Consumer complaint received 2024-10-23 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account status incorrect
Company: Bread Financial Holdings, Inc.
State: CA

Complaint narrative:
I am writing to formally submit a complaint regarding my Ulta XXXX account, where a recent 30-day late payment has been reported to the credit bureaus, despite the fact that this issue was caused by the creditors failure to provide adequate notice of the payment due date. This inaccurate reporting has resulted in a significant and unjustified drop in my credit score.

Background of the Issue I have held an Ulta XXXX account for nearly XXXX years and have always made timely payments. However, approximately a month ago, I received a notification from a credit monitoring service alerting me that my credit score had dropped by XXXX points due to a 30-day late payment on my Ulta XXXX account XXXX This was shocking because I had never been late on this account. Upon investigating, I logged into my account and immediately made the payment to bring it current. 

Ulta XXXX typically sends notifications regarding payment due dates via email, text message, or phone callall of which they have on file for me. In this instance, however, I received no such notification. As a result, the payment was missed, and my account was reported as 30 days late, damaging my credit score.

Violations of Federal and State Laws Ulta Masterc
ards actions appear to violate several federal laws and consumer protection regulations, including : Fair Credit Billing Act ( FCBA ) - 15 USC 1666 : The FCBA provides protection against billing errors, which include failure to send timely statements or notifications of payments due. In this case, Ulta XXXX  failure to notify me of the due payment constitutes a billing error.

Truth in Lending Act ( TILA ) - 15 USC 1666b : Under TILA, creditors are required to provide consumers with adequate notice of payment due dates. Ulta XXXX failed to meet this requirement, which directly led to the late payment and inaccurate reporting. 
Fair Credit Reporting Act ( FCRA ) - 15 USC 1681s-2 ( a ) : The FCRA mandates that creditors report accurate information to credit reporting agencies. Reporting a 30-day late payment that was caused by Ulta XXXX  own failure to notify me is an example of inaccurate reporting, which has unfairly damaged my credit score.

Regulation Z ( 12 CFR Part 1026 ) : Regulation Z outlines the obligations creditors have to notify consumers about their due payments. Ulta XXXX  failure to notify me of the due payment clearly violates this regulation, impacting my financial standing. 
California Consumer Financial Protection Law ( CCFPL ) : As a resident of California, I am also protected under the CCFPL from unfair, deceptive, or abusive acts or practices ( UDAAP ). Ulta XXXX  negligence in providing proper notification can be considered an unfair practice under this law, leading to unnecessary harm to my credit score. 
Request for Action I request the CFPB to take the following actions : Investigate Ulta XXXX  billing and notification procedures to determine if they are in compliance with federal and state laws.

Demand the removal of the 30-day late payment from my credit report, as this was caused by Ulta XXXX  failure to send proper payment reminders.

Ensure that Ulta XXXX is held accountable for the financial harm caused by this issue, including any penalties for violations of the FCBA, TILA, FCRA, and Regulation Z.

This unjustified reporting of a late payment has caused significant damage to my creditworthiness. I have attached copies of my credit report, payment history, and communication records with Ulta XXXX to support my complaint. 

I respectfully ask that the CFPB intervene and help rectify this situation to prevent further financial harm to myself and others who may be affected by similar failures.

Thank you for your attention to this matter. I look forward to your prompt response and action.

Sincerely, XXXX XXXX

Company response to consumer: Closed with explanation