Consumer complaint received 2024-12-12 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: Affirm Holdings, Inc
State: TX

Complaint narrative:
I am writing to formally dispute and demand the removal of a late payment notation reported by Affirm on my consumer report for XX/XX/year>. The reporting of this information constitutes a clear violation of multiple federal laws governing consumer and financial data reporting. Below, I outline the specific statutes that Affirm has violated and the legal and financial ramifications of failing to address this matter promptly. 
Noncompliance with 15 U.S.C. 1681e ( b ) : Failure to Maintain Maximum Accuracy Under 15 U.S.C. 1681e ( b ) of the Fair Credit Reporting Act ( FCRA ), consumer reporting agencies and furnishers of information are required to ensure maximum possible accuracy in the information provided. Reporting a late payment that is inaccurate, unverifiable, or incomplete demonstrates noncompliance with this statutory requirement. The continued inclusion of this erroneous information on my credit report reflects a failure on Affirms part to adhere to this legal obligation. 
Violation of 15 U.S.C. 1681a ( d ) ( 2 ) ( A ) ( i ) : Improper Reporting of Non-Reportable Transactions Under 15 U.S.C. 1681a ( d ) ( 2 ) ( A ) ( i ), transactions or experiences between a consumer and a creditor are not considered consumer reports unless expressly authorized by the consumer. By reporting this late payment without my explicit authorization, Affirm has violated this statutory provision, further compounding the error in its reporting practices. 
Violation of 15 U.S.C. 6802 : Unauthorized Disclosure of Nonpublic Personal Information As a financial institution governed by the Gramm-Leach-Bliley Act, Affirm is subject to 15 U.S.C. 6802, which prohibits the disclosure of nonpublic personal information to third parties without the consumers express consent. The reporting of private account details to a consumer reporting agency without my authorization is a clear violation of this provision. This breach undermines my right to privacy and exposes Affirm to liability under the Gramm-Leach-Bliley Act.

Violation of 15 U.S.C. 1666b ( a ) : Prohibition Against Treating Payments as Late Under 15 U.S.C. 1666b ( a ), a creditor may not treat a payment on a credit card account under an open-end consumer credit plan as late for any purpose unless it complies with specific statutory conditions. Affirms actions, as reflected in the inaccurate late payment report, directly contravene this law.

Legal and Financial Ramifications If Affirm fails to promptly correct this error and remove the inaccurate late payment report, it may face the following consequences : 1. Regulatory Penalties : Potential fines and enforcement actions by regulatory authorities for noncompliance with federal laws, including the FCRA and Gramm-Leach-Bliley Act.

2. Civil Liability : I reserve the right to pursue legal action under 15 U.S.C. 1681n and 1681o, which provide remedies for willful and negligent noncompliance, including actual damages, punitive damages, and attorneys fees.

3. Reputational Damage : Affirms failure to address this issue may erode consumer trust and confidence in its operations.

Demanded Action To resolve this matter amicably, I demand the immediate removal of the late payment notation from all consumer reporting agencies to which this information was furnished. Additionally, please provide written confirmation of the correction.

I expect this issue to be resolved immediately. Failure to comply will leave me with no option but to escalate this matter through regulatory and legal channels.

Thank you for your prompt attention to this matter. I look forward to your swift resolution.

Company response to consumer: Closed with explanation