Consumer complaint received 2025-06-30 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account information incorrect
Company: DISCOVER BANK
State: TX

Complaint narrative:
I am filing this complaint against Discover Financial Services for violations of federal and state laws regarding the reporting and handling of inaccurate credit information. Discover is reporting inaccurate and unverifiable information to credit reporting agencies ( CRAs ) regarding an account ending in XXXX. 

This account, which was closed at the credit grantor 's request, reflects inaccurate information regarding the balance, past due amount, payment history, and account status. Discover has failed to ensure the accuracy of this information and continues to report it to CRAs in violation of my rights under the Fair Credit Reporting Act ( FCRA ), Fair Debt Collection Practices Act ( FDCPA ), and Texas Consumer Protection Laws.

Details of the Complaint : 1. FDCPA Violations ( 15 U.S.C. 1692 ) Violation 1 : Unauthorized Communication Through Credit Reporting Relevant Law : 15 U.S. Code 1692c ( Communication in connection with debt collection ) Issue : The continued reporting of this account ( ending in XXXX ) to credit bureaus constitutes a form of communication under 15 U.S. Code 1692c. This communication is unauthorized because I have not consented to continued contact regarding this alleged debt. Discover has failed to validate the accuracy of the information before reporting it, which may constitute a violation if done without proper legal justification.

Violation 2 : False or Misleading Representations Relevant Law : 15 U.S.C. 1692e ( False, deceptive, or misleading representations ) Issue : Discover is reporting this account as valid and collectible, despite discrepancies in the balance, past due amount, and payment history. If this information is inaccurate or unverifiable, Discover is in violation of 1692e ( 2 ) ( A ), which prohibits false representation of the character, amount, or legal status of a debt.

Violation 3 : Unfair Practices Relevant Law : 15 U.S.C. 1692f ( Unfair or unconscionable means ) Issue : Reporting inaccurate or unverifiable information to CRAs without proper disclosure or verification constitutes an unfair practice under 1692f. Additionally, the payment history reflects inconsistencies that further contribute to the inaccuracies.

2. FCRA Violations ( 15 U.S.C. 1681 ) Violation 4 : Failure to Ensure Accuracy Relevant Law : 15 U.S.C. 1681e ( b ) ( Compliance procedures ) Issue : Discover has failed to ensure the maximum possible accuracy of the information it furnishes to CRAs. The reported account ( ending in XXXX ) contains inaccuracies in the balance, past due amount, payment history, and account status.

Violation 5 : Failure to Conduct Reasonable Investigation Relevant Law : 15 U.S.C. 1681i ( a ) ( Procedure in case of disputed accuracy ) Issue : Although I have not previously disputed this account, Discover is still obligated under 1681e ( b ) to ensure the information reported is accurate and complete. Their failure to verify the accuracy of the account before reporting it to CRAs constitutes a violation of the FCRA.

3. Texas Finance Code Violations Violation 6 : Fraudulent or Misleading Representations Relevant Law : Texas Finance Code 392.304 ( a ) Issue : Discover has reported the account ( ending in XXXX ) as collectible, despite inaccuracies and unverifiable information. This constitutes a fraudulent, deceptive, or misleading representation under 392.304 ( a ).

4. Privacy Violations Violation 7 : Sharing Information Without Proper Disclosure Relevant Law : 15 U.S.C. 1681a ( d ) ( Definition of consumer report ) Issue : Discovers privacy policies state that personal information is shared for " everyday business purposes, '' including reporting to CRAs. However, Discover has shared my information in a manner inconsistent with its policies and without proper disclosure, violating 1681a ( d ).

Supporting Documentation : Discover Privacy Policy Documents : These outline Discovers data-sharing practices and obligations under federal law.

What I Am Requesting : To resolve this matter, I am requesting that Discover : Conduct a Reasonable Investigation : Verify the accuracy of the information they have reported to CRAs. 
Provide documentation proving the validity of the account, including : Date the account was opened Account type and loan type Responsibility ( e.g., individual, joint, etc. ) Terms of the account ( e.g., monthly payment amount, length of loan ) High balance, original charge-off amount ( if applicable ), current balance, and current pay status Payment history, last payment date, and the date the account was last updated Provide Supporting Documentation : Copies of the original account agreement or contract Itemized billing statements or payment records Any and all documentation used to verify the accuracy of the information being reported Correct or Delete Inaccurate Information : If Discover can not verify the accuracy of the information, they must correct or delete the inaccurate, incomplete, or unverifiable information from all CRAs. 
Ensure Compliance with Privacy Policies : Provide confirmation that my personal information has been shared only in accordance with Discovers published privacy policies and federal law. 
Next Steps If Not Resolved : If Discover fails to resolve this matter or provide the requested information, I intend to pursue further action, including : Filing additional complaints with the Federal Trade Commission ( FTC ) and Texas Attorney Generals Office.

Initiating legal proceedings under the FCRA ( 15 U.S.C. 1681n and 1681o ), FDCPA, Texas Finance Code, and other applicable statutes.

Legal Precedents Supporting My Complaint : Cushman v. Trans Union Corporation ( 1997 ) : CRAs and furnishers must take reasonable steps to verify disputed information and can not merely rely on the original source.

Norman v. Trans Union , LLC ( 2018 ) : Reinforces the duty to ensure maximum possible accuracy and conduct thorough investigations.

Dennis v. BEH-1, LLC ( 2002 ) : Highlights furnishers responsibility to investigate disputes and correct inaccuracies.

Conclusion : I trust that the CFPB will assist in ensuring that Discover Financial Services complies with federal and state laws, corrects the inaccuracies in my credit report, and provides the requested documentation. Thank you for your attention to this matter.

Company response to consumer: Closed with non-monetary relief