Consumer complaint received 2025-08-14 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Information is missing that should be on the report
Company: Thaxton Investment Corporation
State: TX

Complaint narrative:
DRAFT CFPB Escalated Complaint ( XXXX XXXX / XXXX XXXX  ) Subject : Repeated Inaccurate Credit Reporting, Contradictory Account Status, and Potential Tax Compliance Violations Request for Immediate CFPB Enforcement Action -- - Summary : This is a formal escalation of prior CFPB complaints regarding inaccurate and contradictory reporting by XXXX XXXX XXXX XXXX  XXXX. This account continues to appear on my Experian, Equifax, and TransUnion credit reports with verifiable errors, despite multiple disputes and previous CFPB involvement. 


-- - Violations & Facts : XXXX. Contradictory Account XXXX XXXX XXXX reports the account as both open and charged-off. 

A charged-off account is closed by definition. Reporting it as open is misleading and violates the Fair Credit Reporting Act ( FCRA ), 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( A ). 



XXXX. Unsupported Claim of XXXX XXXX XXXX XXXX XXXX XXXX claims XXXX XXXX of the loan has been paid or forgiven. 

Their own transaction log shows no legitimate repayments, only fees, deductions, and unexplained adjustments. 

No proof of payment or forgiveness was provided in prior CFPB responses ( # XXXXXXXX XXXX XXXX XXXX XXXXXXXX ). 



XXXX. Invalid Transaction Date The payment history includes a transaction dated XX/XX/year> decades before the account was opened which is clearly false and indicates systemic data integrity failures. 



XXXX. Failure to Issue Required 1099-C Under IRS regulations ( 26 U.S.C. 6050P ), if a creditor cancels more than {$600.00} of debt, they must issue Form 1099-C to the borrower and IRS. 

If the alleged XXXX XXXX forgiveness were true, XXXX XXXX would have been required to file this form. No such form was ever received. 



XXXX. Failure to Provide Verifiable Documentation FCRA requires that furnishers investigate disputed information and provide verifiable proof of accuracy to the credit bureaus. 

XXXX XXXX has repeatedly failed to provide complete, verifiable evidence that supports their reporting. 





-- - Impact : These errors have directly harmed my credit profile, affecting my eligibility, interest rates, and financial opportunities. 

The presence of contradictory, incomplete, and unverifiable data on my reports undermines the integrity of the credit reporting system. 


Requested Actions : XXXX. Immediate deletion of the XXXX XXXX XXXX Covington Credit tradeline from XXXX XXXX XXXX XXXX 


XXXX. Formal CFPB investigation into XXXX XXXX credit reporting practices and possible IRS Form XXXX violations. 


XXXX. Enforcement action if they are found to be in violation of the FCRA or federal tax reporting laws. 


XXXX. Written confirmation from CFPB of the outcome of the investigation. 


Attachments : Screenshots of credit report showing open and charged-off status simultaneously. 

Transaction log showing no actual payments and an invalid XX/XX/year> date. 

XXXX CFPB complaint responses for reference. 

Screenshots of the XXXX XXXX paid claim with no supporting documentation.

Company response to consumer: Closed with explanation