Experian Hit with Another Class Action Alleging Inaccurate Credit Reporting

New to ClassAction.org? Read our Newswire Disclaimer

Experian Information Solutions, Inc. is the defendant in another proposed class action filed this week on behalf of consumers in Florida, Michigan, and Kentucky over allegations that its inadequate credit reporting procedures result in the inaccurate reporting of consumer information.

According to the complaint, the consumer reporting agency “seeks out” negative public records information from a third party to include in its consumer reports, even though there's nothing in the FCRA requiring it to do so. The issue, the case alleges, is that in the event such information is revised, Experian “does not follow similar procedures to gather updated information when the tax lien or judgment is released, satisfied, vacated, or otherwise removed.” As a result, consumers are unfairly subjected to negative reporting consequences, including, as in the plaintiff’s case, the denial of mortgage loans and delays in obtaining security clearance, the suit says.

The plaintiff claims Experian reported unsatisfied tax liens on his credit report after the liens had been cleared years earlier. He argues that the defendant would never have reported the inaccurate information if it had employed “reasonable procedures to ensure the maximum possible accuracy” of its reports, as the Fair Credit Reporting Act requires of it.

The complaint further claims Experian “has long been aware of the problems alleged herein,” noting that the Consumer Financial Protection Bureau and several states’ attorneys general have warned and chastised the agency for its “weak” and “inadequate” procedures.