Consumer Car Buying Advice Blog

If you applied for the free TransUnion credit monitoring service last year take note that the company has begun the notification process to all consumers including those who plan on applying for a bad credit car loan this year.

The nearly free lunch

As everyone knows, and those of us Auto Credit Express can vouch for it, there is no such thing as a free lunch. An offer from TransUnion, however, really did come close and the company is now fulfilling its end of the settlement. And while free credit monitoring may not be an entire lunch, it sure makes for a great entrée – especially for consumers in the market for a vehicle they hope to finance with a bad credit auto loan.

The lawsuit

According to the informational web site, the class action lawsuit claimed that TransUnion “violated state laws and the Fair Credit Reporting Act by selling lists containing personal and financial consumer credit-related information to third parties for use in target marketing.” The explanation goes on to state that “the Defendants (TransUnion and Acxiom) provided more information than was allowed under the FCRA to credit grantors or insurance companies…”

While the court never found TransUnion guilty of anything, both sides agreed to settle the case to avoid “the cost and risk of a trial.” And while TransUnion didn’t lose, consumers who took advantage of the settlement are in the process of collecting their winnings.

Who qualified?

According to the terms of the settlement, anyone who had an open credit account or an open line of credit from a credit grantor (including automobile loans, bank credit cards, department store credit cards, student loans or a mortgage loan) between January 1, 1987 and May 28, 2008 in the United States, you qualify.

Consumers that qualified had 2 options:

1. Sign up for 6 months of free credit monitoring. This gives you unlimited daily access to your TransUnion credit report and credit score for 6 months with the ability to lock your credit report from view by unwanted companies without your consent (unless allowed by law). This normally retails for $59.75. By selecting this option, you can also request a cash settlement (this will be disbursed if there is any money left in a fund after all costs and expenses are paid from the settlement fund.

2. Sign up for 9 months of enhanced free credit monitoring. This includes everything from (1) plus insurance scores and a mortgage simulator service (that shows you what mortgage rates you should qualify for). This normally retails for $115.50. By choosing this option, you give up the rights to sue the Defendants for certain damage claims and you also give up the right to receive a cash payment from the settlement fund.

The rules

Consumers had until September 24, 2008 to register. Once registered and given final approval by the court, registrants have 6 months to activate their credit monitoring benefit.

Consumers who registered are now receiving the following communication from TransUnion:

Dear Class Member:

As part of the terms of your Class Action Settlement with TransUnion, you’ve received a six month subscription to TransUnion Credit Monitoring, fulfilled by TrueCredit. Register now and start enjoying the benefits of credit monitoring right away! You’ll get:

• The ability to lock your credit report so third parties, such as lenders or other companies, will not be able to access your credit report without your consent (unless allowed by law);
• Unlimited daily access to your Trans Union credit report and credit score; and
• Credit monitoring with email notification of critical changes to your credit report.

Ready to get started?

Your registration number is <xxxxxxxx>. Be sure to enroll soon as your registration number is only available for a limited time. Please note that our records indicate that you also registered for the potential cash benefit. A final determination as to whether there will be a distribution of the cash benefits and, if any, the amount of any distribution, will not occur before September 2010 and could occur as late as October 2011. You may visit the website www.ListClassAction.com for updates regarding this potential benefit.

Just click here and enter your registration number and you’ll be on your way to credit monitoring!

Sincerely,

TransUnion List Class Action
Settlement Administration

As we see it

For those bad credit auto loan customers that took advantage of TransUnion’s offer, good for you. Knowing your credit score and what’s contained in your credit report are important steps in reestablishing your credit.

For nearly 20 years, Auto Credit Express has been helping people with credit problems get approved for new and used car loans. Our dealer affiliates work with a broad spectrum of bad credit auto loan lenders to get you approved. Since our inception we have processed over 1,000,000 online bad credit auto loans and closed over 1 Billion dollars in auto loans.

For more information, please visit www.autocreditexpress.com to see what we can do for you.

Tags: bankruptcy, better business bureau, car loan calculators, car loan quote, credit monitoring, credit score, ford, nada

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