Credit card -- Problem with a company's investigation into an existing problem -- Complaint #18374018
Synchrony Financial Accused of Reckless, Inaccurate Credit Reporting Despite Investigation
Complaint Overview
Complaint ID: 18374018
Company: Synchrony Financial
Product: Credit card
Sub-Product: Store credit card
Issue: Problem with a company's investigation into an existing problem
Sub-Issue: Their investigation did not fix an error on your report
State: Colorado
ZIP Code: 80205
Date Received: 2025-11-30T12:00:00-05:00
Date Sent to Company: 2025-12-30T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Tags: Servicemember
Risk Assessment
Risk Level: high
The consumer is citing specific sections of the FCRA and threatening legal action for willful noncompliance, indicating a potentially serious legal exposure for the company. The detailed nature of the allegations, including claims of "gross failure" and "knowingly reporting false and incomplete data," elevates the risk.
Consumer Sentiment: angry
Topics: credit-reporting-disputes, fcra-violations, synchrony-financial, store-credit-card, inaccurate-reporting, credit-report-errors, credit-furnisher-responsibilities
AI Analysis
This complaint details a significant dispute between a consumer and Synchrony Financial regarding a store credit card account. The consumer alleges that Synchrony is reporting inaccurate and incomplete information on their credit report, specifically concerning an account from 2021. The core of the complaint is that Synchrony's investigation into this existing problem failed to correct the errors, leading the consumer to demand the immediate deletion of the tradeline. The consumer cites several sections of the Fair Credit Reporting Act (FCRA), including 607(b) for gross failure to report with maximum accuracy, 611(a) for failure to remove unverified information, and 623(a)(2) for continuing to report outdated or incomplete information. They argue that without specific documentation like the original application, full statements, Date First Delinquent (DOFD), and closure verification, the data is unverified and thus illegal to report. This situation is unfortunately not uncommon with credit reporting, and store cards, often managed by third-party servicers like Synchrony, can sometimes have data integrity issues. The likely root cause is a combination of data retention policies, potential system errors in updating or verifying historical data, and possibly a failure in Synchrony's internal dispute resolution process to adequately address the consumer's specific claims. The company's response of 'Closed with explanation' suggests they believe they have addressed the issue, but the consumer clearly disagrees, indicating a breakdown in communication or investigation. For others facing similar issues, this highlights the importance of persistent communication, detailed documentation, and understanding one's rights under the FCRA.
Consumer Narrative
I am demanding the immediate deletion of the XXXX XXXX Synchrony Bank account reported since 2021. The reporting of this tradeline is reckless, non-compliant, and legally indefensible. 1. FCRA 607 ( b ) Gross Failure to Report With Maximum Possible Accuracy This account contains multiple discrepancies and missing critical data including DOFD, complete payment history, and accurate date reporting. If Synchrony can not certify every single line-item, then you are knowingly reporting false and incomplete data, which is illegal under federal law. 2. FCRA 611 ( a ) You Must Remove Unverified Information This account is from 2021. If the furnisher can not produce : The original signed application Full statements from opening to closure Precise DOFD documentation Closure and status verification Then the information is not verified, and the FCRA requires you to delete it immediately. Synchrony Bank is well-known for purging records after a few years, so failure to verify this 2021 tradeline will be considered willful noncompliance. 3. FCRA 623 ( a ) ( 2 ) Continuing to Report Outdated or Incomplete Info is Illegal If you continue reporting partial, inconsistent, or unverifiable data, you are directly violating 623 ( a ) ( 2 ), which requires furnishers to correct or delete inaccurate information. FINAL NOTICE If this account is not removed immediately, I will file complaints with : The CFPB The FTC My State Attorney General AND I will pursue civil damages under FCRA 616 and 617 for willful and negligent noncompliance. Delete this XXXX XXXX Synchrony Bank account now.
What You Should Do -- Consumer Action Plan
1. **Gather Documentation:** Collect all statements, correspondence with Synchrony, and any previous dispute records. Note the exact dates of all communications. 2. **Send a Formal Dispute Letter:** Draft a certified letter (return receipt requested) to Synchrony Financial and the credit bureaus (Equifax, Experian, TransUnion). Clearly state the inaccuracies, reference the specific FCRA violations (607(b), 611(a), 623(a)(2)), and demand deletion. Attach copies of supporting documents, not originals. 3. **File a Complaint with the CFPB:** If Synchrony's investigation was inadequate, file a detailed complaint with the Consumer Financial Protection Bureau (CFPB) at consumerfinance.gov. Reference your previous interactions and Synchrony's response. 4. **Contact Your State Attorney General:** File a complaint with the Colorado Attorney General's office, as they handle consumer protection matters. 5. **Consider Legal Counsel:** If Synchrony fails to resolve the issue after these steps, consult with a consumer protection attorney specializing in FCRA violations. You may be entitled to damages under FCRA Sections 616 and 617.
