US Supreme Court Split Over Government Liability For Credit Report Errors

US Supreme Court Split Over Government Liability For Credit Report Errors

On Monday, the U.S. Supreme Court justices were divided into two different opinions. The justice divided over whether they sued the federal government due to errors in customer credit reports or not.  

The Agricultural Department agency was accused by a Pennsylvania man of making mistakes that damaged the man’s credit score. The lawsuit of Reginald Kritz against the Rural Housing service was blocked by the administration.

The Rural Housing Agency gives loans to lower-income rural regions people of America. Kritz sued in court for monetary damages under the Fair Credit Reporting Act. Kritz repaid his loans however, the government lender and a separate continued to make false reports that his loan amount was due. 

The false report then affected his credit reporting agency TransUnion and damaged his credit status, according to Kritz.

A federal judge in Pennsylvania in 2021 granted the administration’s request to dismiss the case, ruling that the law “does not contain such an unambiguous waiver of sovereign immunity.

The Fair Credit Reporting Act requires an investigation for the right credit information given to reporting agencies. According to the lawsuit of Kritz, the Agricultural Department failed to investigate credit reporting and the right credit information. 

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~News Source: https://rebrand.ly/4iyr6pf

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