As a consumer, understanding the laws in place to protect your rights is critical. Unfortunately, when someone finds an error on their credit report, they may not know that they are entitled to recover compensation for the damages they’ve endured as a result of the credit reporting agency’s negligence. That’s why understanding the laws in place and the steps you can take if you’ve been impacted is critical. The following blog explores what you should know about these matters and how a California credit report lawyer can help you fight for actual damages if you’ve been impacted.
What Credit Laws Are in Place to Protect Consumers?
As a consumer, familiarizing yourself with the laws enacted to protect you is critical. Unfortunately, many are unaware of what happens if they find errors on their credit report or the severe impact it can have.
Generally, one of the most important laws you should know about is the Fair Credit Reporting Act (FCRA). This law is in place to help govern how credit reporting agencies function. As such, the FCRA determines what information is included on credit reports, how long it can remain, who can access your information, and how agencies have to handle any disputes filed by consumers.
What Actual Damages Can I Recover for Violations?
Part of the FCRA grants creditors the right to fight for compensation for damages incurred from violations and fraudulent reporting. Unfortunately, many are unaware of the harm they can experience from credit reporting errors.
Generally, when you experience losses due to the negligence of a credit reporting agency, you can fight for actual or compensatory damages. These represent the economic and non-economic damages you’ve experienced because of the FCRA violation.
Economic damages include any quantifiable monetary losses you’ve endured because of the inaccuracies and errors on your credit report. For example, you’ll find that if you are denied a loan due to the inclusion of incorrect information on your credit report or you are approved with astronomical interest rates, you can seek compensation for these losses.
Additionally, you can fight for any non-economic damages you’ve incurred from the inclusion of false information on your credit report. These damages, which represent subjective losses like humiliation or emotional distress, can be harder to fight for, as there is no quantifiable amount associated with them.
Aside from actual damages, you may be able to seek punitive damages. These are essentially penalties imposed by the courts to hold defendants liable for violating the laws set to protect consumers.
As you can see, many considerations must be made during this complex matter. If you’ve suffered losses due to the inclusion of false information on your credit report, it’s in your best interest to connect with an experienced attorney from Loker Law, APC. We understand how frustrating these matters can be, which is why we’ll do everything possible to fight for you. Contact us today to learn more about these matters.
