Consumer complaint received 2025-03-23 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: Experian Information Solutions Inc.
State: TX

Complaint narrative:
Subject : Formal Dispute and Procedural Request Under 15 USC 1681i To Whom It May Concern, I am formally disputing the inaccurate reporting of my account with XXXX XXXX XXXX Bank on my credit report. The account has been reported as charged-off and closed while still displaying an unpaid balance of {$2800.00} and a delinquent status. This reporting is misleading and inconsistent with the legal definition of a charged-off debt. Furthermore, XXXX has refused to issue a Form 1099-C, which is required for documenting canceled debt.

Additionally, I have serious concerns regarding the investigation process used by Experian. Instead of conducting a proper investigation, Experian is using the E-Oscar systeman automated system that merely sends a code to the original creditor without verifying or pr
oviding any supporting documentation. This is a direct violation of 15 USC 1681i, which mandates that credit reporting agencies conduct a reasonable investigation. Relying solely on an automated system does not constitute a reasonable investigation. Therefore, you must delete any inaccurate information from my credit report.

Procedural Request Letter : How was the disputed information verified? 

What method was used to verify the information? 

What documentation was used to validate the accuracy of the reported information?

As per 15 USC 1681i, if you are unable to provide complete and verifiable information in response to my request, the inaccurate information must be removed or updated accordingly. The current reporting is misleading and amounts to fraud, as my credit report reflects both an open account with a balance and a closed, written-off accountcontradictory and damaging information.

Furthermore, reporting a charged-off account as an open line of credit violates the Fair Credit Reporting Act ( FCRA ). Under 15 USC 1681s-2, furnishers of credit information must ensure that reported data is accurate and not misleading. The FTC has also clarified that misrepresenting an accounts status, such as reporting a charged-off account as an active line of credit, constitutes deceptive reporting practices.

I also refer you to the Federal Trade Commission ( FTC ) guidelines regarding the obligations of credit reporting agencies. Given the failure to conduct a reasonable investigation, I am also including a pre-arbitration notice. If this matter is not resolved immediately, I reserve the right to pursue arbitration to seek damages for the continued inaccurate and misleading reporting of my account.

Pre-Arbitration Notice : Pursuant to applicable consumer protection laws and the arbitration clause included in your service agreements, this letter serves as a formal pre-arbitration notice. You are hereby given an opportunity to resolve this matter before arbitration proceedings are initiated. Failure to correct these inaccuracies within the required legal timeframe may result in arbitration proceedings where I will seek all available remedies, including statutory damages and attorneys fees.

I expect a written response within the legally mandated timeframe. Failure to comply with this request may result in further legal action. 

Sincerely, XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, Texas XXXX

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