Consumer complaint received 2025-03-11 00:00:00
Product: Debt collection — Credit card debt
Issue: Attempts to collect debt not owed — Debt was already discharged in bankruptcy and is no longer owed
Company: Bilateral Credit Corp, LLC
State: TX

Complaint narrative:
I am filing a complaint against Bilateral Credit Corporation for engaging in deceptive and unlawful debt collection practices. They are attempting to collect a debt that was legally discharged in my XXXX  XXXX bankruptcy and are falsely reporting the debt as incurred after my discharge. This is a clear violation of the Fair Debt Collection Practices Act ( FDCPA ) and the Fair Credit Reporting Act ( FCRA ). 

Details of the Debt : The original creditor was XXXX XXXX. 
The account was later purchased by Bilateral Credit Corporation. 
The balance they are attempting to collect is {$3300.00}. 
This debt was included in my no-asset XXXX  XXXX bankruptcy, which was discharged in XX/XX/year>. 

How Bilateral Credit Corporation is Acting Deceptively : 1. False Representation of the Debt Date : Bilateral Credit Corporation is reporting this debt as though it was incurred after my bankruptcy discharge, which is false.

This misrepresentation makes it appear as though I took on new debt post-bankruptcy when, in reality, this debt was fully discharged in my case.

2. Attempting to Collect a Discharged Debt : Under 11 U.S.C. 524 ( a ) of the Bankruptcy Code, creditors and debt collectors can not attempt to collect a debt that has been legally discharged. 
By pursuing collection and reporting this debt as active, XXXX XXXX XXXX is violating my bankruptcy discharge protections. 
XXXX. Providing False Information to Credit Bureaus ( FCRA Violation ) : They are falsely reporting the debt to credit bureaus as if it were a valid post-bankruptcy obligation. 
This inaccurate reporting is harming my credit profile and is in direct violation of the Fair Credit Reporting Act ( 15 U.S.C. 1681s-2 ), which requires that all reported debts be accurate and complete. 
4. Deceptive Collection Practices ( FDCPA Violation ) : By misrepresenting the status of this debt and continuing collection attempts, Bilateral Credit Corporation is engaging in unfair and deceptive practices under the Fair Debt Collection Practices Act ( FDCPA, 15 U.S.C. 1692e ).

This includes false representation of the character, amount, or legal status of the debt.

What I Am Requesting from the CFPB : I am requesting that the Consumer Financial Protection Bureau ( CFPB ) investigate Bilateral Credit Corporation for these unlawful debt collection and credit reporting practices. Specifically, I ask that : 1. Bilateral Credit Corporation ceases all collection activity on this debt, as it was legally discharged. 
2. They correct the credit reporting with all credit bureaus and remove the inaccurate information from my credit report.

3. They face enforcement action for deceptive practices, as they are knowingly violating both my bankruptcy discharge and federal consumer protection laws.

This situation has caused significant harm to my financial standing, and I am requesting urgent attention to this matter. I appreciate your review of this complaint and any steps the CFPB can take to ensure that Bilateral Credit Corporation is held accountable for these violations.

Company response to consumer: Closed with explanation