A major consumer credit reporting agency has reached a $393,000 settlement with the Federal Trade Commission to resolve claims that it improperly sold information about consumers who didn't make their mortgage payments on time, the FTC announced on Wednesday.
Equifax Information Services LLC sold more than 17,000 lists of consumer data to Direct Lending Source Inc. and other companies, according to the FTC. Direct Lending Source then sold some of the lists to businesses that used the information to target consumers in financial distress, the FTC alleges. The company agreed to a $1.2 million settlement with the FTC.
Tim Klein, an Equifax spokesman, said his company "did not and [does] not admit to any wrongdoing" as part of the settlement. Equifax severed its ties with Direct Lending and its affiliates in the summer of 2011, he added.
The FTC during the past few years has filed more than 35 cases against companies that falsely claim to provide mortgage relief services, according to the agency.
Totally agree, I think it's not professional at all. I also think that these people should sue because this kind of information should be confidential. There are lots of consumers who do not make mortgage payments on time, but that's the case between those people and their lenders. Financial issues and payments should be reserved and not available for others.
Posted by: PaydayDesk | October 23, 2012 at 07:06 AM
The people whose information was sold on the open market should sue because that kind of information violates privacy and a host of other issues. Privacy extends a lot of places but especially the financial aspect of people's lives and it should be vehemently protected at all costs.
Posted by: Lulaine | October 11, 2012 at 11:53 AM