reported accurately. The law prohibits the inclusion of misleading information that does not accurately reflect the status of the debt. Given that this account has inconsistencies in reporting ( e.g., charge-off with no late payment history in TransUnion ) , this could be argued as a violation of 1681c.

4. 15 U.S. Code 1681i Procedure in Case of Disputed Accuracy : The FCRA mandates that credit reporting agencies ( CRAs ) must perform a reasonable investigation when a consumer disputes the accuracy of an account. Given that the account has been previously removed from XXXX but remains on TransUnion and XXXX, it could be argued that these CRAs have not conducted a reasonable investigation, as the results are inconsistent across bureaus. This potentially violates 1681i ( a ).

5. Fair Credit Billing Act ( FCBA ) 15 U.S. Code 1666 : While typically associated with billing disputes, the FCBA requires creditors to correct billing errors promptly. The continued reporting of an incorrect balance and charged-off status may be seen as a billing error under this statute. The ongoing reporting issues suggest a failure to adhere to FCBA regulations, particularly if the debt was misreported after the creditor failed to provide accurate billing information.