Monevo Obtains Consumer Credit Reports Without Necessary Authorization, Class Action Alleges

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Monevo, Inc. faces a proposed class action over its alleged practice of obtaining consumer credit reports without proper authorization to do so.

The seven-page case alleges that the personal credit platform has violated the federal Fair Credit Reporting Act (FCRA) by accessing consumers’ credit reports without a permissible purpose for doing so. Permissible purposes for accessing someone’s credit report include, for example, a consumer-initiated credit transaction, a credit offer, an employment-related matter or a business transaction in which an individual has accepted personal liability for business credit, the suit says.

The plaintiff, a Houston, Texas resident, says he obtained a copy of his TransUnion credit report in November 2021 and noticed that Monevo had accessed his report back in March 2020. According to the case, the defendant had misrepresented that it had a “Permissible Purpose/Written Authorization” to receive the plaintiff’s credit report.

The plaintiff claims to have never had a business relationship with Monevo, applied for a loan through the company or otherwise authorized it to access his credit report. In fact, the plaintiff asserts in the lawsuit that he had “never heard of Monevo” before reviewing his credit report in November 2021.

When the plaintiff contacted Moveno to inquire about the credit report pull, the company insisted that his information had been submitted through its platform on March 1, 2020, the complaint relays. Nevertheless, Monevo has failed to provide a copy of the application or an authorization to view the plaintiff’s credit report, according to the suit.

The lawsuit states that the plaintiff’s credit report contained “a trove of sensitive personal and private information,” including his birth date, credit history, pay history and employment details, that Monevo was not authorized to access.

“Monevo never had a permissible purpose to obtain [the plaintiff’s] consumer report,” the complaint charges. “Monevo obtained [the plaintiff’s] credit report under false pretenses to the credit bureau because he never provided permission to Monevo.”

The case claims that the plaintiff’s experience is not unique and that the defendant, “as a pattern and practice,” regularly accesses consumer credit reports without a permissible purpose to do so.

The lawsuit looks to represent anyone in Texas whose consumer report was obtained by Monevo without a permissible purpose between February 25, 2020 and February 25, 2022.

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