Regarding the use of consumer credit information, the Fair Credit Reporting Act (FCRA) helps to regulate credit reporting agencies (CRAs), such as Experian, TransUnion, and Equifax. One of the most important sections of the FCRA covers the rights and damages that a consumer can recover if a CRA or another individual inappropriately utilizes a consumer's credit information.
What jurisdiction can a consumer take legal action or file a claim in?
According to the FCRA, consumers may file claims for FCRA breaches in either a state court or a district court of the United States. The CRA's headquarters or the residence of the consumer in the case will typically be the jurisdiction or location where the consumer may file their case. The claim against the credit agencies will be taken to the court where the jurisdiction is.
What is the statute of limitation, and what does it say about the FCRA?
The period following a violation or the time period that a person is permitted to pursue legal action against someone is known as a statute of limitations. Likely, the consumer won't be able to fight their claims if they don't file a claim within that time frame. Consumers have a certain period under the FCRA in which to file claims alleging violations of the FCRA. The FCRA states that customers may file claims two years after learning of the violation or five years after the violation occurred, whichever comes first. Accordingly, depending on the facts of the case, the consumer may have up to five years to file a claim for FCRA violations or two years from the time the violation was discovered.
What are the damages for the violation of FCRA?
Damages are sums of money awarded by a court to a party for infringement of a legal right or breach of a legal duty. If a CRA or other person violates the FCRA's provisions or fails to uphold a legal obligation, the consumer may be entitled to damages. Three types of compensation are available to consumers in FCRA cases: actual damages, punitive damages, and attorney's fees. For more information, read our other blog to know the types of damages. (insert link here)
If you ever find yourself in a situation where you find an error in your credit report, contact us at info@tariqlaw.com so that we can defend you against them. We focus on consumer protection cases against these credit agencies, debt harassment, and debt collection lawsuits and specialize in defending clients from unethical debt collectors and the illicit collection practices they tend to use.
