Consumer complaint received 2025-11-07 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account status incorrect
Company: EQUIFAX, INC.
State: GA

Complaint narrative:
Equifax continues to report tradelines belonging to original creditors that no longer have any legal authority to furnish data. 

The following accounts were sold, assigned, and subsequently extinguished through arbitration and settlement in XXXX XXXX XXXX. XXXX ( XXXXXXXX XXXX XXXXXXXX XXXX XXXX ) : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Acct XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Acct XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Acct XXXX XXXX XXXX XXXX XXXX XXXX  Once these debts were sold to XXXX XXXX XXXX ( a third-party debt buyer ), the original creditors permanently forfeited any right to continue reporting them. Under the Fair Credit Reporting Act ( FCRA ) and binding case law, an entity can not furnish or maintain tradeline data about a debt it no longer owns. Reporting such information after transfer or settlement constitutes false, misleading, and obsolete publication.

1 Violations of Federal Law : 15 U.S.C. 1681e ( b ) : CRAs must maintain maximum possible accuracy. Reporting charged-off accounts that were sold and extinguished misrepresents ownership and balance.

15 U.S.C. 1681i ( a ) : Once notified of a dispute supported by a binding arbitration settlement, Equifax must conduct a reasonable reinvestigation and delete unverifiable or legally inaccurate data.

15 U.S.C. 1681s-2 ( b ) : Furnishers must correct or delete information once it is no longer accurate or verifiable. An original creditor has no permissible purpose to continue furnishing data post-sale.

15 U.S.C. 1681b ( a ) ( 3 ) ( A ) : Permissible purpose ceases when the furnisher has no ongoing business relationship with the consumer.

15 U.S.C. 1681c ( a ) ( 4 ) : Information about debts placed for collection or charged off becomes obsolete after seven years from the date of first delinquencythese are well beyond that and were further nullified by legal release.

2 Federal Case Law ( Proving Mandatory Deletion ) : Cushman v. Trans Union Corp., 115 F.3d 220 ( 3d Cir. 1997 ) : CRAs must perform an independent, meaningful reinvestigationnot merely accept a furnishers claim of validity.

Dennis v. BEH-1, LLC, 520 F.3d 1066 ( 9th Cir. 2008 ) : Continued reporting of a debt after legal extinguishment is inaccurate and actionable.

Carvalho v. Equifax Info. Servs., LLC , 629 F.3d 876 ( 9th Cir. 2010 ) : Credit bureaus may not abdicate responsibility to furnishers when faced with disputes supported by documentation.

Dalton v. Capital Associated Indus., Inc. , 257 F.3d 409 ( 4th Cir. 2001 ) : Publishing obsolete or misleading account data constitutes a willful violation of 1681e ( b ).

Seamans v. Temple Univ., 744 F.3d 853 ( 3d Cir. 2014 ) : Once notified of legal changes, CRAs must update or delete the record.

Safeco Ins. Co. of Am. v. Burr, 551 U.S. 47 ( 2007 ) : Reckless disregard of clear statutory duties qualifies as a willful FCRA violation.

Cousin v. Trans Union Corp., 246 F.3d 359 ( 5th Cir. 2001 ) : Continuing to report inaccurate credit data constitutes defamation and a false publication under 1681h ( e ).

3 CFPB & FTC Guidance : CFPB Bulletin 2014-02 : Once a debt is sold or transferred, the prior owner must not continue furnishing data as it no longer meets FCRA accuracy obligations.

FTC Staff Opinion ( Clark, 1998 ) : Reporting of debts by entities without current ownership constitutes inherently misleading publication and violates 1681e ( b ) and 1681s-2 ( b ).

4 Conclusion and Required Action : Equifax must immediately and permanently delete the original creditor tradelines listed above. Marking them as sold, paid, or transferred is insufficient and misleading because the originating creditors : No longer have a permissible purpose to report ; No longer possess or own the debt ; Have had all related obligations legally released through arbitration.

Equifaxs continued publication of these lines constitutes willful noncompliance under Safeco and Dennis.

Requested Relief : Delete these original creditor tradelines in full ; update my file to reflect XXXX  balance and no collection or delinquency status ; and provide written confirmation of correction under 15 U.S.C. 1681i ( a ) ( 6 ).

Company response to consumer: Closed with non-monetary relief