House Financial Services Committee Chair Maxine Waters (D-CA) vowed action against Equifax following news reports accusing the credit bureau of providing inaccurate credit reports.
In a letter to the credit bureau, Rep. Waters demanded information on credit reporting problems, She expressed concern that the misconduct may have resulted in "economic injury and otherwise harmed consumers who may have been denied credit when they needed it, or are now paying higher interest rates than they might otherwise have paid." She asserted that the credit reporting failure, along with a previous large-scale data breach suffered by the credit bureau, highlight the deficiencies in the credit reporting system which underscore the need for the CFPB and Congress to address those inadequacies. Rep. Waters included a list of questions for the credit bureau relating to the misconduct and requested responses no later than August 16, 2022.
In a letter to several national bank CEOs, Rep. Waters asked about the extent to which the flawed reports were used to grant or deny credit applications. She asked the CEOs to assess the impact of the credit bureau's erroneous reports on each bank's credit application process. Her letter included a list of questions to help Congress better understand the impact of the credit reporting errors and hopefully identify areas in need of legislative action. Rep. Waters also asked that the banks respond to the letter no later than August 16, 2022.
In a letter to the CFPB, Rep. Waters urged the agency to take action against Equifax to "ensure harmed consumers are promptly made whole and to protect consumers from our broken consumer credit reporting system going forward." She further urged the CFPB to impose a moratorium prohibiting the credit bureau from providing any credit scores to financial institutions until it can demonstrate satisfactory reporting accuracy. The CFPB previously took action against the credit bureau and several others for failing to timely respond to customer complaints (see previous coverage).