Equifax Credit Information Services Inc. will pay $250,000 to settle Federal Trade Commission charges that the company’s blocked-call rate and hold times violated an FTC consent decree.
According to the FTC, the decree settled a 2000 lawsuit for violations of the Fair Credit Reporting Act. The lawsuit, said the FTC, settled charges that Equifax did not have sufficient personnel available to answer the toll-free phone number provided on consumers’ credit reports.
“We don’t agree that we were in violation, ” said Mitch Haws, a spokesperson for Equifax, in an interview with Direct.
According to Haws, the alleged violations occurred two years ago when Equifax introduced its Score Power product, which led to “an unprecedented number” of calls to the company’s customer contact centers. “The response was higher than we anticipated,” he said, noting it took the company time to ramp up to meet demand.
“We remain in full compliance with the act,” he added.
In January 2000, the FTC said, Equifax, Trans Union LLC and Experian Information Solutions paid a total of $2.5 million to settle charges that each violated a 1996 provision of the FCRA requiring that consumers who receive a copy of their credit report must have access to a toll-free number and credit bureau personnel during normal business hours.
According to the FTC
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