Consumer complaint received 2025-05-08 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account information incorrect
Company: EQUIFAX, INC.
State: CA

Complaint narrative:
I am filing this formal complaint against XXXX XXXX XXXX for inaccurate, incomplete, and misleading reporting of an auto loan account that is legally disputed and directly tied to a fraudulent vehicle sale. 

Key facts : I entered into an auto loan with XXXX XXXX on XX/XX/year>, for a vehicle that was later found to be defective and fraudulently sold by the dealership. 
The vehicle broke down in under XXXX miles and was in the shop for repeat issues. Eventually, it became completely undriveable. 
I initiated legal action against the dealership, and XXXX XXXX was named in the case due to their role in financing the transaction. 
The case resulted in a pending {$50000.00} insurance payout tied to the dealers misconduct. 
I have supporting documentation from my attorney confirming the fraud, the lawsuit, and the pending settlement. I will attach that to this complaint. 



FCRA Violations & Legal Grounds : 1. FCRA Section 602 ( a ) : The continued reporting of this account as a charge-off while a legal claim and insurance restitution are still pending makes the credit report unfair and misleading, violating the FCRAs requirement that consumer reports be fair, accurate, and relevant. 
2. FCRA Section 607 ( b ) : XXXX has a legal obligation not to furnish information they know or have reasonable cause to believe is inaccurate or incomplete. 
The omission of any mention of the legal dispute, litigation, or fraudulent nature of the sale makes this reporting misleading. 
3. FCRA Section 611 ( a ) : I am requesting a full investigation and deletion of the account from XXXX XXXX ( Acct # XXXX ) due to severe legal and factual inaccuracies surrounding the vehicle it financed. 

This loan financed a vehicle that was fraudulently sold to me by a dealership that is now in active litigation and under court-supervised bond distribution. The car was defective, undriveable within a short period after purchase, and repeatedly in the shop. The dealership never disclosed the mechanical issues or underlying problems a form of misrepresentation. 

I have attached a letter from my attorney confirming : The vehicle had material defects at the time of sale. 
I was one of three consumers awarded funds from a {$50000.00} bond secured against the dealership. 
The dealership is involved in a fraud-related court action. 
The deficiency on this loan is tied to repossession following the breakdown of a car that was never roadworthy. 
The debt is not collectible under Californias 4-year limit and should no longer be reported. 

XXXX was named in the original claims and knowingly continued reporting this as a valid debt, despite ongoing legal action and pending restitution. The vehicles value was misrepresented from day one. Therefore, the debt does not meet the standard of fair and accurate reporting under the Fair Credit Reporting Act ( FCRA ). 

Specifically, I assert my rights under : FCRA 602 ( A ) : The current status of this account is incomplete and misleading due to unresolved fraud and pending restitution. 
FCRA 607 ( B ) : XXXX XXXX and the credit bureau are reporting information they can not verify as accurate, due to the unresolved nature of the dispute and the dealerships misconduct. 
FCRA 611 : I have formally disputed the account, but the bureaus failed to correct the inaccuracies or suppress the item based on material context ( fraud litigation, court bond payout ). 
FCRA 605 ( A ) ( 1 ) : Since the account is derived from a fraudulent transaction, it should not remain on my credit for 7 years without consideration of the broader legal context. 
Additionally, under the Truth in Lending Act and UCC consumer protection laws, a misrepresented, non-roadworthy asset voids the legitimacy of a binding financial obligation. 

The continued reporting of this charge-off is misleading and is actively harming my ability to secure reliable transportation and business funding a compounding injustice stemming from the original fraud.

Company response to consumer: Closed with explanation