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DISCLAIMER: This article is based on a complaint. The defendant has not responded to the complaint to present its side of the case. The claims mentioned are accusations and should be considered as such until and unless proven otherwise.
A collection operation is facing claims it violated the Fair Credit Reporting Act and Fair Debt Collection Practices Act by continuing to report a debt was accurate after the plaintiff submitted a police report indicating he was not responsible for the debt.
The background: The complaint is short on some of the facts, but based on what is in there, it appears safe to assume that the plaintiff learned that a debt was being reported on his credit report. The debt was tied to some form of apartment or house rental in Maryland.
- The defendant attempted to collect on the debt from the plaintiff. The only reference to a collection attempt in the complaint is that information about the debt was furnished to the credit reporting agencies.
- The plaintiff, who is a resident of Alabama, disputed the debt with the credit reporting agencies. The plaintiff included a police report where he claimed he was not responsible for the debt.
- The defendant verified the debt was accurate and should remain in the plaintiff’s credit report. The plaintiff claims the defendant did not conduct a reasonable investigation because, among other reasons, the defendant did not attempt to contact the plaintiff as part of its investigation and because the information that was provided with the dispute should have proven that the plaintiff was not responsible for the debt, according to the complaint.
- By not removing the debt from his credit report, the plaintiff’s credit score has dropped, causing him to suffer emotional distress, according to the complaint.
The claims: The complaint accuses the defendant of violating Section 1682s-2(b) of the FCRA by failing to conduct a reasonable investigation of the plaintiff’s dispute.
- The complaint also accuses the defendant of violating Section 1692e of the FDCPA by using misleading representations in connection with the collection of a debt and making false representations concerning the legal status of the debt.
