Equifax to pay $725,000 to state AG over inaccurate credit scores
Experian, one of the nation’s “big three” credit score reporting agencies, must pay $725,000 as part of a settlement with the state after a coding error mistakenly lowered the credit scores of tens of thousands of New Yorkers, according to the state Attorney General’s Office.
The coding error lowered the credit scores of more than 77,000 New Yorkers, inflating loan costs and the price of other credit-dependent products during a three-week period between March and April 2022, state Attorney General Letitia James announced Tuesday morning.
Officials with Equifax could not immediately be reached for comment.
“Consumers depend on credit bureaus like Equifax to report their credit history accurately,” James said in a statement announcing the settlement. “Equifax’s failure to do its most basic job inflated costs for consumers across New York.”
“This settlement will help those affected get restitution, and my office will continue to hold companies accountable when they wrongly raise costs for consumers,” James added.
As part of a settlement with the state, the credit rating agency will also put in place safeguards to prevent similar coding issues in the future, the attorney general’s office said.
Check back for updates on this developing story.
Experian, one of the nation’s “big three” credit score reporting agencies, must pay $725,000 as part of a settlement with the state after a coding error mistakenly lowered the credit scores of tens of thousands of New Yorkers, according to the state Attorney General’s Office.
The coding error lowered the credit scores of more than 77,000 New Yorkers, inflating loan costs and the price of other credit-dependent products during a three-week period between March and April 2022, state Attorney General Letitia James announced Tuesday morning.
Officials with Equifax could not immediately be reached for comment.
“Consumers depend on credit bureaus like Equifax to report their credit history accurately,” James said in a statement announcing the settlement. “Equifax’s failure to do its most basic job inflated costs for consumers across New York.”
“This settlement will help those affected get restitution, and my office will continue to hold companies accountable when they wrongly raise costs for consumers,” James added.
As part of a settlement with the state, the credit rating agency will also put in place safeguards to prevent similar coding issues in the future, the attorney general’s office said.
Check back for updates on this developing story.
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