America's big banks have taken a lot of hits in the past few years. JPMorgan Chase is in hot water over collection practices, HSBC and U.S. Bank were caught forging lost mortgage documents, and Bank of America has sped up its foreclosures. Chase Bank even got in trouble for erroneously reporting that customers were dead. Well, Bank of America is back in the spotlight again for reporting that Arthur Livingston, a Bank of America customer for 19 years, was deceased. Livingston has been listed as deceased by Equifax, Experian, and TransUnion since May 2009, and he only found out when he applied for a loan in October last year. After months of hassle, he will be paying thousands of dollars more than he would have been if he had gotten the loan when he applied, mainly because the numerous credit inquiries have messed up his credit score. Additionally, he is currently living in a rental house with his family, and by the time their new home is ready, they will have spent around $12,000 in rent.
Arthur Livingston's situation is understandably frustrating, and I can't blame him for wanting Bank of America to compensate him for all the troubles he has run into for their mistake. Unfortunately, these situations have happened before, and they will probably happen again. The lesson that consumers can take away from Arthur Livingston's story is to regularly check their Equifax, Experian, and TransUnion credit reports, especially before applying for a loan. Then if an error occurs, you can catch it right away.
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