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NewBeginning16

Impermissible Purpose Bank Inquiries: I need fresh eyes

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Hi All!

I am about to file suit or initiate arbitration against one of the big banks for doing 3 impermissible pulls on my credit on the same day (2 hard, 1 soft). I have the basics down, but a the title says, I 'd like fresh eyes to look at it. 

When my son was 16, I took him to the bank to open an account. It was a student account and only he signed it, not me. They did not ask me for my social, (why would they). In fact, when he had an issue on the account and I called in with him, he had to give me permission to speak to them about his account. 

A few months ago I checked my reports and found the 3 inquiries. I contacted the back via letters sent CMRRR to the CEO. They answered back, asked for more time than they should have for the dispute and never stated that my dispute was irrelevant or frivolous. First, they sent me a letter stating that they didn't have anything under my name or social.  Then today an envelope arrived showing the application from my son's account, with stating that they had permissible purpose due to my son's account - the account that I am not on and didn't sign for. 

One question I have is:  should I exploit their stance that they had permissible purpose via the application and take them to arbitration?

Sorry if this isn't the correct forum for this to be in. 

 

 

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This is a pet peeve of mine (hate when banks pull credit without my consent). If you did not act as a co-signor, I do not see the permissible purpose.  However, I think it's unlikely you'll have an arbitrator award you any money damages. You can always invoke arbitration and send a demand for the damages and removal of the credit pulls from your reports. I doubt the bank will want to arbitrate, due to the expense.  However, I wouldn't pound the table too hard over a financial award - personally I'd settle for withdrawal of the credit pulls.

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4 hours ago, Determined1 said:

This is a pet peeve of mine (hate when banks pull credit without my consent). If you did not act as a co-signor, I do not see the permissible purpose.  However, I think it's unlikely you'll have an arbitrator award you any money damages. You can always invoke arbitration and send a demand for the damages and removal of the credit pulls from your reports. I doubt the bank will want to arbitrate, due to the expense.  However, I wouldn't pound the table too hard over a financial award - personally I'd settle for withdrawal of the credit pulls.

Thank you for the answer. Wouldn't it be hard for the bank to explain one inquiry, let alone three (on the same day) and the fact that one was coded differently than the other two? I think they'll be a little more receptive to some monetary payment since they asked for more time than they should have known they were allowed (whoops), were outside of their allotted time to respond to the dispute when they came back with my son's application anyway (another whoops). They can't invoke that it's irrelevant or frivolous, either (whoops again). Plus they'll be hard pressed to explain the lack of my name or signature on the app. 

I'll work on invoking arbitration. Now I have to find my son's agreement to see which arb is on it. Is sending a demand for damages (I have been denied credit based on the inquiries) part of arb? 

Sorry for the questions, I've never done arbitration before. Thanks again!

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Why go to arb? Just file suit in court. or get an attorney that specializes in tila and fdcpa type suits.

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41 minutes ago, shellieh98 said:

Why go to arb? Just file suit in court. or get an attorney that specializes in tila and fdcpa type suits.

I've done cases like this on my own and did incredibly well, but things have changed a little bit since I last did them. I haven't needed one before, so I don't see why I need one now. I just negotiated against a well known corporate litigator for mid 5 figures for a small number of  inquiries. 

Besides, for a large 5 defendant suit I had, I couldn't get anyone to take the case. And the violations on all 5 were clear as day.  I'm in CA and most are all about how much money they can make here. To heck with them. I'll do it myself. I just like to make sure all my Ts are crossed and Is are dotted. They won't expect that I even know about arb and with their own statement (on paper), opened the door to it themselves. They can't attempt to bury me in paperwork in arb and will likely settle.

 

 

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17 hours ago, NewBeginning16 said:

Thank you for the answer. Wouldn't it be hard for the bank to explain one inquiry, let alone three (on the same day) and the fact that one was coded differently than the other two? I think they'll be a little more receptive to some monetary payment since they asked for more time than they should have known they were allowed (whoops), were outside of their allotted time to respond to the dispute when they came back with my son's application anyway (another whoops). They can't invoke that it's irrelevant or frivolous, either (whoops again). Plus they'll be hard pressed to explain the lack of my name or signature on the app. 

I'll work on invoking arbitration. Now I have to find my son's agreement to see which arb is on it. Is sending a demand for damages (I have been denied credit based on the inquiries) part of arb? 

Sorry for the questions, I've never done arbitration before. Thanks again!

If you were denied on the basis of inquiries, and have a letter to this effect, then you're in a much better position to demand damages.

The American Arbitration Association now has a consumer clause registry that shows all companies and other organizations that use AAA Arbitration clauses in their contract, and the terms.  Check out this link to see if your bank is listed:  https://www.adr.org/aaa/faces/aoe/gc/consumer/registrywelcome;jsessionid=vyUTrCFMRi4zK3vzYc1VuOSK5E06CszcBAXnqed9tqAaVJ2kthXT!-1485502971?_afrLoop=185177536178598&_afrWindowMode=0&_afrWindowId=null#%40%3F_afrWindowId%3Dnull%26_afrLoop%3D185177536178598%26_afrWindowMode%3D0%26_adf.ctrl-state%3D1g1fsd00z_4

Prior to this, many institutions denied arb against consumers filing a complaint to force a wrestling match in court. Now that AAA has tightened up their contractual relationships via registration to this platform, they can't wiggle off the hook so easily.  Go get 'em!

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1 hour ago, Determined1 said:

If you were denied on the basis of inquiries, and have a letter to this effect, then you're in a much better position to demand damages.

The American Arbitration Association now has a consumer clause registry that shows all companies and other organizations that use AAA Arbitration clauses in their contract, and the terms.  Check out this link to see if your bank is listed:  https://www.adr.org/aaa/faces/aoe/gc/consumer/registrywelcome;jsessionid=vyUTrCFMRi4zK3vzYc1VuOSK5E06CszcBAXnqed9tqAaVJ2kthXT!-1485502971?_afrLoop=185177536178598&_afrWindowMode=0&_afrWindowId=null#%40%3F_afrWindowId%3Dnull%26_afrLoop%3D185177536178598%26_afrWindowMode%3D0%26_adf.ctrl-state%3D1g1fsd00z_4

Prior to this, many institutions denied arb against consumers filing a complaint to force a wrestling match in court. Now that AAA has tightened up their contractual relationships via registration to this platform, they can't wiggle off the hook so easily.  Go get 'em!

Thank you so much for the response. Between you and someone who  gave me additional advice in a PM, I am going to initiate arb ASAP. 

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