Equifax Information Services, LLC (Equifax) is a consumer reporting agency and is known as one of the three major credit bureaus which report consumers’ credit scores. The Federal Trade Commission (FTC) issued a press release on October 10th showing a proposed settlement with Equifax regarding allegations that Equifax improperly sold information about millions of consumers. Specifically the FTC is accusing Equifax of selling information about consumers who are behind on their mortgage payments including sensitive information like credit scores and how delinquent they are.
The information was supposedly sold to companies selling refinancing and credit services who then used this information to market their products to these consumers. One company accused of purchasing this information is Direct Lending Source, LLC who has reached a separate settlement with the FTC for $1.2 million for this issue. The FTC claims that Direct Lending sold the information from Equifax to other businesses including some under investigation by law enforcement.
The proposed settlement between the FTC and Equifax including a fee of nearly $400,000 is listed in the press release here. The FTC is inviting comments on this proposed settlement. Instructions for submitting comments to the FTC are included in the press release along with links to consumer alerts about avoid refinancing schemes and other issues related to mortgages.
As always to check on a business or for more consumer information, visit our website at www.evansville.bbb.org.