Complaints about credit reporting agencies declining, plenty of room for improvement
A report on credit reporting agencies (TransUnion, Equifax, Experian) issued by the Consumer Financial Protection Bureau (CFPB) suggests the private companies behind consumer credit scores are improving, even if only slightly.
While these agencies historically have had a high number of consumer complaints, the CFPB reports those complaints actually declined in 2022.
“TransUnion, Equifax, and Experian routinely top the list of complaints submitted by consumers,” said CFPB Director Rohit Chopra. “We will be exploring new rules to ensure that they are following the law, rather than cutting corners to fuel their profit model.”
This year's report noted that the three major credit bureaus have made some changes, including:
- Changed how they respond to complaints: Equifax, Experian, and TransUnion use of problematic response types described in last year’s report has declined. Most complaints now receive more substantive responses.
- Provided more tailored complaint responses: Across all three companies, most responses now describe the outcomes of consumers’ complaints. In September 2022, the nationwide companies provided a tailored response to more than 50% of complaints that were closed with an explanation or relief.
- Reported greater rates of relief in response to complaints: In 2022, TransUnion reported providing relief in most complaints. Experian reported providing relief in nearly half of complaints. Equifax reported that it did not provide relief, but its written complaint responses suggest that its rates of relief are comparable to the other two companies.
While improvements in customer responsiveness have been made, the CFPB says these bureaus are still a source of significant complaints and expects the three major credit reporting agencies to continue making improvements.
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