Consumer complaint received 2025-01-29 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: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: GA

Complaint narrative:
Subject : Formal Dispute of Charged-Off USAA Credit Card Accounts Failure to Properly Investigate & Remove Inaccurate Information >>>>>> To Whom It May Concern, >>>>>> I am writing to formally dispute the inaccurate and improperly reported negative information regarding USAA credit card accounts on my credit report. These accounts were charged off and subsequently sold, yet they continue to be erroneously reported by the credit reporting agencies in violation of the Fair Credit Reporting Act ( FCRA ) and other applicable consumer protection laws.

>>>>>> Violations of the Fair Credit Reporting Act ( FCRA ) : >>>>>> Failure to Conduct a Proper Reinvestigation ( 15 U.S.C. 1681i ) >>>>>> Under 15 U.S.C. 1681i ( a ) ( 1 ) ( A ), credit reporting agencies ( CRAs ) are required to conduct a reasonable reinvestigation when a consumer disputes information on their credit report. Despite multiple disputes, the credit reporting agencies have either failed to properly investigate or have simply " verified '' the information without adequate documentation.

>>>>>> Failure to Accurately Report the Sale of the Account ( 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( A ) ) >>>>>> According to 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( A ), furnishers of credit information must provide accurate information to CRAs. Since these USAA accounts were charged off and sold, USAA no longer owns the debt and must not continue reporting the accounts as charged-off on my credit report.

>>>>>> The reporting of a charged-off account by both the original creditor and the debt buyer results in duplicate negative reporting, which is unfair and misleading.

Illegal " Re-Aging '' of Debt ( 15 U.S.C. 1681c ( a ) ) >>>>>> Under 15 U.S.C. 1681c ( a ) ( 4 ) and ( 5 ), derogatory information, including charge-offs, must not remain on a credit report for more than seven years from the date of the original delinquency.

>>>>>> The credit reporting agencies have unlawfully reset the reporting date on these accounts each time I dispute them, violating the FCRAs prohibition on re-aging debt and unfairly extending the negative impact on my credit.

>>>>>> Failure to Remove Inaccurate or Unverifiable Information ( 15 U.S.C. 1681i ( a ) ( 5 ) ( A ) ) >>>>>> If an item can not be verified, it must be deleted from the consumers credit report.

Since these accounts were sold, USAA is no longer the creditor, meaning they can not verify the debt and must remove the charge-off from my credit report.

>>>>>> Request for Immediate Action >>>>>> Based on the above violations, I am requesting the immediate removal of all negative information associated with these USAA credit card accounts. Specifically, I request : >>>>>> The deletion of all charged-off USAA credit card accounts from my credit report since USAA no longer owns them.

>>>>>> A detailed explanation of how these accounts were " verified '' and what documentation was used to justify continued reporting.

>>>>>> A complete investigation into USAAs reporting practices to ensure compliance with the FCRA and prevent further inaccurate reporting.

>>>>>> Legal Recourse for Non-Compliance >>>>>> Failure to properly reinvestigate and remove these inaccuracies may result in civil liability under 15 U.S.C. 1681n ( for willful noncompliance ) and 15 U.S.C. 1681o ( for negligent noncompliance ). Additionally, under 15 U.S.C. 1681p, I may pursue legal action against both the credit reporting agencies and USAA if these violations persist.

>>>>>> Please acknowledge receipt of this dispute and provide a resolution within the 30-day timeframe required under the FCRA. Failure to comply will result in further legal action. 
>>>>>> Sincerely, XXXX 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