Published: September 2020

Advocates tell CFPB: “Stop violations of the Fair Credit Reporting Act.”

Consumer Action joined a coalition of 20 advocacy groups in urging the Consumer Financial Protection Bureau (CFPB) to revoke permission that the Bureau granted the credit reporting industry to violate the 30-day deadline imposed by the Fair Credit Reporting Act (FCRA) for investigating disputes — a waiver that was given to help ease the burden of business operations during the start of the coronavirus pandemic. Given the severe financial difficulties that the COVID-19 pandemic has inflicted on millions of American consumers, and after seeing a 550% increase in complaint submissions to the CFPB on the matter, it’s more important than ever that credit reporting disputes are resolved in a timely manner.

The Consumer Financial Protection Bureau (CFPB) had permitted credit and consumer reporting agencies (CRAs) — and the banks, lenders and debt collectors that report information to the CRAs — to exceed the 30 days due to the pandemic’s response, including “reductions in staff, difficulty in taking disputes, or lack of access to necessary information.” A search of the CFPB complaint database reveals that there has been a dramatic increase in complaints from consumers regarding delays in the processing of their disputes. Consumers have lodged over 13,000 complaints just in the past six months alleging that their disputes have not been addressed within the FCRA deadline, if addressed at all. In comparison, there were only 2,000 complaints in both of these two subcategories cumulatively for the same time period in 2019. This means there has been a 550% increase--likely as a result of the CFPB guidance.

Lead Organization

National Consumer Law Center (NCLC)

Other Organizations

National Consumer Law Center (on behalf of its low-income clients) | Americans for Financial Reform Education Fund | Center for Digital Democracy | Consumer Action | Consumer Federation of America | Consumer Reports | Delaware Community Reinvestment Action Council, Inc. | Demos | Missouri Faith Voices | Montana Organizing Project | National Association of Consumer Advocates | New Georgia Project | New Jersey Citizen Action | Public Good Law Center | Tennessee Citizen Action | Texas Appleseed | Tzedek DC | U.S. PIRG | Virginia Organizing | VOICE - OKC | Woodstock Institute

More Information

To read the coalition letter in full, please click here.

For more information, please visit NCLC's website.

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