TransUnion Responds to Litigation Filed by CFPB
TransUnion responded to a complaint from the Consumer Financial Protection Bureau (CFPB), asserting that the allegations against them and former executive John Danaher are unfounded. The company claims it has been compliant with a previous consent order since 2017 regarding its credit monitoring services. TransUnion criticized the CFPB for failing to provide guidance and for escalating the situation to litigation without prior discussions. The company emphasizes its commitment to enhancing consumer benefits and transparency in the credit reporting industry under new leadership.
- TransUnion claims compliance with the CFPB's consent order since 2017.
- Recent leadership changes have led to significant improvements in consumer benefits and transparency.
- CFPB's allegations could lead to potential legal costs and reputational damage.
- Lack of communication from the CFPB raises concerns about regulatory relations.
CHICAGO, April 12, 2022 (GLOBE NEWSWIRE) -- In response to a complaint filed today by the Consumer Financial Protection Bureau, TransUnion issued the following statement:
The claims made by the CFPB against TransUnion and John Danaher, a former executive, are meritless and in no way reflect the consumer-first approach we take to managing all our businesses.
In January 2017, TransUnion entered into a consent order with the CFPB relating to how it markets TransUnion Credit Monitoring, a subscription product that offers consumers credit monitoring and identity theft protection services, as well as access to their credit scores. Shortly thereafter, as required by the consent order, TransUnion submitted to the CFPB for approval a plan detailing how it would comply with the order. The CFPB ignored the compliance plan, despite being obligated to respond and trigger deadlines for implementation. In the absence of any sort of guidance from the CFPB, TransUnion took affirmative actions to implement the consent order.
We have been in compliance with our obligations and we remain in compliance with the consent order today. Rather than providing any supervisory guidance on this matter and advising TransUnion of its concerns – like a responsible regulator would – the CFPB stayed silent and saved their claims for inclusion in a lawsuit, including naming a former executive in the complaint. Despite TransUnion’s months-long, good faith efforts to resolve this matter, CFPB’s current leadership refused to meet with us and were determined to litigate and seek headlines through press releases and tweets. The CFPB’s unrealistic and unworkable demands have left us with no alternative but to defend ourselves fully.
Over the last several years, and under the direction of new leadership, TransUnion has led the credit reporting industry in making significant changes aimed at benefitting consumers and increasing transparency in the credit reporting process.
About TransUnion (NYSE: TRU)
TransUnion is a global information and insights company that makes trust possible in the modern economy. We do this by providing an actionable picture of each person so they can be reliably represented in the marketplace. As a result, businesses and consumers can transact with confidence and achieve great things. We call this Information for Good®.
A leading presence in more than 30 countries across five continents, TransUnion provides solutions that help create economic opportunity, great experiences and personal empowerment for hundreds of millions of people.
http://www.transunion.com/business
| Contact | Dave Blumberg TransUnion | |
| david.blumberg@transunion.com | ||
| Telephone | 312-972-6646 | |
FAQ
What is the complaint against TransUnion by the CFPB?
How has TransUnion responded to the CFPB's lawsuit?
What is the significance of the 2017 consent order for TransUnion?
What improvements has TransUnion made under new leadership?
How might the CFPB's complaint impact TransUnion's stock (TRU)?
