Consumer complaint received 2025-05-24 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: Bread Financial Holdings, Inc.
State: FL

Complaint narrative:
XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Subject : Final Demand for Deletion of Fraudulent Account Reporting Under FCRA 623 ( a ) ( XXXX ) Account Ending XXXX To the Office of the Executive Review : This letter serves as a formal and final demand for immediate action regarding a fraudulent account ( XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX ) that Comenity Capital Bank continues to inaccurately report to the credit bureaus in willful violation of federal law.

As documented in the enclosed Federal Trade Commission Identity Theft Report ( No. XXXX ), this account was fraudulently opened in XX/XX/XXXX using my personal information without my knowledge or consent. An employee at XXXX of XXXX XXXX misused my Social Security XXXX to open the credit card under my name and used it to finance vehicle add-ons without authorization. I never applied for this card, never activated it, never used it, and I contacted Comenity Bank immediately upon discovering the fraud.

Despite my early and repeated reports, you failed to permanently close and nullify the account. Instead, Comenity chose to charge off the debt on XX/XX/XXXX, and unlawfully sold the account to XXXX XXXX XXXX on XX/XX/XXXX. This unauthorized transfer of my personal and financial data to a third party was a direct violation of federal privacy laws. At no point did I provide consent for my information to be sold or shareddoing so under the context of a known and reported case of identity theft is indefensible. 

Your XX/XX/XXXX, response attempts to justify continued reporting and a charge-off status. That explanation fails both legally and ethically. Under the Fair Credit Reporting Act 623 ( a ) ( 6 ), once a furnisher is notified that an account is the result of identity theftand is provided with appropriate supporting documentationyou are required by law to cease reporting that information. Your failure to comply is not only a breach of FCRA but also a willful act of negligence with real harm.

Furthermore, if Comenity indeed charged off the account, I should have received IRS Form 1099-C or related documentation indicating cancellation of debt. You did not issue any such documentation. This raises a serious compliance issue with IRS reporting obligations. If a 1099-C was issued, I demand a copy immediately. If it was not, then your treatment of the debt as charged-off lacks the required legal documentation, which could be construed as tax evasion and subject to IRS reporting and penalties.

Let me be clear : your continued furnishing of this fraudulent account datadespite having full knowledge and documentation of the identity theftis a knowing violation of federal law.

Accordingly, I am demanding the following without delay : 1. Immediate and permanent deletion of all data related to this fraudulent account from all consumer reporting agencies ( XXXX XXXX XXXX XXXX XXXX 
XXXX. Written confirmation that Comenity has ceased all reporting and has notified the credit bureaus of the deletion.

3. Confirmation that no 1099-C or equivalent tax documentation was issuedand if it was, a copy must be provided immediately.

4. An explanation as to why my personal data was sold to a debt buyer despite your knowledge of the fraud. 

You have XXXX calendar days from the date of this letter to comply in full. If you fail to take appropriate corrective action, I will escalate this matter through all appropriate regulatory and legal channels, including : Filing formal complaints with the Consumer Financial Protection Bureau, Federal Trade Commission, and Office of the Comptroller of the Currency.

Filing a report with the Internal Revenue Service if there is evidence of improper tax handling.

Pursuing civil litigation for damages under FCRA and other applicable statutes.

I expect your full cooperation and written confirmation of resolution within the specified timeframe. I suggest your office treats this matter with the seriousness it demands. 

Sincerely, XXXX XXXX XXXX Enclosures : FTC Identity Theft Report

Company response to consumer: Closed with non-monetary relief