- The Consumer Financial Protection Bureau (“CFPB”) reached a settlement with non-bank debt collector Afni, Inc. to resolve allegations that it provided inaccurate credit information to consumer reporting agencies (“CRAs”) in violation of the Fair Credit Reporting Act and its implementing rule, Regulation V, and the Dodd–Frank Wall Street Reform and Consumer Protection Act.
- According to the consent order, the CFPB found, among other things, that Afni knew or had reason to believe that it was providing inaccurate information to CRAs, including incorrect dates as to when customer accounts became delinquent. Afni also allegedly did not investigate consumer disputes in a timely manner or provide the required notices to consumers about the results of its investigations.
- Under the terms of the consent order, Afni will pay a civil penalty of $500,000 and will take steps to ensure the accuracy of the information it provides to CRAs and to better address consumer disputes, including conducting monthly reviews of account information and of consumer disputes and its responses to these disputes, among other things. Afni is also required to retain an independent consultant to review its activities, policies, and procedures with respect to credit reporting for compliance with the law.