Settles v. Trans Union, LLC

Settles v. Trans Union, LLC

Opinion

MEMORANDUM

Pending before the Court are motions to dismiss the First Second Amended Complaint (Doc. No. 72) filed separately by defendants Pennsylvania Higher Education Assistance Agency and Trans Union, LLC. (Doc. Nos. 74 and 81). Plaintiff responded to the motions (Doc. Nos. 110 and 130) and Defendants replied. (Doc. Nos. and 118 and 131). For the reasons stated below, the [*2]  motions to dismiss will be GRANTED.

I. BACKGROUND

Plaintiff brings this action for violation of the Fair Credit Reporting Act ("FRCA"), 15 U.S.C. § 1681 et seq., against Pennsylvania Higher Education Assistance Agency ("PHEAA"), a student loan servicer, and Trans Union, LLC, a credit reporting agency. (Am. Compl., Doc. No. 72). This case arises out of the credit reporting of one of Plaintiff's student loans. Plaintiff defaulted on the loan in February 2014. (Id., ¶ 9). PHEAA then closed the account, transferred the loan, and submitted an insurance claim to the government for the defaulted loan. (Id.).

The loan is reported as follows:¹

(Compl., Doc. No. 1, Ex. B).

On August 27, 2018, Plaintiff sent a letter to Trans Union disputing the reporting of his account status. (Id., ¶ 12; Doc. No. 110-5). Plaintiff contested the listing of the account status as "120 days past due" and argued that if the balance is $0, it is "impossible for their current status to be listed as late." (Doc. No. 110-5). On October 4, 2018, Trans Union responded that its investigation showed the account was reported accurately. (Id., ¶ 16).

Plaintiff filed this case claiming Defendants' inaccurate reporting and failure to conduct a good [*3]  faith investigation of his dispute violates the FCRA. (Doc. No. 72, ¶¶ 32, 38). Plaintiff claims the reported pay status as "Account 120 Days Past Due Date" is "inaccurate on its face" and "misleading to the point that it is no longer accurate." (Doc. No. 72, ¶¶ 8, 18). He contends the pay status should either be deleted or corrected to "current" or "paid as agreed." (Id., ¶ 8).

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