Consumer complaint received 2025-04-02 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account information incorrect
Company: Experian Information Solutions Inc.
State: VA

Complaint narrative:
Dear TransUnion, Equifax, and TransUnion, Subject : Inquiry Regarding the Securitization of Charged-Off Credit Card Debt for account XXXX  XXXX and XXXX XXXX  XXXX XXXX hope this letter finds you well. I am writing to inquire about the securitization processes related to charged-off credit card debt, particularly in light of applicable consumer law codes. As an individual concerned with consumer rights and financial transparency, I believe it is important to understand how these practices affect consumers and their rights under the law. 

Securitization involves pooling various types of debt, including charged-off credit card debt, and converting them into securities that can be sold to investors. This process raises several questions regarding the treatment of consumers whose debts are included in these pools, especially considering the Fair Debt Collection Practices Act ( FDCPA ) and the Truth in Lending Act ( TILA ). 

Under the FDCPA, consumers are afforded certain protections against abusive debt collection practices. It is crucial to ascertain how these protections are maintained when charged-off debts are securitized. Specifically, I would like to understand how the original creditors and subsequent debt purchasers comply with the FDCPA when attempting to collect on debts that have been securitized. 

Furthermore, the TILA mandates clear disclosure of credit terms and conditions. When credit card debt is charged off and subsequently securitized, what measures are taken to ensure that consumers are adequately informed of their rights and the status of their debts? Transparency in this process is vital for consumer protection, and I would appreciate any insights into how these laws are upheld in the context of securitization. 

Additionally, I am interested in understanding the implications of securitization on consumers ' credit reports and scores. How does the sale of charged-off debt affect a consumers credit history, and what recourse do consumers have if they believe their rights have been violated during this process? 

I appreciate your attention to these important matters and look forward to your response. Understanding the intersection of securitization and consumer law is essential for ensuring that consumers are treated fairly and that their rights are protected. 

You are reporting these accounts as being charged off and as a credit card balance therefore it is factually reporting incorrect information which has a negative impact on my credit score. It is not possible for a charge off to be reporting as a charge off and a account with a pass due balance because this contract no longer exists as binding.

I ask that these accounts be removed from my credit report as soon as possible so that your agencies will be in compliance with the FCRA rules and codes of laws.

Please provide validation from these institutions that these accounts have been charged-off as a loss with the IRS as you are reporting it as a charge-off and also as accounts with a balance, there is no reason why a debt thats been reported to the IRS as income can also be a balance on my credit report. Please send your investigation results to me through the mail.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation