What Damages Are Recoverable After A Fair Credit Reporting Act Violation?

Federal law protects consumers from the damage that can be caused by inaccurate information contained in a credit report. The information in your credit report can influence many aspects of your daily life. When you apply for a job or an apartment, your credit report could be the difference between a yes and a no. 

When credit reporting agencies violate the law, consumers have the right to sue the offenders and recover monetary damages. Discussed below are some of the most common violations of the Fair Credit Reporting Act (FCRA) and the kinds of damages that can be recovered. If you believe your rights have been violated, contact our experienced Florida FCRA attorneys today to discuss your options and pursue the compensation you deserve.

Common Fair Credit Reporting Act Violations in Florida

The FCRA requires credit reporting agencies to maintain accurate and fair credit information and only furnish reports for authorized purposes. When credit reports contain inaccurate information that negatively impacts a consumer’s opportunity or credit information is improperly disseminated, it is a violation of federal law. 

Some common FCRA violations include:

• • Inaccurate account reporting – showing settled debts as current, showing a flawed payment history, showing closed accounts as open 
  • Presenting outdated Information – showing a bankruptcy after it must legally be removed
  • Mixing consumer information – having someone else’s credit information on your report
  • Failure to properly handle disputes – delays, don’t investigate, no successful resolution

Disputed information must generally be corrected or removed within 30 days. Consumers can take legal action to force credit reporting agencies to comply with the law.

Types of Damages You Can Recover in Florida for Violations of the Fair Credit Reporting Act

A consumer need not prove financial loss to recover damages for FCRA violations. Whether the credit reporting agency or the creditor furnishing the information made a mistake or was aware of the problem and didn’t care will affect the amount of damages a consumer can recover. Some damages may be awarded to punish the credit reporting agency rather than to compensate a consumer’s losses. 

The types of damages that may be recovered under the Fair Credit Reporting Act are:

Actual Damages

Actual damages include measurable financial losses such as lost wages from being turned down for a job, or the amount of a lost credit opportunity, and non-financial losses such as emotional distress or damage to personal reputation. These damages must be proven, but there is no limit on the amount of actual damages that can be awarded.

Statutory Damages 

Statutory damages are available when the violations of the FCRA are proven to be willful or reckless and where financial damages may be minimal or hard to prove. Statutory damages are an amount between $100 and $1,000 awarded per violation. 

Punitive Damages

Punitive damages may be awarded when a credit reporting agency’s intentional conduct is particularly unacceptable and it is deemed necessary to punish the offender to deter similar conduct. A court has discretion in awarding punitive damages, and there is no limitation on the amount that can be awarded. 

Attorneys Fees

The prevailing party in an FCRA violation case is allowed to collect its legal expenses from the non-prevailing party. 

Why You Don’t Want to Wait in Florida if You Have an FCRA Violation Claim

If you think you may have a claim under the Fair Credit Reporting Act, you should consult an attorney.

There are time limits for making claims. If your credit report is still inaccurate, the sooner you take legal action, the sooner your financial reputation will be restored. It’s also usually easier to compile the evidence necessary to prove your case the earlier you start the process. 

You can consult a Florida Fair Credit Reporting Act lawyer without cost and learn within 24 hours if you have a case.