Federal regulators obtained a settlement that will require credit-reporting agency TransUnion to pay $23 million to settle charges that the company failed to ensure the accuracy of tenant screening reports and for misleading customers about security freezes on their credit reports, the Consumer Financial Protection Bureau said Thursday.
The FTC along with the CFPB took the company to court, accusing it of violating federal consumer protection laws.
“Americans across the country were put at risk of wrongful housing denials because TransUnion failed to follow the law,” said CFPB Director Rohit Chopra. “We are ordering TransUnion to cease its yearslong illegal activity, clean up its broken business practices, redress its victims, and pay penalties.”
TransUnion said in a statement that it didn’t admit wrongdoing and agreed to the settlements “to resolve these matters and proceed with our work providing important services and helping consumers reach their goals.”
The company also said that it has “worked with the CFPB and FTC to enhance our rental screening reporting practices” and that it “corrected system issues” related to the “timely placement and removal of security locks and freezes.”
The company’s stock
TRU,
opened up 0.3%.
Read the full article here