Posted by Linda_in_MI on 8/25/13 6:23pm
Msg #481872

WOW 20% error rate relating to credit reports

Just now watching an episode of 60 Minutes on the big three credit reporting companies and how they operate. Specifically as it relates to disputing inaccurate information and getting that information corrected. It was stated that one out of 5 individuals may have inaccurate information that the agencies will not correct. This episode also states that a some of the actions used--outsourcing some of their work in South American or India--are in violation of the Fair Credit Reporting Act.

One individual, Judy Thomas, took 6 years to get information off her credit report. Somehow someone else's information was reported on her record. As it turned out, the inaccurate information was for a Judith Kendall; during that time even the creditors for Ms. Kendall acknowledged the error but the credit reporting agencies refused to act. It wasn't resolved until she filed suit in federal court and won.

Reply by JanetK_CA on 8/25/13 6:31pm
Msg #481873

Thanks for the heads up. Hasn't broadcast here yet and I won't be able to watch, so I'll set it up to record. Somehow this doesn't surprise me, but I'm glad to see a light being shone on those practices.

Reply by MW/VA on 8/25/13 8:04pm
Msg #481879

Unfortunately, it's because they own your info & sell it to

subscribers (those who pull credit reports). It's a maddening concept. They only have so much responsibility to correct errors.
I subscribe to a credit report monitoring service. I can access my credit score & report at any time. Also, I get an email alert whenever there is any activity in my report, such as inquiries, new accts., etc. I do pay for this service, but it allows me to make sure my info is correct.

Reply by Linda_in_MI on 8/25/13 10:48pm
Msg #481899

But they also referenced the n/m

Reply by Linda_in_MI on 8/25/13 10:57pm
Msg #481901

But what about the "other" credit score/report used

(Sorry about that first post)
Not the one most consumers see or likely will get. The other report used primarily by banks that may show a completely different scenario or score. The lady they talked with in the segment only found out this report with damning terrible reports was being used--instead of the squeaky clean report she was getting--by accident when her file was left unattended on a desk of a LO and she peeked at her own information. That's what started her quest to repair her credit.

Bottom line, the segment didn't have a lot of good things to say about Experian, TransUnion or Equifax. And neither did the OH-AG or lawmakers they spoke with.

Reply by Susan Fischer on 8/26/13 8:27am
Msg #481920

I sure don't trust any of 'em...20 yrs or so ago, my reports

contained four mortgages (not mine) totaling hundreds of thousands of dollars, and did not have my little mortgage...no rhyme or reason, not even similar names. Took forever to get it squared away. Another beef I have: companies are not obligated to report a paid off loan.

But your post about the "secret" score - the "real" one that consumers don't get to see - is the kicker...how is one to "repair" what one doesn't know is broken?

Grrrrr.

Reply by ToniK on 8/26/13 7:22am
Msg #481913

Not surprised at all

Im battling errors on my account right now. Thanks to CitiMortgage. I disputed with them and with all credit bureaus. But all I get is "We cant change it" I call BS and now Im having a lawyer handle it.

Reply by Linda_in_MI on 8/26/13 8:40am
Msg #481921

Define "reasonable" action

That was one of the points a lawmaker is trying to resolve. He stated that by law, the credit reporting agency are REQUIRED to correct inaccurate information. But at the same time they are only required to take REASONABLE action to investigate and or correct that information. The Big 3 have a different definition of reasonable than do the majority of Americans.

Reply by MW/VA on 8/26/13 2:21pm
Msg #481984

Yes, but they sidestep that by saying they are only

reporting what the cos. have reported to them. It's the co. in question you have to go after for errors, and they in turn have to correct it with the Credit Bureaus. It's a mess!

Reply by ikando on 8/26/13 6:28pm
Msg #482004

I happened to see that 60 Minutes report, and the first thing I thought of was the name affidavits we have borrowers sign in their loan packages. I know I've had people tell me that the name listed is on a credit card, even though it's wrong.

In my opinion, that affidavit is one of the points at which a person should acknowledge only the names they truly have gone by. If a person accepts as their name something that isn't, what can be expected from companies that only do the minimum to verify.