Consumer complaint received 2024-11-05 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account information incorrect
Company: UPGRADE, INC.
State: CA

Complaint narrative:
Upgrade is still reporting my account when they've sold it to a third party, XXXX XXXX XXXX. I recieved a letter from Uprage confirming this and I sent out a letter stating : Dear Upgrade, Inc., I received your valuation letter about my account being sold to XXXX XXXX XXXX, a copy of the letter will be attached to this letter. I am writing to formally request the immediate removal of credit reporting related to my account referenced above, as this account has been sold or transferred to a third party. I believe the continued reporting of this account constitutes a misrepresentation and violates several provisions of applicable law, including the **Fair Credit Reporting Act ( FCRA ) ** and **Uniform Commercial Code ( UCC ) **. 

1. **Misrepresentation of the Account 's Ownership** As of XX/XX/, the account associated with the above number was sold or otherwise transferred to another entity. Under the **Uniform Commercial Code ( UCC ) **, specifically **UCC 9-315**, once the account is sold, the original creditor no longer has a claim or interest in the debt. Therefore, Upgrade , Inc. no longer holds a legitimate right to report this account as if it were still active under its name. The continued reporting of this account after the sale constitutes misrepresentation. 

2. **Violation of the Fair Credit Reporting Act ( FCRA ) ** Under the **Fair Credit Reporting Act** ( FCRA ), specifically **15 U.S.C. 1681c** ( a ) ( 1 ), once a debt is sold or assigned, the original creditor must update or delete the information that no longer accurately reflects the accounts current status. The **CFR Title 16, Section 681.2** also mandates that credit reporting must be accurate, and failure to update or delete this information constitutes a violation of the FCRA.

Inaccurate reporting under the FCRA can result in fines and penalties for the reporting entity. Specifically, under **15 U.S.C. 1681n**, if a creditor willfully fails to comply with the requirements of the FCRA , they may be subject to : - **Actual damages** suffered by the consumer ( e.g., damage to credit score, higher interest rates, or other financial losses ) - **Statutory damages** ranging from {$100.00} to {$1000.00} per violation - **Punitive damages** if the violation is found to be willful - **Attorneys fees and court costs** if the consumer prevails in a lawsuit In addition, under **15 U.S.C. 1681o**, if the violation is found to be negligent, the creditor may be liable for actual damages and may be subject to penalties of up to {$1000.00} per violation, as well as attorneys fees.

3. **Inaccuracy and Harm to Credit Report** The continued reporting of this account, despite its sale or transfer, misrepresents the nature of the debt and has lead to significant harm to my credit score, my ability to obtain credit, and my financial well-being. The failure to delete or update this account on my credit report violates both **FCRA** and **UCC** provisions regarding accurate and honest reporting of debt.

Request for Action In light of the above, I respectfully request the following : - **Immediate removal** of the account from my credit file with all major credit bureaus, and - **Confirmation** in writing that the account has been deleted from all credit reporting agencies where it may have been reported.

Please ensure that this deletion is completed within the legally required 30-day period, as set forth in the **Fair Credit Reporting Act**. If this issue is not resolved in a timely manner, I will be forced to escalate this matter, including filing complaints with the **Consumer Financial Protection Bureau ( CFPB ) **, the **Federal Trade Commission ( FTC ) **, and potentially pursuing legal action to seek both damages and penalties for the willful or negligent failure to comply with the FCRA.

Company response to consumer: Closed with explanation