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CFPB, FTC fine TransUnion $23M for tenant screening and security freeze failures
Federal regulators fined credit-reporting agency TransUnion a total of $23 million for tenant screening and security freeze failures on Thursday
NEW YORK (AP) — Federal regulators fined credit-reporting agency TransUnion a total of $23 million for tenant screening and security freeze failures on Thursday.
The Consumer Financial Protection Bureau and the Federal Trade Commission fined TransUnion $15 million because the company did not take steps to ensure the rental background checks that landlords use to decide who gets housing were accurate.
They fined the company another $8 million for falsely telling consumers they had placed or removed security freezes and locks on their credit reports. TransUnion told tens of thousands of consumers their requests were completed when, in reality, the requests were dumped into a yearslong backlog.
“Americans across the country were put at risk of wrongful housing denials because TransUnion failed to follow the law,” said CFPB Director Rohit Chopra. “We are ordering TransUnion to cease its yearslong illegal activity, clean up its broken business practices, redress its victims, and pay penalties.”