Consumer complaint received 2025-10-14 00:00:00
Product: Debt collection — I do not know
Issue: False statements or representation — Attempted to collect wrong amount
Company: Cedars Business Services, LLC
State: TX

Complaint narrative:
XXXX XXXX XX/XX/XXXX XXXX XXXX XXXX XXXX, TX XXXX Data Furnisher : CEDAR BUS SE Re : Dispute of Inaccurate Account Information Under FCRA, FDCPA, and XXXX XXXX Compliance GuidelinesAccount Number : XXXX * * * * Original Creditor : PUBLIC STORAGEBalance : $ XXXX Opened : XX/XX/XXXX ( as reported by TransUnion/Experian XXXX / XX/XX/XXXX ( as reported by XXXX ) Dear Sir or Madam, This letter is a formal dispute of the inaccurate and unverifiable information appearing on my credit report regarding the above-referenced account, pursuant to the Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681 et seq., the Fair Debt Collection Practices Act ( FDCPA ), 15 U.S.C. 1692 et seq., and applicable XXXX XXXX compliance guidelines. I am disputing this information Without Prejudice under UCC 1-308, reserving all my rights and remedies. I demand a permanent deletion of this account from my credit file, compensation for the damages caused by these inaccuracies, and an immediate cease and desist of all debt collection activities and communications. 
Description of Inaccuracies and Violations The account is reported as a collection/charge-off with a balance of {$110.00}, showing Collection/Chargeoff status and Placed for collection or Subject has not satisfied debt comments. Critically, the reporting shows a 180-day late payment without any progression of prior delinquencies ( e.g., no 30-day, 60-day, 90-day, or 120-day late statuses ). This is factually inaccurate and misleading, as it implies a sudden jump to severe delinquency without the required sequential reporting of payment history. The two-year payment history provided in my credit report ( e.g., for months in XXXX and XXXX across XXXX, XXXX, and XXXX ) is incomplete or blank in many fields, further evidencing incomplete and erroneous data.

Under XXXX XXXX compliance guidelines issued by the Consumer Data Industry Association ( CDIA ), delinquency status codes must accurately reflect the progression of an accounts payment history. For example : * Status Code 11 : 0-29 days past due.

* Status Code 71 : 30-59 days past due.

* Status Code 78 : Account closed due to transfer ( e.g., to collections ) .Reporting a 180-day delinquency ( typically after 120-180 days of missed payments ) without documenting the intermediate stages violates these guidelines, as it does not provide a complete and accurate picture of the accounts history. This failure constitutes inaccurate reporting under FCRA 1681e ( b ), which requires consumer reporting agencies ( CRAs ) to follow reasonable procedures to assure maximum possible accuracy of the information in consumer reports. 
Additionally : * The Date of First Delinquency ( DOFD ) appears inconsistent or inaccurate across bureaus ( e.g., implied from last active dates of XX/XX/XXXX or XX/XX/XXXX ), violating 15 U.S.C. 1681c, which governs the permissible reporting periods for adverse items ( seven years from the DOFD for delinquencies ). An incorrect DOFD extends the negative impact unlawfully. 
* The account status codes are in violation, as they do not align with the required XXXX XXXX formats for reporting collections/charge-offs, including proper use of compliance condition codes ( e.g., XB for pending investigation, followed by XA, XC, etc., upon resolution ). 
* No proof of the Method of Verification ( MOV ) has been provided to me following prior disputes, violating FCRA 1681i ( a ) ( 6 ) - ( 7 ), which requires CRAs to disclose the MOV upon consumer request after reinvestigation. 
* The furnisher ( CEDAR BUS SE ) has uploaded false or unverifiable data through the e-OSCAR system, which constitutes the communication of misleading information electronically. This may implicate 18 U.S.C. 1343 ( wire fraud ) for transmitting inaccurate data across interstate lines with intent to deceive.

