Consumer complaint received 2024-07-06
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Improper use of your report — Reporting company used your report improperly
Company: Experian Information Solutions Inc. (IN)

To : ** Consumer Financial Protection Bureau ( CFPB ) **Subject : ** Complaint Against Experian for FCRA and Privacy Act Violations **Details of Complaint : ** **I. Inaccurate Credit Reporting and Failure to Address Disputes** I am filing this complaint against Experian due to their handling of my credit disputes, which is in direct violation of the Fair Credit Reporting Act ( FCRA ) and the Privacy Act of 1963. Despite having sent notarized dispute letters and providing all necessary documentation, Experian has failed to address my disputes properly. In contrast, XXXX, which received the same dispute and documentation simultaneously, promptly removed the disputed account. 

1. **Violation of FCRA** : - Experian did not correct errors on my credit report even after I provided a 1099-C form issued by the CFO, which is a cancellation of debt form indicating that the debt has been forgiven. This form should remove the related debt from my credit report, as it has been legally forgiven and reported as income to the IRS. 
- I also sent a privacy opt-out notice with the documentation, which was notarized, requesting that my information not be shared. XXXX acknowledged this and acted accordingly by removing the account, but Experian did not. 

2. **Violation of the Privacy Act of 1963** : - Experian continued to report the forgiven debt as income on my credit report, despite the 1099-C indicating that the debt has been canceled. This is a direct violation of my privacy rights under the Privacy Act of 1963.

3. **Request for Verification** : - I have asked Experian to provide documentation used to verify the accuracy of the disputed account. According to 15 USC 1681a, transactions that have been legally resolved and forgiven ( as indicated by a 1099-C ) should not be reported on a consumer 's credit report.

4. **Permissible Purpose** : - Under 15 USC 1681, information reported on a credit report must have a permissible purpose. The continued reporting of a canceled debt lacks such purpose and therefore violates this statute. 

**II. Comparison with XXXX Actions** XXXX, which was provided the same dispute and documentation, recognized the violations and promptly removed the account from my credit report. This highlights a discrepancy in the handling of my dispute by Experian. If TransUnion acknowledges that the 1099-C indicates a forgiven debt and removes it from the report, Experians failure to do the same suggests non-compliance with FCRA and privacy protections.

Experian, as a global credit reporting agency, collects and maintains data on individuals ' and businesses ' credit histories, which they provide to creditors ( such as banks, lenders, and other financial institutions ) to help assess creditworthiness. This means they facilitate the sharing of credit information between creditors and debtors. Additionally, Experian operates as a publicly traded company on the XXXX XXXX XXXX, issuing and managing its shares. They periodically issue new shares to raise capital and support share incentive plans, while also repurchasing shares to hold as treasury stock, which can be reissued or canceled to manage the company 's equity structure and shareholder value. Including their subsidiary company information solutions Inc Here 's a paragraph addressing the relationship and potential conflict of interest involving XXXX XXXX XXXX, Experian XXXX XXXX XXXX XXXX, and XXXX XXXX XXXX : XXXX XXXX XXXX, headquartered at XXXX XXXX XXXX XXXX XXXX, XXXX XXXX, FL XXXX, is a company whose securities are traded under XXXX Number XXXX XXXX XXXX. Experian Information Solutions , Inc., a wholly owned subsidiary of Experian XXXX XXXX Inc., maintains a complex ownership structure through its parent companies, ultimately linking back to XXXX XXXX, a publicly traded entity. Experian Information Solutions , Inc. has been involved in several legal disputes related to its credit reporting practices, including allegations of inaccuracies and failure to address consumer disputes in compliance with the Fair Credit Reporting Act ( FCRA ). Concurrently, Experian Information Solutions , Inc. conducts business with XXXX XXXX XXXX, which has also faced legal challenges concerning its credit reporting and debt collection practices. This interconnected relationship raises concerns about potential conflicts of interest, particularly regarding the accuracy and fairness of credit reporting affecting individuals like myself. 

**III. Request for Action** - **Documentation** : I request Experian provide the documentation they used to verify that the disputed account should remain on my credit report. Documentation of the bill of sale the car company has from the dealership will show the car as already been paid for. 
- **Account Removal** : I urge the CFPB to require Experian to remove the disputed account from my credit report as XXXX has done.

- **Investigation** : An investigation into Experians practices, particularly their refusal to remove the forgiven debt, and any potential violations of the FCRA and the Privacy Act of 1963.

**IV. Concerns about Organized Practices** Additionally, it is concerning that while XXXX has removed the account, Experian has not. This inconsistency raises questions about Experians practices, especially considering their involvement in buying and selling purchase contracts and loans from different corporations. This situation could indicate potential conflicts of interest or improper incentives to report or maintain certain items on credit reports.

Thank you for your attention to this matter. I look forward to a prompt resolution and further investigation into Experians practices.