Consumer complaint received 2025-04-11 00:00:00
Product: Checking or savings account — Checking account
Issue: Managing an account — Banking errors
Company: CITIBANK, N.A.
State: CA

Complaint narrative:
To Whom It May Concern, I, XXXX XXXX, am submitting this formal complaint against Citigroup Inc. ( hereinafter " Citigroup '' ) for its willful and negligent reporting of inaccurate and misleading information regarding a charged-off account on my credit report. Despite clear and irrefutable evidence that the debt associated with this account has been XXXX, Citigroup continues to report the account as delinquent with an outstanding balance of {$5600.00}. This conduct represents a clear violation of my rights under the Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681n, which mandates strict compliance with consumer protections concerning the accuracy and integrity of credit reporting. 

Background : Account Information : Creditor Name : Citigroup Inc . 

Account Number : XXXX Reported Balance : {$5600.00} Account Status : XXXX, as reported on my credit file Date of Charge-off : As per the creditors records Debt Cancellation Documentation ( Form XXXX ) : Citigroup issued a Form XXXX on XX/XX/year>, indicating that the full debt of {$5600.00} was XXXX by Citigroup. The cancellation of debt was processed under the IRS guidelines, which explicitly state that any forgiven or XXXX debt is no longer considered owed by the debtor. 

This Form XXXX confirms the debt 's discharge and explicitly states that the debt was cancelled by Citigroup, eliminating any valid basis for continuing to report this account as active, delinquent, or with any outstanding balance. 

Discrepancy and Citigroups Actions : Despite receiving the Form XXXX and submitting this documentation to Citigroup as part of a formal dispute, the creditor has continued to report the account inaccurately, listing it as a charge-off with a balance of {$5600.00}. This conduct is inconsistent with the factual status of the account, which has been resolved and discharged in full. 

Citigroup has failed to conduct a reasonable investigation as required by law and has not updated the credit reporting to reflect the accurate status of the debt. This lack of due diligence in investigating the disputed information further highlights Citigroups disregard for the statutory obligations imposed under the Fair Credit Reporting Act ( FCRA ).

Legal Violations : Violation of 15 U.S.C. 1681e ( b ) Accuracy of Information : Under 15 U.S.C. 1681e ( b ), Citigroup is required to establish and maintain procedures to ensure that the information it reports is accurate. By continuing to report the account with an erroneous outstanding balance of {$5600.00}, Citigroup has failed to ensure maximum possible accuracy, thereby breaching its statutory duty. 

The failure to update the account status after receiving notice of debt cancellation and discharge is a clear violation of this provision.

Violation of 15 U.S.C. 1681i ( a ) Reasonable Investigation of Disputed Information : 15 U.S.C. 1681i ( a ) obligates a credit reporting agency or furnisher of information, such as Citigroup, to conduct a reasonable investigation upon receipt of a dispute from a consumer. Citigroups failure to correct this reporting error, despite clear and supporting evidence from the XXXX XXXX, constitutes a violation of this requirement. 

This failure is particularly egregious given that the Consumer Financial Protection Bureau ( CFPB ) has filed lawsuits against similar creditors for failing to appropriately address disputes, specifically for engaging in what has been termed sham investigations regarding credit report inaccuracies.

Violation of 15 U.S.C. 1681n Willful Noncompliance : Citigroups ongoing refusal to correct this erroneous reporting, despite clear evidence to the contrary, constitutes willful noncompliance under 15 U.S.C. 1681n. I am therefore entitled to statutory damages of {$1000.00}, in addition to the potential for punitive damages to be assessed for the willful harm caused by Citigroups actions.

The intentional disregard for my consumer rights and its failure to correct known inaccuracies has caused significant financial and reputational harm. 

Harm Caused : The inaccurate and misleading reporting of this account has caused significant harm to my credit profile, resulting in the following consequences : Potential Denial of Financial Products : The incorrect report of a charge-off with an outstanding balance of {$5600.00} has adversely affected my creditworthiness, causing me to be denied or subjected to unfavorable terms for credit applications, including but not limited to mortgages, loans, and credit cards. 

Increased Financial Stress and Emotional Distress : The continued reporting of inaccurate information has led to undue emotional distress, resulting in considerable anxiety and financial hardship.

Resource Expenditure for Dispute Resolution : I have had to expend valuable time and resources to dispute this inaccuracy and seek rectification, which has further compounded the financial burden already caused by the erroneous reporting.

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 non-monetary relief