CFPB v. TD Bank, N.A.

TD Bank, N.A. allegedly furnished to consumer reporting agencies information containing numerous systemic errors. TD Bank, N.A. also allegedly failed to conduct reasonable and timely investigations of consumer disputes. According to CFPB, when TD Bank furnished inaccurate consumer information, it may have negatively affected consumers’ access to credit. TD Bank, N.A. allegedly violated the Fair Credit Reporting Act (FCRA) and its implementing regulation, Regulation V, by failing to promptly correct and update information it furnished to consumer reporting agencies that it determined was not complete or accurate; failing to accurately report consumers’ participation in COVID-19 accommodations programs pursuant to the CARES Act; failing to provide the FCRA-required date of first delinquency on certain delinquent or charged-off accounts; failing to conduct reasonable and timely investigations of consumer disputes, including sometimes by not conducting any investigation at all; failing to properly notify consumers when deeming a dispute frivolous or irrelevant; and failing to establish and implement reasonable written policies and procedures regarding the information furnished to consumer reporting agencies. The Bureau also found that TD Bank’s failure to investigate consumer disputes and decision to divert resources away from investigating disputes took unreasonable advantage of the inability of consumers to protect their interest in accurate consumer reporting and was therefore abusive in violation of the Consumer Financial Protection Act of 2010. The Bureau further found that TD Bank violated FCRA and Regulation V with respect to consumer deposit accounts by failing to sufficiently maintain and implement written policies and procedures for furnishing and by failing to promptly correct furnished information after it determined the furnished information was fraudulent.

Summary generated from official Consumer Financial Protection Bureau press release