Legal Context & Consumer Protection Laws
The Fair Credit Reporting Act (FCRA) is the primary law governing this complaint. Specifically, Section 607(b) requires credit reporting agencies and furnishers to follow reasonable procedures to ensure maximum possible accuracy of information. Section 611(a) mandates the removal of inaccurate or unverifiable information from consumer reports. Section 623(a)(2) obliges furnishers to correct or update inaccurate or incomplete information provided to credit reporting agencies. Synchrony's alleged failure to investigate properly and remove unverified data could constitute violations of these provisions.
Regulatory Insight
Complaints regarding inaccurate or incomplete credit reporting, especially after disputes, are common. Synchrony Financial, as a major issuer of store credit cards, has faced scrutiny in the past regarding its credit reporting practices. Systemic issues can arise from automated reporting systems, data management challenges, and the volume of disputes processed, potentially leading to inadequate investigations. The CFPB often receives complaints related to furnishers failing to properly investigate disputes, which can be a focus of regulatory oversight.
Resolution Likelihood
40%
State-Specific Consumer Protections
Colorado has consumer protection laws that may offer additional recourse. The Colorado Attorney General's Office, through its Consumer Protection Unit, investigates and prosecutes violations of state consumer protection laws. Consumers can file complaints online or by mail.
Industry Comparison
Synchrony Financial, like many large credit card issuers and third-party servicers, handles a high volume of accounts and disputes. While they generally adhere to industry standards, complaints about investigation quality and data accuracy are not uncommon in this sector. Their response pattern of 'Closed with explanation' is typical, but the effectiveness of their investigations can vary, placing them within the average range for handling such disputes, though specific instances can be problematic.
Related Issues
Frequently Asked Questions
How can I get inaccurate information removed from my credit report?
To get inaccurate information removed, you must first dispute it directly with the credit reporting agency (Equifax, Experian, TransUnion) and the company that provided the information (the furnisher, like Synchrony Financial). Provide detailed documentation supporting your claim of inaccuracy. If they fail to investigate properly or remove the information, you can file a complaint with the CFPB and potentially consult a consumer protection attorney. The Fair Credit Reporting Act (FCRA) requires furnishers and bureaus to investigate disputes and remove inaccurate or unverifiable information.
What are my rights if a credit furnisher like Synchrony Financial reports inaccurate data?
Under the FCRA, you have the right to dispute inaccurate or incomplete information on your credit report. Credit furnishers, such as Synchrony Financial, have a legal obligation to investigate your dispute promptly and thoroughly. If they fail to do so, or if they continue to report information they know or have reason to believe is inaccurate, they may be in violation of the FCRA. Specifically, Section 623 requires them to correct or delete inaccurate information. Willful noncompliance can lead to statutory damages under Sections 616 and 617.
Should I file a complaint with the CFPB if Synchrony Financial didn't fix my credit report error?
Yes, filing a complaint with the CFPB is a crucial step if Synchrony Financial's investigation did not resolve the error. The CFPB acts as a central repository for consumer complaints and can facilitate communication with the company. A pattern of complaints against a company can also trigger investigations and enforcement actions. Be sure to include all relevant details: account numbers, dates of communication, the specific errors, and why you believe Synchrony's response was inadequate. You can file online at consumerfinance.gov.
What is Synchrony Financial's track record with credit reporting disputes?
Synchrony Financial, as a major issuer of private-label and co-branded credit cards, handles a vast number of accounts. Like many large financial institutions, they receive a significant volume of consumer complaints, including those related to credit reporting accuracy and dispute resolution. While they have processes in place, individual experiences can vary. Some consumers report satisfactory resolutions, while others, like in this complaint, feel their disputes are not adequately addressed, leading to frustration and further action.
What are my next steps if Synchrony Financial ignores my dispute?
If Synchrony Financial ignores your dispute or provides an unsatisfactory explanation, your next steps should involve escalating the issue. First, send a formal dispute letter via certified mail to both Synchrony and the credit bureaus, demanding specific actions and citing FCRA violations. Simultaneously, file detailed complaints with the CFPB and your State Attorney General. If these actions do not yield results, consider seeking legal advice from a consumer protection attorney who can evaluate your case for potential litigation under the FCRA.
How does inaccurate reporting on my credit report affect my credit score?
Inaccurate reporting can significantly harm your credit score, especially if it involves negative information like late payments, collections, or incorrect account balances/statuses. Even seemingly minor errors can lower your score by affecting your credit utilization ratio, payment history, or the length of your credit history. A lower credit score can lead to higher interest rates on loans, difficulty obtaining credit, challenges with renting an apartment, and even impact insurance premiums or employment opportunities.
Can I join a class action lawsuit against Synchrony Financial for credit reporting issues?
It is possible to join a class action lawsuit if one exists and covers the specific issue you are experiencing with Synchrony Financial. Class actions are typically filed when numerous consumers have suffered similar harm due to a company's practices. You can search legal databases or consult with a consumer rights attorney to see if any current or past class actions are relevant. Alternatively, if your damages are significant and the company's actions were willful, pursuing an individual lawsuit under the FCRA might be an option, though this requires legal counsel.
Disclaimer
This analysis is generated by an AI and is intended for informational purposes only. It does not constitute legal advice. Consult with a qualified legal professional for advice specific to your situation.