Don't Get Enough Credit: The Need for an Impartial Consumer Credit Report Appeal Tribunal in Ontario

In a world where efficiency and speed rule, quick ways to make informed judgments on business and risk are preferred. Verifying information on a consumer credit report is a logical way of doing this. Unfortunately, there is no practical way for a consumer to appeal and correct information on a consumer credit report, resulting in an unequal and potentially oppressive situation where creditors can unilaterally punish an alleged debtor simply by sending information to a credit bureau. Credit bureaus are middlemen that choose to distance themselves from creditor-debtor disputes, characterizing their operations as reporting agencies that report the facts alone. Since 2000, Ontario has seen an unprecedented rise in Superior Court litigation aimed at credit bureaus and creditors that report allegedly incorrect credit information. There have also been privacy complaints to the federal privacy commissioner regarding credit information. The Ontario Court of Appeal has recently recognized the inherent importance that credit reports play in our lives. Realistically, only well-informed, substantially wealthy Ontarians have the knowledge, time and money to exercise their rights and challenge creditors and credit bureaus on information contained in their credit reports. The average Ontarian is left at the mercy of creditors and collections agencies – some of which choose to report debts that, in good conscience and at law, should rightfully not be reported. A Tribunal would be a public acknowledgment by the Government of Ontario that consumers have solid rights to control information about themselves – information that affects the ability to get a mortgage, find accommodation and secure things as basic as employment. Enough time has passed without the law addressing the need to treat credit reports as a fundamental piece of personal information that directly affects an individual’s ability to secure housing and employment in Ontario. A Tribunal would provide a forum where individuals can resolve disputes regarding their personal credit information. This paper has presented not only an argument for establishing a Tribunal, but also for realistic alternatives, should the Government of Ontario so choose. Expensive and time-consuming litigation should not be the only option to protect an individual’s personal information contained in a credit report.