$2.2M Equifax credit reporting class action settlement

Equifax has agreed to a $2.2 million class action settlement to resolve claims it violated the Fair Credit Reporting Act (FCRA) by reporting the same collection account multiple times on consumer reports.

The Equifax settlement benefits consumers identified by Equifax who received a “Duplicate Reporting Letter” informing them that they may have had a duplicate collection account reflected in their Equifax file in August or September 2022.

According to a class action lawsuit, Equifax violated FCRA by reporting the same collection account multiple times on consumer reports. The plaintiff in the case says this inaccurate reporting allegedly harmed her creditworthiness and caused financial harm.

Equifax is a credit reporting agency that collects and sells consumer data to lenders, landlords and other companies. Equifax collects information about consumers’ credit accounts, payment history, credit inquiries, bankruptcies and other public records.

Equifax has not admitted any wrongdoing but agreed to pay $2.2 million to resolve these FCRA allegations.

Under the terms of the Equifax settlement, class members can receive a cash payment and six months of free credit monitoring.

Class members who affirm they were harmed by the duplicate reporting can receive a cash payment from the settlement. Payments will vary depending on the number of claims filed, but class members could receive up to $600.

Class members who do not file a claim will receive credit monitoring benefits. Equifax agreed to give all class members access to its “Equifax Complete” credit monitoring product for six months. This product allows class members to monitor their consumer reports and scores, receive alerts for key changes and receive up to $500,000 in coverage for certain out-of-pocket expenses related to identity theft.

Equifax also agreed to ensure it has removed all duplicate collection accounts from class members’ files.