In 2015, the CFPB fined Clarity Services Inc., a “consumer credit reporting company,” $8 million for “pulling information on consumers’ financial background without a permissible purpose.” The CFPB alleged that in one instance, Clarity Services “obtained 190,000 consumer reports — not to present to a potential lender, but in order to create a marketing presentation.”

• Clarity Services Inc. is a “Florida-based consumer credit reporting company.” [Lalita Clozel, “CFPB Slaps $8M Fine on Subprime Credit Report Company,” American Banker, 12/03/15]

• “In one instance,” Clarity Services “allegedly obtained 190,000 consumer reports — not to present to a potential lender, but in order to create a marketing presentation. These illegal inquiries were then marked on consumers’ credit files.” The company was also accused of “failing to investigate consumer disputes related to identity theft or unreliable information contained in their credit reports unless consumers could produce documents to prove their case.” [Lalita Clozel, “CFPB Slaps $8M Fine on Subprime Credit Report Company,” American Banker, 12/03/15]

• The $8 million fine did not include restitution for victimized consumers. Clarity was ordered to “end these practices and implement new policies and safeguards to ensure that consumers’ disputes are investigated and that the credit reports are obtained for permissible purposes.” [Lalita Clozel, “CFPB Slaps $8M Fine on Subprime Credit Report Company,” American Banker, 12/03/15]