Consumer complaint received 2024-11-23 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: MO

Complaint narrative:
Greetings. This dispute is in reference an account I had with XXXX , that is erroneously reported to credit bureaus. the following companies : XXXX XXXX has serviced a loan, per my request in the last XXXX XXXX. XXXX has failed to comply with 26 CFR 1.6050P-1 - Information reporting for discharges of indebtedness by certain entities. XXXX securitized the loans that I signed for. Pursuant to 12 CFR 324.202, Securitization means a transaction in which : ( 1 ) All or a portion of the credit risk of one or more underlying exposures is transferred to one or more third parties. 

In doing so, they have taken a financial asset and transferred to pass-through entities, which in turn transfers the obligation to another entity and not myself. ( 12 CFR 709.9 Financial asset means cash or a contract or instrument that conveys to one entity a contractual right to receive cash or another financial instrument from another entity. ) Since XXXX initiated the transfers, they are responsible for the informational reporting. 26 CFR 1.6050P-1 ( e ) ( 2 ) ( iii ) Pass-through securitized indebtedness arrangement ( A ) Reporting requirements. 
( B ) Definition. For purposes of this paragraph ( e ) ( 2 ) ( iii ), a pass-through securitized indebtedness arrangement is any arrangement whereby one or more debt obligations are pooled and held for twenty or more persons whose interests in the debt obligations are undivided co-ownership interests that are freely transferrable. Co-ownership interests that are actively traded personal property ( as defined in 1.1092 ( d ) -1 ) are presumed to be freely transferrable and held by twenty or more persons. 

( v ) No double reporting. If multiple creditors are considered to hold interests in an indebtedness for purposes of this paragraph ( e ) ( 2 ) by virtue of holding ownership interests in an entity, and the entity is required to report a discharge of that indebtedness under paragraph ( e ) ( 5 ) of this section, then the multiple creditors are not required to report the discharge of indebtedness. 

26 CFR 1.6050P-1f states : ( 2 ) Furnishing copy of Form 1099-C. The requirement to provide a statement to the debtor will be satisfied if the applicable entity furnishes copy B of the Form 1099-C or a substitute statement that complies with the requirements of the current revenue procedure for substitute Forms 1099. 

( 3 ) Time and place for furnishing statement. The statement required by this paragraph ( f ) must be furnished to the debtor on or before XX/XX/XXXX of the year following the calendar year in which the identifiable event occurs. The statement will be considered furnished to the debtor if it is mailed to the debtor 's last known address. 

This account is listed on my credit file as charge-off and/or delinquent status, and now qualifies as an identifiable event and was to be reported pursuant to 26 CFR 1.6050P- ( a ) ( 1 ) ( b ) and a ( b ) ( ii ) ( 3 ) When the contract with XXXX was securitized and transferred to another entity , they were to report the discharge of indebtedness, on an informational return, to the IRS by XX/XX/XXXX of the following calendar year. Furthermore, they were to furnish a copy of the Form 1099C on or before XX/XX/XXXX of the year following the calendar year in which the identifiable event occurs. The statement will be considered furnished to the debtor if it is mailed to the debtor 's last known address. ( 26 CFR 1.6050P-1f. I have yet to receive a copy of any Form 1099Cs from XXXX. 

According to information the company has provided to XXXX XXXX XXXX XXXX, the purchase agreements, XXXX XXXX XXXX XXXX, XXXX XXXX XXXX XXXX, XXXX XXXX XXXX XXXX, XXXX XXXX XXXX XXXX, and XXXX XXXX XXXX ( the sellers ) will sell the loans to XXXX XXXX XXXX ( the depositor ), which will then sell the loans to the issuing trust ( see attached XXXX XXXX XXXX XXXXXXXX Transaction Structure ). XXXX has XXXX XXXX XXXX XXXX listed on its prospectus as an Investment Grade Rating Agency used to rate the notes they sell. 

Additionally, per XXXX prospectus dated XX/XX/XXXX, XXXX will provide the specific prices and terms of these securities in one or more supplements to this prospectus at the time of offering. You should read this prospectus and any accompanying prospectus supplement carefully before you make your investment decision. We refer to our debt securities, common stock, preferred stock, warrants and units collectively as the securities. Any or all of the securities may be offered and sold separately or together. The debt securities and preferred stock may be convertible into or exchangeable or exercisable for other securities. 

Conclusively, XXXX XXXX has not only generated income from the sale of the contract I have provided, they have failed to report such income to the IRS. They have not correctly reported my account as paid in full to the credit bureaus. They have willfully reported delinquent payments to the bureaus without my consent to report. These are violations found under the Code of Federal Regulations, the Internal Revenue Code, Fair Debt Collections Privacy Act, the Family Educational Rights, the Fair Credit Reporting Act, and Privacy Act, and the Securities Exchange Act of 1934. 

Attached you will find a portion of the prospectus, provided by XXXX , as well as XXXX XXXX XXXX XXXXXXXX transaction structure for XXXX.

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