Is there any punishment for credit bureaus who report false/unverified information?

magnate · #1 (**permalink**) 12-06-2006, 11:56 AM

Three credit bureaus issue you credit scores but with identity theft running rampant dealing with them might be more harmful than helpful because you end up giving them more information that may not be secure or that they might report to someone else. Freezing hasn't worked. Requiring notarized written permission before releasing information hasn't worked so we need to know how to protect our members from these unscrupulous predators.

Raisecapital01 · #2 (**permalink**) 12-14-2006, 04:44 PM

You tried Fraud Alerts, and they have not worked. I worked in the retail industry, and once someone has a fraud alert on their credit report, the credit department has to verify details on the credit report to see if the person who is asking for credit, is the person.

SavedintheCity · #3 (**permalink**) 12-15-2006, 10:32 AM

Credit Reporting Bureaus operate under what is known as the Fair Credit Reporting Act (FCRA). FCRA does provide civil penalties for Credit Reporting Agencies that intentionally and knowingly publish false or intentionally misleading information in a consumer record. The way it works is this, you get to challenge items on your report that you think are errors. The Credit Reporting Agency then sends out a notice to the company that put it on your report. If the Company that put the negative reference on your credit report does not respond and substantiate the report within 30 days the record is removed from your credit report. So a credit reporting agency has no liability if the company that put the record on the report mistakenly believes that the credit was created by you. As you can see, this law was created with a lot of "help" from Equifax, TransUnion, and Experian. As long as they follow the steps, they are completely off the hook. So if a creditor maliciously and falsely places a credit on your report, even though it was satisfied, you cannot sue the Credit Reporting Agency (you may however have a cause of action against the creditor). It is difficult to bring a lawsuit against the Credit Reporting Agencies because they wrote the law to almost exempt them from litigation. Call your congressman/congresswoman.

cicy33 · #4 (**permalink**) 12-22-2006, 09:21 PM

Credit reporting agencies are a joke. my husband has so much crap on his report that we cannot get rid of it. we request to remove it and they do, does it help? NO. Why, you ask? because they put more back on! We used to constantly have to have them remove stuff that was not my husband's that we finally gave up and don't care anymore. we dont' want or need credit. Our house is financed already. our vehicles are fully paid for and will remain that way from now on. we dont' want anymore credit cards. ever. you would think that there is someway to hold them liable in some way.

Raisecapital01 · #5 (**permalink**) 12-27-2006, 10:56 AM

It is sad that this information pops up peoples credit report when they have a fraud alert on them too. How can people protect their credit? What are some solutions?

cicy33 · #6 (**permalink**) 12-27-2006, 12:19 PM

I think until they come up with a new way to check credit that these groups will continue to be very sketchy at the least. Unfortunately as the society becomes less an less caring about doing a good job it will only get worse.

SavedintheCity · #7 (**permalink**) 12-27-2006, 01:00 PM

Quote:

Originally Posted by Raisecapital01

It is sad that this information pops up peoples credit report when they have a fraud alert on them too. How can people protect their credit? What are some solutions?

As long as the current regime is in place, you the consumer have few rights. Therefore, there is little you can do to protect yourself other than to monitor your credit report regularly and challenge false entries. It's not a perfect system by any means, therefore, contact your congressman/congresswoman.

instantinfo4you · #8 (**permalink**) 12-28-2006, 07:16 PM

There will always be unscrupulous people commiting unspeakable acts using other peoples credit. It is just a way of life. There is good and there is evil, and the evil will always find a way to swindle the good. Period. The only way to protect yourself is to not have to worry about your credit, and get it checked at least once a year to make sure your identity hasn't been stolen. Everyone should be checking at LEAST yearly to be sure there Identity is still theirs.