Consumer complaint received 2025-06-02 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: DISCOVER BANK
State: CA

Complaint narrative:
I am submitting this formal rebuttal to Discover Banks response regarding the fraudulent account appearing on my credit report. This account was not opened, authorized, or used by me. I am the victim of identity theft and submitted a verified FTC Identity Theft Report ( Report # XXXX ), which includes this Discover Bank account. Under FCRA 1681c-2, Discover is legally obligated to block or delete this tradeline upon receiving such notice. 

Discovers response relies entirely on internal records and a self-directed review. They allege the account was opened online and electronically acknowledged, but they have provided no verifiable digital signature, IP audit trail, timestamp logs, or geolocation data to confirm that I was the applicant. Stating that a card was activated and that a code was sent to a phone number does not constitute external validation of identity. These claims are entirely unsubstantiated, particularly in light of a government-issued Identity Theft Report. 

Further, Discovers claim that I participated in hardship payment programs is not proof of identity. If my information was compromised, a third party could have easily impersonated me. Discover has not submitted any evidence of voice authentication, identity match verification, or law enforcement coordination which are critical steps in confirming true account ownership in identity theft cases. 

I am aware Discover may assert that phone calls or payment arrangements are proof that I am the true accountholder. However, such activityparticularly when no in-person identification or biometric authentication is useddoes not constitute legal identity confirmation. Identity thieves frequently engage in post-creation activity to prolong account access or delay detection. Furthermore, any such interaction could have been made by a third party using stolen credentials. Regardless, this does not negate the legal sufficiency of the Identity Theft Report I submitted under FCRA 1681c-2. Discover has not met the burden of proving that I am the originator of this account, and such circumstantial activity can not substitute for verifiable documentation of my identity, consent, and contractual agreement. 

Additionally, I am raising violations of the Fair Credit Reporting Act ( FCRA ) 1681s-2 ( b ). Discover is furnishing data to the credit bureaus that is inaccurate and misleading. Even if the account were legitimate ( which it is not ), Discovers reporting fails to meet XXXX XXXX Format Guidelines. Charged-off accounts marked as open, active collections without proper dispute coding, and inconsistent balance/status fields all reflect noncompliant data furnishing. Furthermore, it appears Discover has not conducted proper reinvestigation procedures via e-OSCAR following my initial disputes, which constitutes a procedural failure. 

I also wish to highlight a potential violation of the Truth in Lending Act ( TILA ), 15 U.S.C. 16311632. If this account was securitized sold into a trust or transferred to a third party Discover may no longer have legal standing to report or enforce this debt unless it is acting under a documented servicing agreement. TILA requires material terms like assignment, securitization, or third-party servicing arrangements to be disclosed to the borrower at the time of origination. Discover has not provided any documentation proving that such disclosures were made, nor has it proven it retains lawful ownership or servicing authority. 

In summary, Discover has failed to : Validate this debt under FDCPA 1692g, Report accurately under FCRA 1681s-2, Comply with XXXX XXXX and e-OSCAR procedural standards, Address identity theft properly under FCRA 1681c-2 , And possibly violated TILA through undisclosed securitization. 

I request that the CFPB : Investigate Discovers refusal to block or delete this fraudulent tradeline ; Compel deletion of this account from all consumer reporting agencies ; Evaluate Discovers data furnishing process for systemic FCRA and XXXX XXXX violations. 

This account is not mine. It is fraudulent, and Discovers continued reporting is harmful, unlawful, and in bad faith. I request full deletion and closure of this matter. 

Sincerely, XXXX XXXX

Company response to consumer: Closed with explanation