Consumer complaint received 2025-10-24 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Improper use of your report — Reporting company used your report improperly
Company: OneMain Finance Corporation
State: NY

Complaint narrative:
This complaint is directed against ONEMAIN FINANCIAL GROUP, LLC ( ONEMAIN ), for the continued furnishing, verification, and reporting of inaccurate, incomplete, and unvalidated credit information in violation of the Fair Credit Reporting Act ( FCRA, 15 U.S.C. 1681 et seq. ), Fair Debt Collection Practices Act ( FDCPA, 15 U.S.C. 1692 et seq. ), and New York consumer protection statutes ( GBL 349 and 380XXXX ). 

ONEMAIN has repeatedly failed to provide verification of the alleged charge-off, the chain of account ownership, or the accounts original validation documents after formal written dispute requests. Its ongoing reporting to XXXX, XXXX XXXX XXXX constitutes a pattern of reckless furnishing and willful disregard for consumer protection law. 

ACCOUNT IN QUESTION ONEMAIN Account Number : XXXX Date Opened : XX/XX/XXXX Reported Balance : {$11000.00} Status : Charged Off SUMMARY OF ISSUE The above account has been reported as charged off, yet ONEMAIN has not produced the legally required Method of Verification, validation of debt, or breakdown of principal, fees, and interest. Additionally, the account lacks documented proof of sale or assignment, despite indications that the account may have been transferred to a third-party collector.

This omission violates FCRA 623 ( b ) ( duty to investigate disputes ), XXXX XXXX section 4.2.2 ( data integrity standards ), and New York General Business Law 380-j ( 3 ) ( duty to correct or delete unverifiable information ). The continued furnishing of unverifiable and potentially duplicate tradelines causes direct harm to the consumers creditworthiness, constituting unfair and deceptive acts under both federal and state law. 

FEDERAL LAW VIOLATIONS Fair Credit Reporting Act ( FCRA ) 602 ( A ) : Congressional findings emphasize accurate and fair reportingviolated by the continued transmission of unverifiable data.

607 ( b ) : Failure to ensure maximum possible accuracy of reported information.

623 ( a ) ( 1 ) ( A ) : Furnishing information known or reasonably expected to be inaccurate. 

623 ( a ) ( 3 ) : Failure to mark the account as disputed during the reinvestigation process.

623 ( b ) ( 1 ) : Negligent and willful failure to investigate and correct disputed information upon notice from the consumer reporting agencies.

611 ( a ) ( 1 ) ( A ) : Failure to provide documentary evidence or verification to the consumer after reinvestigation. 

Fair Debt Collection Practices Act ( FDCPA ) 807 ( 2 ) ( A ) : False representation of the character or legal status of the alleged debt.

809 ( b ) : Continued collection or reporting activity without first validating the debt upon written request.

Dodd-Frank Act / CFPB Authority ( 12 U.S.C. 5536 ( a ) ( 1 ) ( B ) ) Engaging in unfair, deceptive, or abusive acts or practices ( UDAAP ) by reporting unvalidated, inaccurate tradelines, and failing to correct known errors upon dispute notification. 

NEW YORK STATE LAW VIOLATIONS New York General Business Law ( GBL ) 349 ( a ) : Prohibits deceptive acts or practices in the conduct of business ; furnishing false or unverifiable charge-off data constitutes a deceptive act likely to mislead consumers. 

New York General Business Law 380-j ( State Fair Credit Reporting Act ) : 380-f : Requires furnishers to maintain procedures ensuring maximum possible accuracy. 

380-u : Prohibits furnishing of information known or reasonably believed to be inaccurate.

380-s : Requires furnishers to cooperate with consumer reinvestigation requests.

New York Banking Law 9-f : Holds financial institutions accountable for deceptive or negligent furnishing of data affecting consumer credit profiles. 

XXXX XXXX COMPLIANCE VIOLATIONS According to the CDIA XXXX XXXX Reporting Format ( XXXX ), ONEMAIN has failed to comply with the following standards : Section 4.2.1 Account Status Codes : Improper use of Charged Off ( 97 ) without supporting charge-off date or final accounting.

Section 4.2.2 Account Ownership Transfer : No documentation provided showing sale or assignment of debt. 

Section 5.1 Compliance Condition Codes : Failure to use the XB dispute code when the account was under formal reinvestigation.

Section 6.2.2 Correction Procedures : No correction file submitted to the CRAs within the 30-day dispute period as required by FCRA 623 ( b ).

PATTERN OF NONCOMPLIANCE ONEMAIN has demonstrated a systemic pattern of violations by : Furnishing unverifiable charge-off data without proper documentation. 

Failing to provide validation or ownership proof when requested. 

Ignoring dispute notifications and continuing to verify erroneous data with CRAs. 

Misreporting account history and balance accuracy in violation of XXXX XXXX. 

These acts constitute willful violations under FCRA 616 and negligent violations under FCRA 617, exposing ONEMAIN to civil penalties and consumer damages.

Company response to consumer: Closed with explanation