Under the agreement, the companies will “improve credit report accuracy; increase the fairness and efficacy of the procedures for resolving consumer disputes of credit report errors; and protect consumers from unfair harm to their credit histories due to medical debt.”
Specifically, the settlement requires that the credit reporting agencies have specially trained employees to review supporting documentation submitted by consumers for all disputes involving mixed files, fraud or identity theft; institute a 180-day waiting period before medical debt will be reported on a consumer’s credit report; and provide a second free credit report to consumers who experience a change in their credit report as a result of initiating a dispute, among others, according to a news release.
“The nation’s largest reporting agencies have a responsibility to investigate and correct errors on consumers’ credit reports. This agreement will reform the entire industry and provide vital protections for millions of consumers across the country,” Attorney General Schneiderman said in the release.
Experian, Equifax and TransUnion maintain consumer credit information on approximately 200 million consumers.
