Consumer complaint received 2024-08-22 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: ENCORE CAPITAL GROUP INC.
State: MO

Complaint narrative:
It has come to my attention that MIDLAND CREDIT MANAGEMENT Has been using my nonpublic information as well as my personally identifiable financial information in an abusive manner that not only violates US Law, but has resulted in significant financial damage.

Violations of the United States Code : 1. 15 U.S. Code 6801 ( a ) states : " It is the policy of the Congress that each financial institution has an affirmative and continuing obligation to respect the privacy of its customers and to protect the security and confidentiality of those customers nonpublic personal information. '' 2. 15 U.S. Code 6809 ( 3 ) ( A ) defines a " financial institution '' as : " any institution the business of which is engaging in financial activities as described in section 1843 ( k ) of title 12. '' 3. 12 U.S. Code 1843 ( k ) ( 1 ) A ) defines a " financial activity '' as : " to be financial in nature or incidental to such financial activity ; '' MIDLAND CREDIT MANAGEMENT engages in these activities, and is therefore a financial institution by definition under U.S. Code Title 15.

1. 15 U.S. Code 6802 ( a ) states : " A financial institution may not, directly or through any affiliate, disclose to a nonaffiliated third party any nonpublic personal information, unless such financial institution provides or has provided to the consumer a notice that complies with section 6803 of this title. '' 2. 15 U.S. Code 6803 ( a ) states : " At the time of establishing a customer relationship with a consumer and not less than annually during the continuation of such relationship, a financial institution shall provide a clear and conspicuous disclosure to such consumer, in writing or in electronic form or other form permitted by the regulations prescribed under section 6804 of this title, of such financial institutions policies and practices with respect to ( 1 ) disclosing nonpublic personal information to affiliates and nonaffiliated third parties, consistent with 3. section 6802 of this title, including the categories of information that may be disclosed ; ( 2 ) disclosing nonpublic personal information of persons who have ceased to be customers of the financial institution; and ( 3 ) protecting the nonpublic personal information of consumers. '' MIDLAND CREDIT MANAGEMENT has never provided me with such notice defined by 15 U.S. Code 6803 as required under 15 U.S. Code 6802.

1. 15 U.S. Code 6802 ( b ) ( 1 ) states : " A financial institution may not disclose nonpublic personal information to a nonaffiliated third party unless ( A ) such financial institution clearly and conspicuously discloses to the consumer, in writing or in electronic form or other form permitted by the regulations prescribed under section 6804 of this title, that such information may be disclosed to such third party ; ( B ) the consumer is given the opportunity, before the time that such information is initially disclosed, to direct that such information not be disclosed to such third party ; and ( C ) the consumer is given an explanation of how the consumer can exercise that nondisclosure option. '' MIDLAND CREDIT MANAGEMENT has not clearly and conspicuously disclosed in writing or by any other means as described under 15 USC 6804 that my nonpublic personal information would be disclosed to a third party, never gave me the opportunity to opt out before the nonpublic personal information was disclosed, and never informed me of my right to exercise my nondisclosure option.

Violations of PRIVACY OF CONSUMER FINANCIAL INFORMATION ( 12 CFR 1016 ) [ Under the authority of 12 U.S. Code 5512, 5581 ; 15 U.S. Code 6804 ] 1. 12 CFR 1016.1 ( b ) states : " This part applies to those financial institutions and other persons for which the Bureau of Consumer Financial Protection ( Bureau ) has rulemaking authority pursuant to section 504 ( a ) ( 1 ) ( A ) of the Gramm-Leach-Bliley Act ( GLB Act ) ( 15 U.S.C. 6804 ( a ) ( 1 ) ( A ) ). '' 2. 15 U.S. Code 6804 ( a ) ( 1 ) ( A ) then states : " Except as provided in subparagraph ( C ), the Bureau of Consumer Financial Protection and the Securities and Exchange Commission shall have authority to prescribe such regulations as may be necessary to carry out the purposes of this subchapter with respect to financial institutions and other persons subject to their respective jurisdiction under section 6805 of this title. '' The term financial institutions is defined as : " any 3. institution the business of which is engaging in financial activities as described in section 1843 ( k ) of title 12. '' According to 12 U.S. Code 1843 ( k ) ( 4 ), any activity involving Lending is considered financial in nature. MIDLAND CREDIT MANAGEMENT engages in these activities, and is therefore subject to 12 CFR 1016 by definition of 12 CFR 1016.1 ( b ).

