On January 14, the Attorney General of New York published an assurance of discontinuance between itself and a credit reporting agency resolving an investigation related to an alleged coding error that caused the credit reporting agency to lower consumer credit scores between March 2022 and April 2022. Due to the alleged error, 76,000 New York consumers allegedly experienced negative shifts in their credit scores, which potentially affected their ability to obtain credit or caused them to obtain less favorable credit terms.
According to the settlement, the consumer reporting agency also agreed to update change control policies, enhance training programs for developers, and regularly monitor incident reports. The consumer reporting agency also is required to pay $725,000 to New York for restitution and penalties.
