Consumer complaint received 2025-02-19 00:00:00
Product: Debt collection — Auto debt
Issue: Attempts to collect debt not owed — Debt was paid
Company: CAPITAL ONE FINANCIAL CORPORATION
State: GA

Complaint narrative:
To Whom It May Concern, I am formally disputing the inaccurate and unlawful reporting of a charge-off on my credit file in relation to my account with Capital One Auto Finance . The account details are as follows : Creditor : Capital One Auto Finance Account Status : Charged-Off/Never Late Charged-Off Amount : {$1800.00} Past Due Amount : {$1700.00} ( as of XX/XX/XXXX ) Last Updated : XXXX This charge-off is being inaccurately reported, and I demand its immediate deletion for the following reasons : 1. Violation of the Fair Credit Reporting Act ( FCRA ) Failure to Conduct a Proper Investigation Under the FCRA Section 611 ( 15 U.S.C. 1681i ), Capital One Auto Finance is required to conduct a thorough and reasonable investigation upon dispute. Despite my multiple dispute letters, you have failed to provide verification or conduct a proper reinvestigation. This failure violates my rights under 15 U.S.C. 1681i ( a ) ( 1 ) ( A ), which states that furnishers must investigate disputes and remove unverifiable accounts.

2. Violation of the Fair Debt Collection Practices Act ( FDCPA ) False or Misleading Representation Under 15 U.S.C. 1692e ( 8 ), it is illegal for a creditor or debt collector to misrepresent the legal status of a debt. Reporting a charge-off inaccurately as income without properly verifying it as a cancelled debt is an intentional misrepresentation. Moreover, if the debt has been sold or transferred, you are legally required to verify the party legally authorized to report this debt. 

3. Violation of IRS and CFPB Guidelines Illegal Tax Implications Per the Internal Revenue Service ( IRS ) 26 U.S. Code 6050P, a cancelled debt over {$600.00} must be reported as taxable income using a 1099-C form. If Capital One Auto Finance has charged off this debt but has not issued me a 1099-C, this reporting is both deceptive and illegal. Additionally, per CFPB regulations, furnishers must ensure fair and accurate reporting. Any failure to do so violates 12 C.F.R. 1022.43 under the Fair Credit Reporting Act.

4. Violation of 15 U.S.C. 1681s-2 Unverified and Inaccurate Reporting Under 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( B ), furnishers are prohibited from reporting information if they have doubts about its accuracy. Because Capital One Auto Finance has failed to verify the legitimacy of this charge-off, this entry must be removed immediately.

Demand for Immediate Action I hereby demand the immediate removal of this charge-off from my credit report and an updated report reflecting this correction. Failure to act within the legally mandated 30-day period under 15 U.S.C. 1681i ( a ) ( 1 ) will result in the following actions : A formal complaint filed with the Consumer Financial Protection Bureau ( CFPB ) for non-compliance and failure to investigate disputes. 

A report filed with the Federal Trade Commission ( FTC ) citing Capital One Auto Finances failure to abide by federal consumer protection laws. 

A legal action for damages as allowed under 15 U.S.C. 1681n and 1681o, which provide for statutory damages of up to {$1000.00} per violation, along with attorney fees and court costs. 

This is your final notice before I escalate this matter. I expect confirmation of deletion within 30 days from the date of this letter. Failure to comply will result in immediate legal action.

Company response to consumer: Closed with explanation