Consumer complaint received 2025-05-25 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account status incorrect
Company: Sunbit, Inc.
State: GA

Complaint narrative:
I am submitting this letter in response to ongoing issues involving XXXX/Sunbit , which continues to report a paid account on my credit report. This continued reporting is inaccurate, misleading, and serves no legitimate business purpose other than to cause further harm to my credit profile. 

A paid debt is no longer being actively pursued for repayment, and therefore, should not be reported in the same manner as an unpaid or delinquent obligation. The account in question has been satisfied in full, and its continued presence on my credit report unfairly portrays me as financially irresponsible. The credit furnisher appears to have a vested interest in retaining this negative mark, despite the fact that the debt has been resolved, suggesting a practice motivated by punitive or coercive intent rather than legitimate credit reporting. 

Violations of Applicable Federal Law : Fair Credit Reporting Act ( FCRA ) 15 U.S. Code 1681e ( b ) Consumer reporting agencies must follow reasonable procedures to ensure maximum possible accuracy of the information reported. Continued reporting of a resolved and non-active debt distorts the actual status of the account and misrepresents my financial standing.

15 U.S. Code 1681b ( a ) ( 3 ) Consumer reports may only be furnished for purposes where there is a legitimate business need. Reporting a paid collection account serves no such need and should not be used to influence lending or credit decisions, especially when the debt is no longer outstanding.

15 U.S. Code 1681i ( a ) ( 5 ) ( A ) If disputed information is found to be inaccurate, incomplete, or unverifiable, it must be promptly deleted or modified. A paid debt should not remain as a derogatory item without full and fair context, and consumers have the right to challenge this under the FCRA.

Fair Debt Collection Practices Act ( FDCPA ) 15 U.S. Code 1692e ( 8 ) It is a violation to communicate or threaten to communicate credit information known or which should be known to be false, including the failure to communicate that a debt has been paid or settled.

15 U.S. Code 1692f Prohibits the use of unfair or unconscionable means to collect or attempt to collect any debt. Continuing to report a paid debt in a derogatory manner could be construed as a tactic to pressure or punish the consumer. 

Human Rights & Privacy Principles Under Article 17 of the International Covenant on Civil and Political Rights ( ICCPR ), individuals have the right to protection from arbitrary or unlawful interference with their privacy, family, home, or correspondence, including protection against reputational harm. The prolonged reporting of a satisfied debtwithout any remaining obligationcan be interpreted as an unreasonable and disproportionate interference with my financial and reputational integrity.

Conclusion and Request for Action The continued reporting of this paid account is not only inaccurate and unfair, it also undermines my ability to rebuild credit and exercise financial agency. I respectfully request the CFPB to : Investigate the credit company or collection agency for its failure to remove or update the account appropriately across all credit bureaus ; Hold them accountable for violating the FCRA, FDCPA, and principles of fair and non-discriminatory treatment ; Ensure the immediate and permanent removal of this account from all consumer reporting agencies ; Provide assurance that no further adverse actions will be taken related to this settled matter. 

Thank you for your continued commitment to protecting the rights of consumers. I trust the CFPB will take appropriate steps to ensure compliance and to help rectify the ongoing harm this is causing to my credit standing.

Company response to consumer: Closed with explanation