Hinkel & Noon v. Universal Credit Services, LLC – Deceased Credit Report Settlement

In 2024, Berger Montague obtained $225,000 for individuals who had been wrongly reported as deceased on their credit reports by Universal Credit Services, a company that sells credit reports primarily to mortgage lenders.  

The case was brought by named plaintiffs Narily Noon and Tom Hinkel, two people who experienced the devastating effects of being listed as dead on their credit reports. 

For example, when Ms. Noon was seeking to buy a home, she applied for a mortgage and her mortgage lender obtained a credit report about her. The report, from Universal Credit, included information wrongly indicating that Ms. Noon did not have a credit score because she was “deceased.”  Despite the obvious error in this reporting, the inaccurate report from Universal Credit created real obstacles to Ms. Noon achieving her goal of home ownership. Her mortgage lender would not give her a home mortgage without a credit score. Ms. Noon was not able to buy a home and had to continue living in rental housing.

Mr. Hinkel encountered the same problem while he was attempting to refinance his home when interest rates were at historic lows. Mr. Hinkel’s mortgage lender obtained a credit report from Universal Credit that inaccurately stated Mr. Hinkel was deceased and did not have a credit score. As a result of this error, Mr. Hinkel’s mortgage lender denied him the loan with the lower interest rate. In the meantime, interest rates increased, causing Mr. Hinkel financial harm. 

In each case, Universal Credit reported to the lender information that had been provided by the “Big Three” credit reporting agencies, Equifax, Transunion, and Experian. Universal Credit ignored information in the reports obviously indicating the Ms. Noon and Mr. Hinkel were alive. 

Ms. Noon and Mr. Hinkel worked with Berger Montague to file a class action lawsuit against Universal Credit on behalf of all the people that they had inaccurately reported as deceased. Berger Montague also sued the credit reporting agencies that had originally reported Ms. Noon and Mr. Hinkel as deceased in individual cases.  Ms. Noon and Mr. Hinkel alleged that these companies willfully violated the Fair Credit Reporting Act (“FCRA”) by wrongfully reporting living people as deceased.  

In 2024, Berger Montague reached a settlement with Universal Credit for $225,000 on behalf of 1,767 people, including Ms. Noon and Mr. Hinkel.  The results achieved by Berger Montague provided real relief to Ms. Noon and Mr. Hinkel as well as others who were wrongly reported as deceased.

Berger Montague attorneys Michelle Drake, Joe Hashmall, and Mark DeSanto achieved these results for the class, while attorneys Hans Lodge and Ivy Marsnik represented Ms. Noon and Mr. Hinkel in their individual capacities.  

The Damaging Effects of Inaccurate Deceased Reporting

It may be surprising, but living, breathing pevople are wrongly reported as deceased on their credit reports every year. The results can be devastating, as the error will effectively bar an individual from getting any new credit and it may also prevent them from receiving benefits, such as pension payments. It can also be confusing and concerning to deal with this problem on your own. 

Berger Montague helps people that are wrongly being reported as deceased—you don’t have to deal with it alone. We are experts in holding credit reporting companies accountable and making sure they comply with the law, which requires that they use reasonable procedures to ensure their reporting achieves maximum possible accuracy. When companies report individuals as deceased inaccurately, it is very likely there has been a violation of this requirement.  If you have been damaged by false information on your credit report or background report, contact us today for a free consultation on how to pursue relief.