Hong Kong News

Nonpartisan, Noncommercial, unconstrained.
Wednesday, Feb 08, 2023

Florida woman files class action lawsuit against Equifax over credit score errors

Florida woman files class action lawsuit against Equifax over credit score errors

The lawsuit claims that Equifax's error violated the Fair Credit Reporting Act

A series of credit score errors by Equifax that the firm blamed on a coding mistake has now led to a class action lawsuit brought by a Florida woman who claims the company violated the Fair Credit Reporting Act by providing inaccurate credit scores.

Nydia Jenkins claims that because of Equifax's error, her credit score was off by 130 points when she applied for a car loan, resulting in her getting denied before having to take a different loan that is costing her $150 more per month. Jenkins' lawyers are looking to add potentially millions of other claimants who may have been affected to the lawsuit, which was filed Wednesday in Atlanta federal court.

"Equifax is allowed to perform credit reporting services, involving such sensitive consumer credit information, only if it adheres to the requirements of laws meant to protect the privacy and accuracy of such information, such as the FCRA," the complaint says. "Equifax’s maintenance, use, and furnishing of consumer reports is and was intended to affect Plaintiff and other Class Members, and the harm caused by the inaccuracies on consumer reports resulting from the Glitch was entirely foreseeable to Equifax."

The Wall Street Journal reported that Equifax told an auto lender that just 10% of applicants had wrong scores due to the glitch, which impacted applications for a three-week period in March and April. That number is far from small, however, given that lenders requested a total of roughly 2.5 million credit scores during that time, the Journal reported, citing industry officials.

Equifax said in a statement that "less than 300,000 consumers experienced a score shift of 25 points or more." The company has said that they are working with lenders and providing updated credit scores for those affected, but Jenkins's lawsuit says this is not enough.

"The damages that Plaintiff and Class Members bear as a result of the Glitch cannot be rectified by merely updating the affected credit reports," the complaint says. "In addition, while credit reporting agencies offer consumers one free credit report per year, consumers who request more than one credit report per year from the same credit reporting agency (such as Equifax) must pay a fee for the additional report. Such fees constitute out-of-pocket costs to Plaintiff and Class Members."

Close-up of the upper corner of a consumer credit report from the credit bureau Equifax, with text reading Credit File and Personal Identification, on a light wooden surface, September 11, 2017.


Jenkins' attorneys, John Morgan and John Yanchunis from the law firm Morgan & Morgan, said in a statement that "millions of American" use credit for "the most important purchases in their lives," such as cars and houses.

"This lawsuit alleges that Equifax failed to live up to its responsibility as one of America’s major credit reporting agencies by providing inaccurate information on millions of Americans," the statement said. "We believe that many of the people impacted – some of whom may still be unaware of what happened – suffered severe financial consequences. We will hold Equifax accountable for these alleged failures and win justice for everyone impacted."

Fox Business reached out to Equifax for comment on the lawsuit, but they did not immediately respond.

The American Association of Consumer Credit Professionals weighed in on the error, calling it "deeply troubling" for causing problems for so many people "at a time when many Americans were already struggling to purchase homes and automobiles[.]"

Comments

Mag Illa 186 days ago
Credit Report (data gathering) business must be responsible for what they sell! They should not be allowed to sell any personal data without the consent of the citizens approval. Fines and regulations. Just like traffic signals, we don't like them, we need them.

Newsletter

Related Articles

Hong Kong News
Close
0:00
0:00
2 earthquakes in Turkey killed over 2,300 people
Powerful Earthquake Strikes Turkey and Syria, Killing More Than 1,300 People.
Turkish photographer Ugur Gallenkus portrays two different worlds within a single image. Brilliant work
Charlie Munger, calls for a ban on cryptocurrencies in the US, following China's lead
Hong Kong airlines taking bold action after the years of pandemic lockdown and travel restrictions, to make Hong Kong great again
EU found a way to use frozen Russian funds
First generation unopened iPhone set to fetch more than $50,000 at auction.
WARNING GRAPHIC CONTENT - US Memphis Police murdering innocent Tyre Nichols
Almost 30% of professionals say they've tried ChatGPT at work
Interpol seeks woman who ran elaborate exam cheating scam in Singapore
Chinese search giant Baidu to launch ChatGPT like AI chatbot.
What is ChatGPT?
Bill Gates is ‘very optimistic’ about the future: ‘Better to be born 20 years from now...than any time in the past’
China is opening up for foreign investors.
Tesla reported record profits and record revenues for 2022
Prince Andrew and Virginia Giuffre Photo Is Fake: Ghislaine Maxwell
Moonwalker Buzz Aldrin Gets Married On His 93rd Birthday
Federal Reserve Probes Goldman’s Consumer Business
China's first population drop in six decades
Microsoft is finalising plans to become the latest technology giant to reduce its workforce during a global economic slowdown
China's foreign ministry branch in Hong Kong urges British gov't to stop the biased and double standards Hong Kong report
China relaxes 'red lines' on property sector borrowing in policy pivot
Tesla slashes prices globally by as much as 20 percent
Japan prosecutors indict man for ex-PM Shinzo Abe murder
Vietnam removes two deputy PMs amid anti-corruption campaign
1.4 Million Copies Of Prince Harry's Memoir 'Spare' Sold On 1st Day In UK
After Failing To Pay Office Rent, Twitter May Sell User Names
FIFA president questioned by prosecutors
Britain's Sunak breaks silence and admits using private healthcare
Hype and backlash as Harry's memoir goes on sale. Unnamed royal source says prince 'kidnapped by cult of psychotherapy and Meghan'
China’s recovery could add 1% to Australia’s GDP: JPMorgan 
Saudi Arabia set to overtake India as fastest-growing major economy this year 
China vows to strengthen financial support for enterprises: official
International medical experts speak out against COVID-19 restrictions on China
2 Billion People To Travel In China's "Great Migration" Over Next 40 Days
Google and Facebook’s dominance in digital ads challenged by rapid ascent of Amazon and TikTok
Flight constraints expected to weigh on China travel rebound
Billionaire Jack Ma relinquishes control of Ant Group
FTX fraud investigators are digging deeper into Sam Bankman-Fried's inner circle – and reportedly have ex-engineer Nishad Singh in their sights
Teslas now over 40% cheaper in China than US
TikTok CEO Plans to Meet European Union Regulators
UK chaos: Hong Kong emigrants duped by false prospectus
China seeks course correction in US ties but will fight ‘all forms of hegemony’, top diplomat Wang Yi says
China will boost spending in 2023
African traders welcome end of China’s Covid travel curbs
France has banned the online sale of paracetamol until February, citing ongoing supply issues
Japan reportedly to give families 1 million yen per child to move out of Tokyo
Will Canada ever become a real democracy?
Hong Kong property brokerages slash payrolls in choppy market
U.S. Moves to Seize Robinhood Shares, Silvergate Accounts Tied to FTX
×