Equifax Inc. disclosed in its quarterly report filed Thursday that it has received a request for information from the Consumer Financial Protection Bureau as part of an investigation into whether consumer reporting agencies are violating the law.
The Atlanta-based credit bureau reported it is cooperating with the request, which specifically seeks information about whether Equifax and others are violating the Dodd Frank Act or the Fair Credit Reporting Act. The investigation is reviewing the advertising, marketing and sale of consumer reports, credit scores and credit monitoring products.
The company said it does not know whether the investigation will result in any action against it.
In the company's first quarter report, Equifax reported earnings were up 2.3% from the year-ago quarter.
Despite increasing 3.2% year over year, Equifax's revenues of $584.5 million lagged behind a Zacks Investment Research Consensus Estimate of $588 million.
"Equifax reported mixed first-quarter results. While Equifax's bottom line beat the Zacks Consensus Estimate, the top line fell short of the same. Nonetheless, the company's revenues increased on a year-over-year basis aided by strong growth across most its business segments," according to Zacks.
In January, a federal judge reduced the amount a jury had awarded an Oregon woman who spent years battling with Equifax.
Julie Miller had contacted Equifax eight times between 2009 and 2011 to correct credit report inaccuracies, including erroneous accounts and collection attempts, as well as a wrong Social Security number and birthday. Her lawsuit alleged the Atlanta-based company failed to correct the mistakes.
The original amount, which totaled $18.6 million with punitive and compensatory damages, was reduced to $1.62 million. The initial ruling was handed down last July and was one of the largest granted to a consumer in a case against one of the nation's major credit bureaus.