Can You Sue for Wrong Information on Your Credit Report?

You may be able to sue a creditor or credit reporting agency if there is wrong information on your credit report that is not being removed.

What Are Common Credit Reporting Errors?

According to a study by the Federal Trade Commission (FTC), one in five Americans have an error on at least one of their credit reports. In many cases, these credit errors could have an impact on their credit score and their ability to apply for a loan.

Some possible credit reporting errors may include accounts or debts that don’t belong to you, improperly reported accounts, doubled credit report entries, reporting on a disputed loan, and more.

A number of factors can lead to credit reporting errors. In some cases, human or clerical error results in accounts being added to the wrong credit report. In other cases, a creditor may continue reporting a debt despite a successful dispute. Other credit errors may be a result of more insidious situations such as identity theft.

Credit reporting agencies such as Equifax and TransUnion have also been accused of misreporting public records such as civil judgments and tax liens – resulting in settlements to resolve the class action claims against them.

Regardless of the cause of a credit report error, these mistakes can have serious adverse effects on consumers looking to secure a car loan, mortgage, rental agreement, and other transactions based on credit scores.

Can You Sue for Wrong Information on Your Credit Report?

If you dispute an error on your credit report with any of the credit reporting agency, they are required to investigate the issue and either delete an error or report back their findings to you. In some cases, the creditor may tell the credit reporting agency that the entry is correct, meaning that they will not remove the item.

Should a credit reporting agency determine that the error is not accurate, you can try to work things out with their creditor. In some cases, a creditor will agree that the information is wrong and can provide a letter to be sent to the credit reporting agency.

If the issue remains a problem with no feasible alternative, you can look into filing complaints. The Federal Trade Commission (FTC) accepts complaints about credit reporting agencies and creditors on their website. State agencies and attorneys general may also have similar complaint systems available.

Another option is to sue the creditor or credit reporting agency. If a credit reporting agencies report false information after a consumer attempts to correct wrong information on your credit report, they may be in violation of the Fair Credit Reporting Act (FCRA). Similarly, if creditors continue to report false information, they may also be in violation of FCRA. However, it is generally easier to bring claims against a credit reporting agency than it is to bring claims against a creditor.

An experienced lawyer will be able to help you determine if you are able to sue anyone for wrong information on your credit report. If you have legal standing, they will be able to help you argue for your case in court and seek compensation, if applicable.

Join a Free Credit Report Errors Lawsuit Investigation

If you have errors on your credit report, you may qualify to participate in a credit report lawsuit investigation.

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This article is not legal advice. It is presented
for informational purposes only.