Question regarding Equifax backdoor showing disputed items as reported today

[Anonymous]

I took a peek at my Equifax dispute to see when the CRA started their investigation. It showed that the investigation began on Jan 22nd, and the two (same lender) disputed tradelines show last reported on today. Could the lender report today while the tradelines are being investigated, or does last reported indicate the tradeline was verified? 

I assume the lender could have done an automated update while EQ continues investigating, right? I guess what I am after is if someone can confirm that "last reported" is not necessarily verifying the debt by the lender, if that makes sense. I assume if they verified as they reported, then the investigation would be marked as complete and not underway.

[satio]

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@Anonymous wrote:

I took a peek at my Equifax dispute to see when the CRA started their investigation. It showed that the investigation began on Jan 22nd, and the two (same lender) disputed tradelines show last reported on today. Could the lender report today while the tradelines are being investigated, or does last reported indicate the tradeline was verified? 

I assume the lender could have done an automated update while EQ continues investigating, right? I guess what I am after is if someone can confirm that "last reported" is not necessarily verifying the debt by the lender, if that makes sense. I assume if they verified as they reported, then the investigation would be marked as complete and not underway.

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Whether "last reported" value for EQ (or any other CRA) is updated as a function of verifying an account I am uncertain.

You could, however, check the history of the account if you have access to that to determine what the typical date is for that lender to update each month to see if it coincides with the timing of this most recent update date.

[RobertEG]

No, the act of regular reporting to a CRA does not constitute verification of accuracy by either the furnisher (e.g., creditor or debt collector) of their invetigation of a dispute, or by the CRA of their final results of reinvestigation of accuracy of disputed information.

In detail, FCRA 611(a)(2) first requires the CRA to forward a copy of the dispute to the furnisher within 5 business days of filing of the dispute.  The furnisher is then required per FCRA623(b) to conduct a reasonable investigation of the accuracy and completeness of the disputed information and respond with their results back to the CRA within the (normally) 30-day dispute period.  

FCRA 611(a)(6) then mandates that the CRA send to the consumer a separate and specific Notice of Results of Reinvestigation no later than 5 business days after conclusion of the CRA's reinvestigtion period.  It is that formal document that officially concludes the dispute by either verifying, correcting, or if neither can be done, deleting the disputed information.

At specific point to the posted question, nothing in the FCRA prohibits a furnisher from making separate updates to any and all information during the pendency of a dispute of reported information.  However, if they do so,then section 623(a)(3) requires the furisher to include specific notice to the CRA in that updating that the information is currently under dispute, and the CRA is the mandated under FCRA 611(c) to similarly then include explicit notice in any credit report they subsequently issue that the information has been disputed by the consumer.

Thus, the only requirement upon continued updated reporting after filing of a dispute is that the furnisher include notice in that updated reporting that information is currently under dispute, and that the CRA simiarly include such notice in credit reports they issue.

The updated reporting itself does not comprise formal verification of the dispute.