Fair Credit Reporting Act Violations
Defending Your Right to Fair and Accurate Credit Reports
The Fair Credit Reporting Act (FCRA) was created to prevent credit reporting
agencies from abusing consumers' rights. The act gives you the right
to fair and accurate reporting of your credit information and certain
privacy rights. If you believe that your rights have been violated in
any way, you may be able to take legal action.
You may be able to obtain the following if your rights have been violated:
- Attorney fees
- Actual or punitive damages
- Any additional costs associated
The type of legal action and damages you can seek will depend primarily
on whether or not a violation was intentional or negligent. The Fresno
bankruptcy lawyers at the Arnold Law Group, APC have more than 30 years
of combined experience and are equipped to take on tough creditors.
Understanding the FCRA
In order to better govern the behavior of credit reporting agencies/credit
bureaus, the FCRA was created. Credit reporting agencies gather information
reported by individuals or businesses regarding their credit and compile
it into a credit report.
Some major credit reporting problems include:
- Informational errors
- Misstating the balance amount
- False reporting
- Privacy violations
- Reporting old debts or information
Since employers, creditors, and landlords rely on this information, it
is crucial that all reports remain as accurate as possible. There are
strict regulations regarding what information can be included on your
credit report and how long this information can be reported. There are
also rules on who can view or access this information. If a credit reporting
agency violates any of these rules, you may be able to pursue damages.
Understanding Violations of the Fair Credit Reporting Act
There are two types of FCRA violations that may occur: willful and negligent.
-
Willful Violations - A willful violation occurs when a credit reporting agency intentionally
provides incorrect information or knowingly violates your privacy.
- You may lose out on employment opportunities, be denied a car loan, or
even lose your home due to incorrect credit report information.
-
Negligent Violations - A negligent violation occurs when a credit reporting agency carelessly
failed to follow or comply with its obligations under the FCRA.
- This may mean that they failed to update a report that is out dated or
have informational errors that result in loss of opportunity for you.
If you would like to learn if you can pursue legal action against a credit
reporting agency, be sure to
contact our firm for counsel.