My former credit union pulled my CR about 2 weeks after I was discharged in chapter 7. They also have not updated my credit report. I checked Pacer and I noticed that the letter sent to them informing them of the discharge was returned to the court because they had moved. Still I don't think if they checked by credit to look at the BK they should have done that...they should have checked with the court. Plus they are reporting a balance on all my accounts. Here is the letter I wrote to them: To Whom It May Concern, As per my Equifax credit report, [My former bank] obtained my credit report on 5/23/2006 without my authorization. My accounts were already closed and my Bankruptcy discharged on 5/9/2006. From the FCRA § 616. Civil liability for willful noncompliance [15 U.S.C. § 1681n] "(b) Civil liability for knowing noncompliance. Any person who obtains a consumer report from a consumer reporting agency under false pretenses or knowingly without a permissible purpose shall be liable to the consumer reporting agency for actual damages sustained by the consumer reporting agency or $1,000, whichever is greater." From the 1998 FTC opinion letter at http://www.ftc.gov/os/statutes/fcra/greenblt.htm: "Any person who procures a consumer report under false pretenses, or knowingly without a permissible purpose, is liable for $1000 or actual damages (whichever is greater) to both the consumer and to the consumer reporting agency from which the report is procured." Please explain your permissible purpose for your obtaining my credit file. Should you not have a permissible purpose, please arrange for payment of $1,000 within ten (10) business days. In addition, your company is violating the law by not correctly reporting my discharged debts to the credit bureaus. FTC OSC section 607, item 6 states: "A consumer report may include an account that was discharged in bankruptcy (as well as the bankruptcy itself), as long as it reports a zero balance due to reflect the fact that the consumer is no longer liable for the discharged debt." You are reporting the following erroneous facts: My auto loan On Equifax and Experian shows a balance of $3,560. You also have coded the payment status as "Charge Off" on Experian and "Bad Debt" on Equifax. The balance should read $0, and payment status should indicate "Included in Bankruptcy". You also indicate the car was repossessed which is false. The report should indicate a Voluntary Surrender. Also, on Equifax the account is reported as still being open. You show a balance of $988 on Equifax, coded as "Bad Debt", and $988 on Experian coded as "Charge Off". Again, the balance should be $0 and status should say "Included in Bankruptcy." On Equifax and Experian you show a balance of $1,065, also coded as "Charge Off". The inaccurate information you have placed on my credit report creates a cause of action for damage to my credit. I expect you to transmit accurate information to Equifax and Experian within ten (10) business days. Very truly yours, Any suggestions for anything else I should do? I also was denied credit a month or so ago. I am thinking about filing a small claims case.
Do you really want to take on the job of educating an overworked magistrate on the finer points of federal law? If you sue a CRA in scc, they will remove it to federal, and you get the benefit of the lower filing fee. Not likely to be so with a creditor. I'd file in Forma Pauperis with the federal district court (free filing fee if they accept it), and/or contact the bankruptcy trustee about contempt of court. (that can hurt them a lot more than a $1000 FCRA suit) http://debtorboards.com/smf/index.php?topic=31.0 You've sent them a letter that pretty much amounts to an Intent to Sue, so if they don't pay, you should sue. Claims against them for improper reporting can dissipate if they fix the reporting, but impermissible pulls can't be fixed, they already violated your privacy, and if they claim it was because you owe them money, then they are in contempt of a court order.
Well I would be suing the credit union, not the CRA. I know a federal case would definetly get their attention. It would be more complicated for me...I did the BK pro se and I have some law knowledge. Not sure if I can handle a federal lawsuit pro se.
could I file a federal suit AND ask the BK court to find them in contempt? I guess that would be a formal Motion for Contempt?
Yes, both can be done. I'm not sure exactly how to handle the contempt angle. I'd ask my ch7 trustee for his opinion on how it's done, he's probably a highly experienced local bk attorney (and it's possible that the trustee and judge would handle it on their own if they think it's contempt)
hmmm You dont want to be claiming violation and damages under 1681n(a)(3) as it refers to damages DUE and PAYABLE to the CreditReportingAgency NOT the consumer. You want to use 1681n(a)(1)(A)... or if say and attorney or other named individual vioilated, then 1681n(a)(1)(B). AND.... 1681n(a)(2) PUNATIVE DAMAGES.
