Federal Credit Report

The Federal Credit Reporting Act ["FCRA"], it is mandatory for Credit Reporting Agencies such as Experian, Equifax and Trans Union "to follow procedures to ensure maximum possible accuracy of the information in the report of the consumer [credit] ...." A willful and neglect to do is number 1 violation of FCRA. One wonders when in fact it appears that some credit bureau ["CRA procedures], or its absence, ensures maximum possible inaccuracy of the information in the consumer's credit report. Let us consider the words federal law means exactly the opposite of what they say? Legally, philosophically, morally, we do not think so.

An online business "on your credit report provides some standard elements of information on an account that you, as the name of the company (eg a department store, for example), the address of the company, account number, account balance, credit conditions, and so on. None of this information could actually be wrong, but the piece of information that we discuss in this article is that specific identifier and essential for rating agencies, the account number.

One might think that such a mundane piece of information as an account number could not cause much trouble, and in a sense it is true. What actually causes the problem is when the account number for the same account is changed and sometimes changed several times, so that the identity of the true count is considerably obscured. When this is allowed to occur, super computers rating agencies, using simple logic, but lacking intelligence, assume an account is the same, or a game, when he has the same account number and it is different when it does not work. Here may be the source of most headaches, and aggravation of damages for the consumer, and denial of responsibility although the rating agencies.

An example would be useful to illustrate. To say that the consumption is invoiced for a $ 600.00 balance on a credit card stores. A consumer never requested such a card, and therefore the debt can not be his. He suspects that someone has stolen his identity and opened the account using his Social Security number and other private information. After many phone calls and letters back and forth, the store accepts that this is not consumer debt A, after all, and tells the consumer Do not worry, they will "take care of her. "Naturally, Consumer A is now relieved and assumes that it will be" careful ", i.. E., of him they will stop billing for the debt will be invalidated and removed from his credit file. The account number, by the way - say it is 1234567890 and that is how the rating agencies are reporting on credit reports consumer A. A consumer notifies the credit rating agencies by certified mail to the situation, as well as documentation, and they all remove the line of business previously in a month.

About four months passed and Consumer A was dismayed to receive by mail a letter from a debt collection company called "Pit Bull". Pit Bull, in his letter, said he is collecting a debt on behalf of the store (the same as previously said consumer Do not worry, they take care of him and destroy
credit report.) Pit Bull shows debt now $ 850, having tacked on $ 50 penalty and default charges of $ 200 'or attorneys' fees), but informs the consumer was that, even if it must immediately the full amount of $ 850, they take $ 450 as full payment. They can not guarantee the consumer that the store will be back in the good graces vis-a -vis their credit card (which has never been his first) but if he pays them $ 450 at least they cease to raise him. The account number on the letter N.