Regulators let you challenge merchants — after a seven-year wait

popeBeginning in July, consumers burned by a merchant erroneously reporting something to a credit reporting agency can take their case directly to that company as well as to the credit bureaus. has a story summarizing the news (we've also written in more detail about how to dispute an error on your credit report and shared stories of fellow Americans who've gone through this).

In a nutshell, if a mistake shows up on your credit report -- say a department store card reports you as making a late payment when you actually paid on time -- you can take your complaint to that card issuer as well as to the three credit bureaus to get the matter resolved.

The real story, though, is that the law giving customers this right was written seven years ago. It's called the Fair and Accurate Credit Transaction Act of 2003. That's right; it's taken an astonishing seven years for that law to actually protect you. The Federal Trade Commission issued a release last July announcing the guidelines but said they wouldn't go into effect until July 2010.

What on earth took them so long? Well, the FTC didn't issue those rules on its own; it had to collaborate with the Federal Reserve's Board of Governors, the Federal Deposit Insurance Corporation, the National Credit Union Administration, the Office of the Comptroller of the Currency, and the Office of Thrift Supervision. Therein lies the problem, says Gail Hillebrand, financial services campaign manager for watchdog group Consumers Union.

"The delay shows that the inter-agency process doesn't protect consumers and their money," Hillebrand said. This is why it's crucial, she adds, that financial reform legislation being worked on by Congress include a designated Consumer Finance Protection Agency.

"We need a streamlined process and one agency so laws won't have to go through several agencies in a kind of mother-may-I situation," she said.

In other words, if you don't want laws that protect you to take the better part of a decade to make it onto the books, contact your local Congressperson and let them know in no uncertain terms that you support the creation of an agency dedicated solely to protecting consumers and their money.

Hillebrand also has some advice about using your newfound power to dispute credit report errors with a merchant wisely. Since merchants can dismiss your claim as "frivolous" and ignore it if you don't provide the proper documentation, make sure you have all the necessary paperwork before filing your claim.

Also, don't bypass the credit bureaus entirely. Contact any bureaus that have the erroneous information on your report as well as the lender who sent the incorrect information to them. Covering all your bases increases the chance that the mistake that's dragging down your credit score will be resolved quickly.

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Do yourself a "HUGE FAVOR" and carefully read this:

The 21st Century Act: Final Amendments to Regulation CC Section:
"Prohibits" reimbursement of Credit, Loan, and Finance Balances to a "Bank Entity" leaving only "Nonbank Consumers" able to receive reimbursement, as specified on Pages 85 and 86.

The 21st Century Act states on pg. 85 and 86 that "Only Nonbank Consumers can suffer losses and File for
Re-credit or Re-claim on any Accounts under the Federal Reserve System" also “Any Second or Third Party Presenters utilizing a Banks Documentation, Contracts and/or Agreements to seek Claims shall be considered to be that Bank under the Rules and Regulations”, the Expanded Definitions also includes Credit Cards and Home Equity Lines of Credit.
Also on Pages 100 and 101 "In any Financial Claims the Indemifying Bank (Parent Bank) must be Identified".

(Left-Click to Search Link)
21st Century Act: Final Amendments to Regulation CC

This Federal Law signed January 1, 2006 makes it "Fraudulent" and therefore "Illegal" for the 3 Major Personal Credit Reporting Agencies: Equifax, Experian, and TrasUnion to allow the Banks and the Banks "Third Party Presenters" to place any claim of "Negative" or "Potentially Negative" Accounts on your Personal Credit Based upon the fact that they have no "Legal Grounds or Claim" to the Money.

This is an "Unfair Practice" that diminishes our Financial ability to support ourselves and adversely affects our ability to gain work in many areas which breaks "Antitrust Laws".

These Rules also back claims of: "Aiding and Abetting" Racketeering and Extortion (of Finance Accounts and Personal Credit Reports), Pandering (of Credit and Loan Accounts, and Conspiracy to wit), Theft, Fraud, Federal Mail Fraud, and Telephone Harassment. Also "Threatening of the U.S. Financial Infrastructure", which is a "Capital Crime".

In order to engage the Federal Trade Commission to act against this injustice we must File many Claims, as these Reports must be Filed by a large number of people in order for the Federal Trade Commission to pursue
"Legal Action".

(Left -Click to engage Email Address)

This is way easier than "Occupying Wall Street"!

March 11 2012 at 5:10 PM Report abuse rate up rate down Reply