The three national credit reporting agencies—Equifax Information Services LLC, Experian Information Solutions, Inc., and TransUnion LLC—have settled consumer protection claims with Vermont Attorney General William H. Sorrell and 30 other state attorneys general. Under the settlement, the credit reporting agencies are required to make significant changes to their business practices to provide greater protection to consumers, and will make an $85,000 payment to the State of Vermont.
“Consumers deserve a system that ensures the accuracy of reports on their credit-worthiness. Now they are going to get it,” Attorney General Sorrell said.
The multistate investigation into the practices of the credit reporting agencies focused on credit report errors, unreliable information from “data furnishers” (providers of credit reporting information), and the marketing of credit monitoring products to consumers who dispute information on their credit report.
Under the settlement, the credit reporting agencies will increase monitoring of data furnishers to require additional information from furnishers of certain types of data, limit direct-to-consumer marketing, provide greater protections for consumers who dispute information on their credit reports, limit certain information that can be added to a credit report, provide additional consumer education, and comply with state and federal laws, including the Fair Credit Reporting Act.
The settlement also requires the credit reporting agencies to pay $6 million total to the 31 participating states, $85,000 of which will be paid to the State of Vermont.
Vermont AG: May 20, 2015