Consumers have reported being persistently pursued for debts they do not owe

The Consumer Financial Protection Bureau (CFPB) has released a report detailing over 30,000 complaints received about the debt collection industry. Many consumers have voiced concerns over being aggressively pursued for debts they assert they do not owe, with additional grievances about the use of intimidating communication tactics and threats of unlawful actions by debt collectors. … Read more

Safeguarding senior citizens against financial exploitation

The Office for Older Americans, endowed by Congress with a wide-reaching mandate, is dedicated to defending the consumer financial interests of the elderly, with a particular emphasis on preventing financial abuse and exploitation. A study from 2010 highlights that seniors lost at least $2.9 billion due to financial exploitation, a figure that’s on the rise, … Read more

Eliminating public records from credit reports minimally impacts consumers’ credit ratings

The three major nationwide credit reporting agencies—Equifax, Experian, and TransUnion—reached a settlement with over 30 state attorneys general, leading to the implementation of the National Consumer Assistance Plan (NCAP). This agreement aimed to enhance the precision of credit reports and simplify the process for consumers to amend inaccuracies. A significant condition of this settlement mandated … Read more

Credit card balances have declined, including for those individuals who faced financial hardships before the pandemic.

Before the COVID-19 pandemic struck, the Consumer Financial Protection Bureau’s Making Ends Meet survey revealed a considerable number of consumers were in a precarious financial position. As of June 2019, 40% of consumers reported struggling with bills or expenses in the prior year, and half stated they could only sustain their expenses for two months … Read more

The patterns of consumer credit as influenced by commercial credit reporting

Today’s newly published research delves into the dynamics and patterns between commercial and consumer credit reporting for small businesses, offering a detailed examination of how often and what types of commercial credit appear on consumer credit reports, alongside the varied reporting practices and strategies that can significantly affect borrowers. Commercial Credit Reporting on Consumer Reports: … Read more

The impact of algorithms, artificial intelligence, and impartiality on property assessments

On June 1, 2023, the Consumer Financial Protection Bureau (CFPB) announced a new measure aimed at increasing accountability for automated systems and models, often referred to as artificial intelligence (AI). The CFPB is introducing a proposed rule aimed at enhancing the fairness and accuracy of algorithm-driven home appraisals. This action is part of broader efforts … Read more

Strategies for safeguarding children at risk from issues related to credit reporting

Foster youth have shared experiences of identity theft, highlighting the challenges they face as they transition to independent living. One individual recounted discovering an unpaid utility account in his name when attempting to set up services for his first apartment. Credit reports significantly influence the financial journey of almost every American. This is particularly crucial … Read more

Seven strategies to manage and control medical debt

Since September 2013, debt collection has emerged as the primary concern among the complaints we’ve received. Notably, medical debt accounts for 52 percent of all collection accounts on credit reports, significantly surpassing other debt types. With medical collections affecting an estimated 43 million consumers who have a collection account, its prevalence on credit reports is … Read more

Strategies for evading scams by credit repair services

Navigating the process of credit repair after experiencing financial difficulties can be daunting. This vulnerability makes some individuals targets for credit repair companies that employ confusing or misleading tactics, aiming to capitalize on the urgency felt by those seeking to improve their financial standing. In recent months, over half of the complaints about credit repair … Read more

Who falls into the category of Credit Invisibles?

In 2015, a study revealed that 26 million Americans, or roughly 10% of adults, are “credit invisible,” meaning they lack any credit history with the three major nationwide credit reporting agencies. This lack of visibility disproportionately affects Black and Hispanic individuals, as well as those in lower-income areas, limiting their ability to generate a credit … Read more