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What to do after dispute results in even more incorrect data being reported?

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What to do after dispute results in even more incorrect data being reported?

I had one incorrectly reported 30 day late payment in January 2020 showing up in EQ and TU but not EX... so I filed a dispute... the results of the dispute kept the 30 day late on TU but is now showing as a 60 day late on EQ.. so not only did they not remove the incorrect 30 day late, they made it worse... and nicked my EQ for 12 points... so now this account shows zero lates on EX, a 30 day late on TU and a 60 day late on EQ... seriously frustrated...

This is also a currently open account that I have a good relationship with the lender (chase auto) with 6 payments left to make on a 72 month auto loan... what should my next course of actions be?? Is the fact that they are now reporting different information to each of the three bureaus grounds to get it removed? I tried calling them initially and they wouldnt do anything... I only tried once though, should I try again, try to get higher up in the food chain?? dispute again??? all the credit bureaus??


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Senior Contributor

Re: What to do after dispute results in even more incorrect data being reported?


@soaknfused wrote:

I had one incorrectly reported 30 day late payment in January 2020 showing up in EQ and TU but not EX... so I filed a dispute... the results of the dispute kept the 30 day late on TU but is now showing as a 60 day late on EQ.. so not only did they not remove the incorrect 30 day late, they made it worse... and nicked my EQ for 12 points... so now this account shows zero lates on EX, a 30 day late on TU and a 60 day late on EQ... seriously frustrated...

This is also a currently open account that I have a good relationship with the lender (chase auto) with 6 payments left to make on a 72 month auto loan... what should my next course of actions be?? Is the fact that they are now reporting different information to each of the three bureaus grounds to get it removed? I tried calling them initially and they wouldnt do anything... I only tried once though, should I try again, try to get higher up in the food chain?? dispute again??? all the credit bureaus??



So this was an eroneous late correct? You were never late? Sometimes disputes make things worse although when something is incorrect it needs to be resolved. Also sometimes back to back disputes they will deem it frivilous ( not that it is) and won't reinvestigate. Have you tired contacting Chase directly and asking them to correct their mistake?

EXP 758 TU 783 EQ 729
Message 2 of 8
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Senior Contributor

Re: What to do after dispute results in even more incorrect data being reported?

Paging @RobertEG 

 

EXP 758 TU 783 EQ 729
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Legendary Contributor

Re: What to do after dispute results in even more incorrect data being reported?

The FCRA does not provide any formal appeal process from a decision on a dispute.

It additionally permits a second dispute that is substantially the same as a prior, concluded dispute to be dismissed without any second investigation on the basis that it is "frivolous of irrelevant."

You thus cannot simply continue to file the same dispute anew and have it considered.

 

Thus, while you can always choose to submit a renewed dispute on the same basis, it can be dismissed without having to conduct a second investigation on the same basis.  You would need additional evidence or basis for any renewed dispute to avoid summary dismissal.

In the posted scenario, the dispute resolution that adds new, inaccurate information clearly gives rise to filing a second dispute directed at the newly posted inaccuracy, as that would not be a duplicate dispute on "substantailly the same basis."  That would be my recommendation before pursing any CFPB complaint or civil action.

 

Rather, the FCRA provides two alternate paths for pursing what is considered to be an improper finding in a dispute.

One is to pursue administratively if you feel that the decision can clearly be shown to be inconsistent with the FCRA or federal regulations, and the other is to seek review of a finding of a dispute that the contested  information is considered to be inaccurate,notwithstanding the verification provided by the furnisher of the reported information.

 

Administrative review of clear errors in application of the law is sought by way of filing a complaint with the Consumer Financial Protection Bureau (CFPB), who has administrative oversight over the FCRA and FDCPA.

While a CFPB complaint is usually taken very seriously by the furnisher, the Bureau ultimately cannot compel compliance with any finding they make without filing a civil action with the courts on behalf of the consumer, which they rarely if ever do.  They, as a matter of internal policy, will usually only move to filing a civil complaint if the issue involves either repeated violations, or it affects a  broad base of consumers.

 

Review by the courts can be sougjt by a consumer on their own only after they have first filed a formal dispute with the CRA and received verification of accuracy of the disputed information.  FCRA 623(c).

