This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

CDIA Says "60 Minutes" Story Misleads On Credit Report Accuracy

The show also states that a disputed error is "nearly impossible to expunge."  Pratt reacted, "The notion that it is difficult to dispute an error is just wrong.  It is irresponsible to suggest to consumers that they might as well not take action when they have a question about their credit report. CDIA and our members encourage consumers to get a copy of their credit report from each of the national credit reporting agencies at"  Research released by the Political and Economic Research Council in 2011 shows that consumers in their study were satisfied with the results of the dispute process in 95% of the cases. 

Statements made on the show suggest that the actions of CDIA members are in violation of federal law.  Pratt responded "Federal courts have found just the opposite on multiple occasions."  Further, Congress directed the Federal Trade Commission to conduct a year-long review of the dispute process and they did not find any violations of law. 

"There seems to be some misunderstanding about what the law requires of a credit bureau when a consumer submits a dispute.  This is a good time to get the facts straight," Pratt said.
  • The Fair Credit Reporting Act requires a credit bureau to send the consumer's dispute to the lender or other data source within five days of receiving it.  Congress required this because it correctly recognized that a credit bureau cannot, on its own, determine whether or not a consumer, for example, missed a payment. 
  • Congress imposed a duty on lenders to reinvestigate a consumer's dispute because it recognized that lenders have the relevant data about their customer's loan.
  • The statement "They're not doing an investigation at all" in the "60 Minutes" piece is incorrect.  First, it ignores the timeframes dictated by federal law under which a dispute must be resolved. In almost every instance, we not only meet that deadline but complete the dispute process well within the time allotted.  Second, it ignores recent findings by the new Consumer Financial Protection Bureau (CFPB) which show that credit bureaus are working proactively to resolve disputes even when the data resides with the consumer's lender.  Lastly, it completely ignores the advances the CRA's have made and are implementing – and which the CFPB and FTC have reviewed – to significantly streamline the reinvestigation process."

"Let's have a responsible discussion and step back from the hyperbole," urged Pratt.  "Credit reports are materially accurate 98% of the time, and when they do contain mistakes, our members work to resolve them quickly and to the consumers' satisfaction 95% of the time."

2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 16,776.43 +304.06 1.85%
S&P 500 1,987.05 +35.69 1.83%
NASDAQ 4,781.2640 +73.4890 1.56%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs