Does the FCRA apply to creditors or just CRA's. I have a 30 day late mortgage payment that just won't go away. I want to send another nasty letter to the creditor threatening a few things, but I'm not sure if the FCRA even applies. Maybe the FDCPA. Any insight would be greatly appreciated. BTW, the info is REALLY inaccurate so I'm ready to go to war on this one to get it removed. TU got rid of it, but Eq and Ex still show it after multiple disputes via CRRR, on line, phone etc...
Hey I'm pretty sure the FDCPA does NOT apply to the original creditor - "The term does not include -- (A) any officer or employee of a creditor while, in the name of the creditor, collecting debts for such creditor; " It also doesn't apply to the government! I'm pretty sure the FCRA does apply to mortgage lenders/servicers - but I can't find the relevant section of FCRA before my morning coffee. Hope this helps Cheers
The FCRA applies to anyone who reports information to the CRAs. And of course the FCRA applies to the CRAs as well. The FDCPA applies specifically to collection agencies. However, original creditors can be held liable for the illegal activities of a CA with whom they've contracted to collect a debt. For that reason, original creditors sometimes get nervous when debtors make a stink in just the right way regarding FDCPA issues. Remember that creditors do not want to go to court. If the amount is small enough (especially when the amounts are smaller than what it would cost to defend a costly legal action brought by some litigious nutcase, ahem), and the complaints are written compellingly enough in a manner that suggests that the complainant is serious about moving forward legally, then you'll find that creditors generally don't want to spend their time and money in court discussing whether or not the FDCPA or FCRA applies to them. Such academic conversations are not the stuff that makes for maximizing efficiency and profits. Rather, they would prefer the complainant just go away. The bottom line is that if you carefully construct your complaints and demands, and do it with completely lawful methods which reference federal and state statutes, then you stand a terrific chance of prevailing without even knowing how a judge might ultimately rule vis-a-vis the applicability of one law or another. Doc
The FCRA relates to any business or person that reports to a cra. Check the section "Responsibilities for furnishers of information" section 623.
Here is the FTC letter that substantiates an original creditor's responsibility under the FDCPA for the actions of a collection agency that subsequently attempts to collect that debt (Douglass letter): http://www.ftc.gov/os/statutes/fdcpa/letters/douglass.htm Specifically, note the answer in that letter to "Question 3": If a creditor knowingly approves of representations made by its debt collectors that violate the Act or acts in concert with or knowingly assists its debt collectors in making these representations, the creditor may have engaged in unfair or deceptive acts or practices in violation of Section 5. Original creditors don't want to pay legal bills in an attempt to substantiate that they didn't "knowingly assist" subsequent collectors. Demonstrating that you understand your consumer rights related to such matters may be enough to make them think twice about messing with you anymore, lol. Doc
THanks for all the info guys. I also ran across Christi's 72 hour fax, what a masterpiece that is. Just sent off the fax this morning, a combination of the litigious nutcase letter, the 72 hour letter, a few citations of California civil code. Now we wait and see. thanks again.