The civil action then contests the reasonableness of the furnisher's investigation of the dispute.

 

Due to the inherent cost in both time and money of filing a civil suit, most consumers dont take that route to contest the finding of a dispute.  Rather, they will begin by informal calls in an attempt to get reconsideration, or they will file a formal complaint with the CFPB and hope that it will pursuade the furnisher as to the err of their ways.

 

 

 

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Valued Contributor

Re: What to do after dispute results in even more incorrect data being reported?

Is there a way to print out or save as a PDF document the payment history from Chase on this loan? If so then redispute this account with Experian and upload the document as proof.

FICO 8 EX 794 TU 794 EF 805
Discover IT Opened 9/1990 CL 19,000, JC Penney Opened 10/2008 CL 4700, US Bank Cash Plus Opened 8/2010 CL 12000, Citibank Double Cash Opened 5/2015 CL 11,100, Chase Freedom Flex Opened 09/2020 CL 10,500
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Re: What to do after dispute results in even more incorrect data being reported?

@RobertEG So if a complaint as administratively filed and is resolved in favor of the consumer, if the bureau cannot mandate compliance absent a court judgment, what do they typically do to resolve the issue?

 

Can they resolve the reporting sans the subscriber? If they are not willing to file the lawsuit, do they just ignore the order from the CFPB? Does the consumer have any recourse at that point to enforce the CFPB order?

-Our Community’s updated scoring wisdom: Link to Scoring Primer.
-For Negative Reason Codes see: CassieCard’s Score Factors thread.
-ccquest’s workbook to calculate metrics for you: Link to Workbook.

Oct 2020 New Account Scorecard.Nov 2020, No New Account Scorecard (reassignment conflated with aging. EX9 not updated yet. Oldest/avg varies. Estimates above.)
Real world mortgage maxes are: EQ5-818, TU4-839, EX2-844.


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(Everything said is JMHO and is not endorsed by FICO or MF. I have no affiliation with either, just a grateful member.)
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Re: What to do after dispute results in even more incorrect data being reported?

Most creditors and debt collectors will go out of their way not to displease the CFPB due to their knowledge that the CFPB does have the authority to bring civil action.  The CFPB has specific authority to bring civil action for asserted violations of the FCRA and FDCPA, and thus obtain an enforceable court order, while the consumer does not have authority to being their own civil action if the asserted violation is one of inaccurate reporting to a CRA.  See FCRA 623(c).

 

In distinction to the CFPB authority to bring civil action for asserted reporting violations, a consumer must first file a dispute with the CRA before civil action can be filed for reporting violations, and it then becomes the reasonableness of the furnisher's investigation of the dispute that then can be pursued by private consumer civil action, rather than the fact of inaccurate reporting in the first instance.

 

The CFPB is not a court and cannot compel compliance with its findings without resorting to a court order, but their admin. findings can often lead to negotiations and a consent agreement without civil suit.  Additionally, the CFPB maintains a public database of complaints and their resolution, which itself has significant compliance value.

Finally, the CFPB is granted authority to pass federal regulations to address complaints on a general scale.

 

Thus, a consumer should definately consider filing a dispute with the CRA, even if they opt to file an admin complaint with the CFPB.  That then makes the substance subject to their own private civil action if the outcome of the dispute is not considered by the consumer to be reasonable.  In effect, the consumer obtains the right to sue, but only after first giving the furnisher the right to correct or delete the inaccurate reporting without peril of civil litigation in the first instance.

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Re: What to do after dispute results in even more incorrect data being reported?

Thank you for the informative answer @RobertEG !
-Our Community’s updated scoring wisdom: Link to Scoring Primer.
-For Negative Reason Codes see: CassieCard’s Score Factors thread.
-ccquest’s workbook to calculate metrics for you: Link to Workbook.

Oct 2020 New Account Scorecard.Nov 2020, No New Account Scorecard (reassignment conflated with aging. EX9 not updated yet. Oldest/avg varies. Estimates above.)
Real world mortgage maxes are: EQ5-818, TU4-839, EX2-844.


RIP:
(Everything said is JMHO and is not endorsed by FICO or MF. I have no affiliation with either, just a grateful member.)
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