Consumer complaint received 2025-01-20 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: NISSAN MOTOR ACCEPTANCE COMPANY LLC
State: MI

Complaint narrative:
Subject : Formal Complaint Against Nissan for Improper Credit Reporting, Re-aging of Debt, and Violations of the FCRA and FDCPA 1. Description of the Problem This complaint concerns Nissan Account # XXXX, which was a lease with a maturity date of XX/XX/XXXX. The vehicle was returned on XX/XX/XXXX, with a balance of {$4100.00}, stemming from a dispute over damages allegedly caused to the headlights. 

The key issues with Nissans handling of this account are : Re-aging of Debt : Nissan has repeatedly re-aged this account, falsely updating its status as open and active while inaccurately reporting payment obligations. 
This ongoing re-aging creates the misleading appearance that payments are due, despite the lease term having ended in XXXX. 
Erroneous Credit Reporting on All Three Bureaus : Nissan reported the account as " open, '' with a balance owing and $ XXXX monthly payments, to all three credit bureaus : XXXX : " Full termination/balance owing. '' XXXX : " Full termination/balance owing. '' XXXX : " Lease - full termination. '' These inaccurate entries made it appear as though I was delinquent on payments when there was no active obligation. 
Failure to Adequately Investigate or Correct Errors : When I disputed the reporting, Nissan failed to adequately investigate and correct the errors. Instead, they responded with comments like Completed. Investigation of FCRA dispute - consumer disagrees and This has already been investigated. 
Collection Efforts on a Disputed Debt : In XXXX, I received a collection letter for the balance owed on this terminated lease, further demonstrating improper debt collection practices. 
These actions by Nissan have caused significant harm to my creditworthiness, leading to a decreased credit score, difficulty obtaining a home loan, and forcing me to purchase a vehicle through Carvana under less favorable terms. 

2. Violations Cited and Applicable Laws Fair Credit Reporting Act ( FCRA ) Violations : 15 U.S.C. 1681s-2 ( a ) : Furnishers must report accurate information to credit bureaus. Nissans re-aging of this account and inaccurate reporting of payment obligations constitute false and misleading information. 
15 U.S.C. 1681i : When a dispute is filed, furnishers must conduct a reasonable reinvestigation to correct inaccuracies. Nissans failure to properly investigate and correct errors violates this provision. 
15 U.S.C. 1681b : Prohibits reporting without a permissible purpose. Nissans ongoing reporting of a terminated lease as open and active lacks a legitimate purpose. 
Fair Debt Collection Practices Act ( FDCPA ) Violations : 15 U.S.C. 1692g : Debt collectors must validate debts upon request. Nissans collection efforts on a disputed debt, without proper validation, violate this provision. 
15 U.S.C. 1692e : Prohibits false or misleading representations. Reporting the account as open, with a balance owing and no payment being made, is deceptive and misleading.

15 U.S.C. 1692f : Prohibits unfair practices, including re-aging and pursuing collections on a terminated lease without adequate investigation or correction. 
Consumer Financial Protection Bureau ( CFPB ) Guidelines : CFPB Rules on Accurate Reporting : Require creditors to provide clear and accurate reporting of debt obligations. Nissans actions violate CFPB guidelines by creating the false impression of delinquency on a lease that had terminated in XXXX. 
Statute of Limitations : Most states impose a 4 to 6-year statute of limitations on collection of lease balances. Nissans collection activity in XXXX on a lease terminated in XXXX is likely outside the statute of limitations, rendering the collection improper. 
3. Penalties Owed According to the Law FCRA Statutory Damages : Nissans reporting to three credit bureaus ( XXXX, XXXX, XXXX ) over a period of 6 years ( XXXX ) constitutes ongoing violations. 
180 violations ( 6 years 3 bureaus ) at {$1000.00} per violation totals {$180000.00}. 
FDCPA Statutory Damages : Improper collection efforts, failure to validate the debt, and misrepresentation of the account constitute multiple violations. 
{$1000.00} per violation plus compensatory damages. 
CFPB Civil Penalties : Reckless and knowing violations of federal consumer protection laws are subject to civil penalties : Tier 2 : Up to {$25000.00} per day for reckless violations. 
For 180 days of reporting violations, penalties total {>= $1,000,000}. 
Compensatory Damages : Financial harm caused by an inability to obtain a home loan and unfavorable vehicle financing terms. 
Emotional distress from ongoing credit damage. 
4. Documented Pattern of Non-Compliance Nissan has a documented history of consumer complaints for similar practices, including re-aging accounts, failing to investigate disputes, and improperly reporting terminated leases. These patterns reflect systemic disregard for consumer protection laws. 
Documented Pattern of Non-Compliance NMAC has exhibited a pattern of similar behavior, as evidenced by : Class Action Lawsuit : In XXXX XXXX XXXX XXXX XXXX XXXX XXXX, plaintiffs alleged that XXXX XXXXXXXX XXXX  with halogen headlamps had a defect causing dimming of the low beam headlights. Nissan settled this lawsuit, providing extended warranty coverage and reimbursements. 
Consumer Complaints : Numerous consumers have reported issues with NMAC regarding end-of-lease balances and improper credit reporting. For instance, a consumer reported an unresolved end-of-lease balance appearing on their credit report for seven years.

Company response to consumer: Closed with explanation