Consumer complaint received 2024-08-13
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Improper use of your report — Reporting company used your report improperly
Company: Exeter Finance, LLC. (GA)

I am writing to file a formal complaint against Exeter and XXXX regarding the inaccurate reporting of charge-offs on my credit report. This complaint addresses several violations of federal laws and regulations, specifically those outlined in the Fair Credit Reporting Act ( FCRA ), the Truth in Lending Act ( TILA ), and IRS guidelines as detailed in IRS Publication 4681. 
Summary of Complaint : 1. Inaccurate Reporting of Charge-Offs : The charge-offs reported by Exeter on my credit report are inaccurate and do not reflect the true status of the account. This inaccurate reporting has negatively impacted my credit score and financial standing. 
2. Violation of Truth in Lending Act ( TILA ) : o 15 USC 1601 : The TILA states, " The Congress finds that economic stabilization would be enhanced and the competition among the various financial institutions and other firms engaged in the extension of consumer credit would be strengthened by the informed use of credit. '' The inaccurate reporting of charge-offs by Exeter has deprived me of my rights under TILA to make informed decisions regarding my credit. 
3. Violation of Fair Credit Reporting Act ( FCRA ) : o 15 USC 1681 Section 602 ( a ) : The FCRA requires that consumer reporting agencies, such as XXXX " exercise their grave responsibilities with fairness, impartiality, and a respect for the consumers right to privacy. '' The inaccurate reporting of charge-offs by Exeter violates this standard. 
o 15 USC 1681 Section 604 ( a ) ( 2 ) : As it applies to XXXX, this section stipulates that " a consumer reporting agency may furnish a consumer report under the following circumstances and no other : in accordance with the written instructions of the consumer to whom it relates. '' The charge-offs were reported without my explicit written consent, which violates this section. 
o 15 USC 1681C ( a ) ( 5 ) : This section prohibits consumer reporting agencies, such as XXXX, from including any " adverse item of information, other than records of convictions of crimes, which antedates the report by more than seven years. '' The charge-off information reported is incorrect and beyond the permissible reporting period. 
o 15 USC 1681s2 ( A ) ( 1 ) : This section asserts that " 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. '' The reporting of this charge-off by Exeter is inaccurate and in violation of this statute. 
o 15 USC 1681e : This section mandates that " every consumer reporting agency shall maintain reasonable procedures designed to avoid violations of section 1681c of this title and to limit the furnishing of consumer reports to the purposes listed under section 1681b of this title. '' XXXX failure to maintain such procedures has resulted in the inaccurate reporting of charge-offs on my credit report. 
o 15 USC 1681n : This section outlines civil liability for willful noncompliance with FCRA requirements, including the provision that " any person who willfully fails to comply with any requirement imposed under this subchapter with respect to any consumer is liable to that consumer. '' 4. IRS Guidelines on Canceled Debts ( IRS Publication 4681 ) : o According to IRS Publication 4681, if a debt for which you are personally liable is forgiven or discharged for less than the full amount owed, the debt is considered canceled. However, there are specific conditions under which this canceled debt must be reported as income. The inaccurate reporting of the charge-off by Exeter did not consider the proper tax treatment as outlined in IRS Publication 4681.

5. Violation of 12 CFR 1016.7 : o 12 CFR 1016.7 ( a ) : This regulation affirms that " if you are required to provide an opt-out notice under 1016.10 ( a ), you must provide a clear and conspicuous notice to each of your consumers that accurately explains the right to opt out under that section. '' Furthermore, it states, " A consumer may exercise the right to opt out at any time. '' I am formally opting out of Exeter 's reporting services related to my charge-off account.