Under FCRA 1681s-2 ( a ), furnishers of information ( including the original creditor and any debt collector ) must report accurate information and correct inaccuracies. Specifically : * 1681s-2 ( a ) ( 7 ) requires financial institutions to provide notice to consumers before furnishing negative information like delinquencies or late payments. No such notice was provided to me. 
* 1681s-2 ( b ) imposes a duty on furnishers to conduct a reasonable investigation upon notice of a dispute from a CRA, review all relevant information provided by the consumer, and delete or correct unverifiable information within 30 days. An automated check via e-OSCAR does not suffice ; a real, manual investigation is required, including review of original documents. 
Pursuant to Federal Rule of Evidence 1002 ( the best evidence rule ), verification must be based on original documents, not summaries or automated systems. Without originals ( e.g., signed agreements, payment records, or billing statements proving the alleged late payments ), the reported delinquencies are unverifiable and must be deleted. I demand you produce these originals or permanently remove the account. 
Further violations include : * 15 U.S.C. 1681b : Permissible purposes for furnishing reports ; the continued reporting of this inaccurate information without verification exceeds permissible use.

* 15 U.S.C. 1666b : Timing of payments under open-end credit plans requires creditors to treat payments as timely if received by XXXX p.m. on the due date and prohibits late fees without reasonable procedures. If payments were misapplied or not credited timely, this reporting is invalid. 
* 12 CFR 1026.13 ( Regulation Z ) : Billing error resolution, which ties into accurate credit reporting. 
* 15 U.S.C. 1637 ( a ) and 1637b : Disclosure requirements for open-end credit, ensuring accurate reporting of extensions of credit. 
Under the FDCPA : * 1692e prohibits false or misleading representations in debt collection, including inaccurate credit reporting.

* 1692f bans unfair practices, such as reporting unverified debts.

Relevant Case Law Courts have consistently held that inaccurate or incomplete delinquency reporting violates the FCRA. For example : * In Soghomonian v. United States ( XXXX. XXXX. XXXX ), the court emphasized that furnishers must ensure the completeness and accuracy of reported information, including proper delinquency progressions. 
* In XXXX v. XXXX & XXXX, XXXX ( XXXX Cir. XXXX ), the XXXX XXXX ruled that furnishers must conduct reasonable investigations beyond automated reviews, and failure to do so leads to liability for inaccurate reporting. 
* In XXXX XXXX Branch Banking & Trust CoXXXX ( XXXX Cir. XXXX ), the court held that reporting misleading information ( e.g., delinquencies without full context ) violates 1681s-2 ( b ). 
* More recently, in XXXX v. CashCall , Inc. ( XXXX. XXXX XXXX. XXXX ), inaccurate reporting of charge-offs without verifying underlying delinquencies was deemed a willful violation, entitling the consumer to damages. 
* In consumer complaints like CFPB Complaint ID XXXX ( XXXX ), similar issues of false 180-day late payments without progression were upheld as FCRA violations, leading to corrections and compensation.

These precedents confirm that your reporting practices are unlawful and must be rectified.

Demands 1. Immediate Investigation : Conduct a thorough, manual reinvestigation under FCRA 1681i ( a ), reviewing all documentation I have provided ( including this letter ) and any originals from the furnisher. Do not rely solely on e-OSCAR automation.

2. Deletion of Information : Permanently delete the entire account and all associated derogatory remarks from my credit file if unverifiable, pursuant to 1681i ( a ) ( 5 ).

3. Compensation : I demand {$1000.00} in statutory damages per willful violation under FCRA 1681n and 1681o, plus actual damages ( e.g., higher interest rates, denied credit, emotional distress ) totaling at least {$5000.00}, and punitive damages for reckless disregard. Failure to comply may result in litigation.

4. Cease and Desist : Under FDCPA 1692c ( c ), cease all debt collection activities, including communications via phone, internet, email, regular mail, and further credit reporting. Any affiliates ( per 1681e ( b ) ) must also comply.

5. Provide Method of Verification : Furnish a detailed MOV, including all documents reviewed, within 15 days.

6. Notice to Affiliates : If information was shared among affiliates ( per 1681e ( b ) ( iii ) ), provide clear notice and allow me to opt out of such sharing.

Failure to respond within 30 days will be considered a willful violation, subjecting you to liability. I am prepared to pursue legal action, including in small claims or federal court, and will seek attorneys fees under FCRA 1681n ( c ).

Please send written confirmation of all actions taken to the address above.

Sincerely,

Company response to consumer: Closed with explanation