Consumer complaint received 2024-12-26 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: BANK OF AMERICA, NATIONAL ASSOCIATION
State: TX

Complaint narrative:
I am filing a formal complaint regarding the inaccuracies and violations in the reporting of the account with Bank of America ( BK OF AMER ) on my credit report. This account is showing a {$0.00} balance and remains on my credit report despite being sold to a third-party debt collector. I believe this reporting violates multiple federal laws and regulations, as outlined below : FCRA Violations : Duplicate Reporting : If both the original creditor and the third-party collection agency are reporting the same debt, this creates a duplicate entry, violating 15 U.S.C. 1681e ( b ), which requires credit bureaus to ensure accurate and non-duplicative reporting.

Misleading Status or Comments : The account is being reported as " Charge-Off '' or derogatory by the original creditor even though it has been sold to a third party. This is misleading and violates 15 U.S.C. 1681s-2 ( a ) ( 1 ), which prohibits furnishing inaccurate information.

Failure to Update Information : If the account has been sold, the original creditor must update the balance to {$0.00} and clarify that the debt has been transferred. Failing to do so violates 15 U.S.C. 1681s-2 ( a ) ( 2 ).

False Verification : Previous disputes regarding this account have resulted in the creditor providing no documentation of a signed agreement, contract, or other validation. Simply marking the account as " verified '' without sufficient evidence violates 15 U.S.C. 1681i.

FDCPA Violations : Failure to Validate Debt : Under 15 U.S.C. 1692g, the creditor or collection agency must validate the debt upon request. No sufficient documentation, such as a signed agreement or contract, has been provided.

Deceptive Practices : Continued reporting of the debt as active or collectible by the original creditor, while the debt has been sold, could constitute deceptive practices under 15 U.S.C. 1692e.

IRS Regulations : Failure to Issue 1099-C : If the original creditor charged off the debt and considered it canceled, they are required to issue a 1099-C form for debts over {$600.00} under 26 U.S.C. 6050P. No evidence of such a form has been provided.

Specific Inaccuracies in the Account The account is listed with a {$0.00} balance but remains derogatory on my report.

Comments fail to clarify the sale of the account to a third-party collection agency.

Misleading reporting of a " Charge-Off '' while failing to reflect that the original creditor no longer owns the debt.

No documentation or signed agreement has been provided in prior disputes, only a generic letter stating " verified, '' which does not meet the standard for validation.

Potential duplicate reporting if the third-party collection agency is also reporting this debt separately.

I request an Immediate Deletion : I am not requesting validation. This account has already been disputed, and the verification provided was insufficient. I demand the immediate deletion of this account from all credit reports.

Investigation of Practices : I request that the CFPB investigate [ Creditor Name ] for potential violations of the FCRA, FDCPA, and IRS regulations as outlined above.

Cease and Desist : I demand that [ Creditor Name ] immediately cease reporting this account inaccurately on my credit report.

Should my request not be completed promptly, I will pursue the following legal actions : File a lawsuit for willful noncompliance under 15 U.S.C. 1681n of the FCRA.

Pursue damages for violations of the FDCPA under 15 U.S.C. 1692k.

File a complaint with the IRS for failure to issue a 1099-C if the account was charged off and canceled. 
Seek attorney assistance for a civil lawsuit to hold Bank of America ( BK OF AMER ) accountable for the harm caused by these reporting inaccuracies.

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