§1666a Regulation of credit reports

Summary

After a creditor gets a notice from a borrower under section 1666(a), the creditor must not threaten to tell others that the borrower has bad credit just because the borrower didn’t pay the amount the borrower identified under section 1666(a)(2). The creditor cannot report that charge as late to anyone until the creditor follows the steps required under section 1666 and then gives the borrower the same number of days (not less than ten) that the credit contract allows to pay undisputed amounts. If the borrower sends another written notice within that time saying the amount is still disputed, the creditor may not report the borrower as delinquent for failing to pay the indicated amount unless the creditor also reports the debt is in dispute and simultaneously tells the borrower the names and addresses of each party it told. If the dispute is later resolved, the creditor must notify those same parties of the result.