FCRA Investigations and the Fourth Circuit

FLUSHING, N.Y. - June 3, 2025 - PRLog -- The Fourth Circuit's recent ruling in Roberts v. Carter-Young, Inc. delivers a jolt to credit furnishers who've long hidden behind the tired wall of "legal vs. factual" dispute defenses. In the case, Shelby Roberts disputed a $791.14 collection account she believed to be retaliatory and baseless. Instead of investigating, the furnisher, Carter-Young, simply double-checked with the landlord who claimed the debt, rubber-stamped the answer, and moved on.

The Fourth Circuit reversed a district court's dismissal, holding that consumers can trigger a furnisher's duty under the Fair Credit Reporting Act (FCRA) if the disputed info is "objectively and readily verifiable." That phrase is crucial — and dangerous. Why? Because it's ripe for misuse.

If furnishers misread the opinion as saying only objectively verifiable info merits investigation, they risk violating the clear FCRA duty: if a claim can't be verified, it must be deleted. The burden is on the furnisher to prove an item is accurate — not on the consumer to prove it's false.

In other words, this isn't a loophole. It's a reminder. Don't report what you can't stand behind. The Fourth Circuit didn't rewrite the law; it reinforced the idea that credit reports should reflect facts, not laziness or assumptions.

For more context, this article explains the implications in detail: https://consumerattorneys.com/article/the-fourth-circuits....