Consumer complaint received 2025-03-02 00:00:00
Product: Debt collection — Payday loan debt
Issue: Attempts to collect debt not owed — Debt was result of identity theft
Company: National Credit Adjusters, LLC
State: CA

Complaint narrative:
Under federal law, there are several provisions that prevent a creditor or debt collector from unfairly reporting a debt to your credit report or from continuing to report inaccurate information. Some of the key laws include : 1. Fair Credit Reporting Act ( FCRA ) - 15 U.S.C. 1681 The FCRA regulates the accuracy and privacy of information on your credit report. Some relevant provisions include : Accuracy Requirement : Creditors and debt collectors must report accurate information. Under the FCRA, if a debt is disputed by the consumer, the reporting agency must investigate and correct any inaccuracies. 
Notification of Negative Information : If a debt is reported, the creditor or debt collector must provide timely notification. They can not report outdated debts ( e.g., debts older than seven years for most negative marks ) under the FCRAs statute of limitations.

Reinsertion of Deleted Information : If a debt was disputed and removed from your report, the creditor can not reinsert it without proper verification.

2. Fair Debt Collection Practices Act ( FDCPA ) - 15 U.S.C. 1692 The FDCPA protects consumers from abusive, deceptive, and unfair debt collection practices, including reporting incorrect or unverified debts to credit bureaus : Debt Validation : If a consumer disputes a debt, the debt collector must cease collection efforts, including reporting the debt, until they validate it ( within 30 days of receiving the dispute ).

No False Reporting : Debt collectors can not report a debt to the credit bureaus that they can not verify or that is invalid.

3. Credit Repair Organizations Act ( CROA ) - 15 U.S.C. 1679 While the CROA mainly targets credit repair agencies, it also reinforces the principle that false information can not be reported on your credit. If a company or individual is attempting to repair your credit by removing valid debt, they are in violation of the law. 

4. State Laws ( Varies by State ) Some states have their own consumer protection laws that offer additional safeguards against creditors and debt collectors wrongly reporting debts. These laws can provide further protections beyond what is offered federally, such as limiting the types of debts that can be reported, extending the time frame for reporting, or requiring more stringent verification practices.

Key Points to Keep in Mind : Debt Validation : A creditor or debt collector can not add a debt to your credit report if they can not validate it upon request. 
Time Limits : Debts can not remain on your credit report indefinitely. Most negative information must be removed after seven years, including late payments and collections.

Disputed Debts : If you dispute a debt, it should not be reported as valid unless the creditor can verify it. This includes ensuring they provide the correct documentation to support their claim.

If a creditor violates these laws, you have the right to dispute the debt with the credit bureaus, seek damages, or even file a complaint with the Consumer Financial Protection Bureau ( CFPB ). The creditor didnt follow none of these steps

Company response to consumer: Closed with explanation