There is no question that when true credit reporting errors and illegal debt collection tactics occur they can have a very real impact on your life. In a credit related lawsuit, this negative impact is formally referred to as “damage.”
In every credit related lawsuit there will be a claim that damage has occurred to the plaintiff (i.e. the consumer) as a result of the wrongdoing or mistake allegedly perpetrated by the defendant (i.e. creditor, credit reporting agency, or collection agency).
Often the damage claim is defined as the consumer being denied for a loan, being turned down for a job, being approved for a loan with less attractive terms, or having existing lines of credit revoked, reduced, or re-priced. That’s normally a hard sell because in many cases that’s simply untrue or the damage cannot be attributed to the allegedly incorrect item.
Of course, in order for damages to be truly influential they must be proven to be true. Even if damages are perceived to be potentially valid, the truth is that many if not most credit lawsuits will never even see the inside of a courtroom.
A large percentage of credit lawsuits settle out of court and long before trial. Therefore, even if you have a legitimate complaint you should have realistic expectations rather than huge dollar signs floating around in your head