Asset Acceptance case in Part II.D, describes how this debt buyer "investigates" FCRA disputes by merely comparing the account information in ACDV with the information in Asset's files.
Apparently, they do not even bother to make sure they have reviewed all their records when they take the perfunctory step of checking that the information in their database matches the information in the ACDV.
TransUnion sent an ACDV to GE on September 29, 2005.
The ACDV codes fail to provide a meaningful description of the dispute and underlying documentation, furnishers have even complained that the dispute codes are "vague and overbroad." (65) The e-OSCAR system makes it all too easy for a furnisher to simply check a box indicating that the disputed information has been verified, an exercise that aids and abets perfunctory investigation.
In this case, the court noted: "TransUnion argues that use of ACDV procedures is necessarily reasonable [in an investigation]....
While the credit bureaus claim that they will review the documents the consumer provides to determine if they are "acceptable" to allow a correction outside the ACDV process, this is actually a very narrow category of documents.
The credit bureaus' response to criticism over their failure to forward documentation is to rely on a field in the ACDV form that permits a "free text" comment to be entered by the credit bureau clerk, which is called the "FCRA Relevant Information field." This box is limited to one line and a fixed number of characters.
(82) Intelenet in Mumbai can connect directly to TransUnion's CRONUS database, retrieve a consumer's credit file and initiate the ACDV exchange.
(84) The foreign contractor accesses Equifax's database, retrieves the consumer's credit file and initiates the ACDV exchange as applicable.
But through e-Oscar system, the bureaus charge no less than $.25 to each furnisher for each ACDV dispute form sent electronically.
The court rejected Experian's argument that an investigation solely consisting of ACDVs without seeking additional documentation was reasonable as a matter of law.
Instead, TransUnion sent to ACDVs to Citibank asking it to verify various information such as account balance and original loan amount.