1. 12 CFR 1016.4 ( a ) states : " You must provide a clear and conspicuous notice that accurately reflects your privacy policies and practices to : ( 2 ) A consumer, before you disclose any nonpublic personal information about the consumer to any nonaffiliated third party. '' I was never provided with a clear and conspicuous notice by MIDLAND CREDIT MANAGEMENT that accurately reflects their privacy policies and practices.

1. 12 CFR 1016.7 ( a ) ( 1 ) states : " If you are required to provide an opt out notice under 1016.10 ( a ), you must provide a clear and conspicuous notice to each of your consumers that accurately explains the right to opt out under that section. The notice must state : ( i ) That you disclose or reserve the right to disclose nonpublic personal information about your consumer to a nonaffiliated third party ; ( ii ) That the consumer has the right to opt out of that disclosure; and ( iii ) A reasonable means by which the consumer may exercise the opt out right. '' I was never provided with a clear and conspicuous notice that accurately explains my right to opt out of MIDLAND CREDIT MANAGEMENT 's disclosure activities. I was never clearly informed by MIDLAND CREDIT MANAGEMENT that they disclose nonpublic personal information about me to nonaffiliated third parties, that I had the right to opt out of that disclosure, or provided with a reasonable means by which I could exercise my right to opt out.

1. 12 CFR 1016.7 states : " A consumer may exercise the right to opt out at any time. '' I am hereby placing MIDLAND CREDIT MANAGEMENT on notice that I am opting out of MIDLAND CREDIT MANAGEMENT 's disclosure activities.

1. 12 CFR 1016.10 ( a ) ( 1 ) states : " Except as otherwise authorized in this part, you may not, directly or through any affiliate, disclose any nonpublic personal information about a consumer to a nonaffiliated third party unless : ( i ) You have provided to the consumer an initial notice as required under 1016.4 of this part ( ii ) You have provided to the consumer an opt out notice as required in 1016.7 of this part ( iii ) You have given the consumer a reasonable opportunity, before you disclose the information to the nonaffiliated third party, to opt out of the disclosure '' MIDLAND CREDIT MANAGEMENT has not fulfilled their obligation to provide me with any notice as required under 12 CFR 1016.4, MIDLAND CREDIT MANAGEMENT has not fulfilled their obligation to provide me with an opt out notice as required under 12 CFR 1016.7, and MIDLAND CREDIT MANAGEMENT has not given me a reasonable opportunity to opt out of the disclosure before the information was disclosed to multiple nonaffiliated third parties without my consent.

Violations of FAIR CREDIT REPORTING ( 12 CFR 1022 ) under the authority of 12 US Code 5512, 5581 ; 15 US Code 1681a, 1681b, 1681c, 1681c-1, 1681e, 1681g, 1681i, 1681j, 1681m, 1681s, 1681s-2, 1681s-3, and 1681t ; Sec. 214, Public Law 108-159, 117 Stat. 1952.

1. 12 CFR 1022.3 defines Identity theft as : " ( h ) Identity theft means a fraud committed or attempted using the identifying information of another person without authority. '' 12 CFR 1022.3 defines Identifying information as : " Identifying information means any name or number that may be used, alone or in conjunction with any other information, to identify a specific person, including any : ( 1 ) Name, social security number, date of birth, official state or government issued driver 's license or identification number, alien registration number, government passport number, employer or taxpayer identification number ; '' As proven in the subsequent paragraphs, MIDLAND CREDIT MANAGEMENT has deceptively used my identifying information at their free will without any permission to act on my behalf.

Company response to consumer: Closed with explanation