Credit Monitoring reported to Household Watch that the average FICO credit score dropped 50 to 90 points when the consumer is reported as “late 30.”

When HSBC reported payments as “late” and was sued and settled under Shea – Household, the cost of credit soared for many consumers who did nothing wrong. HSBC owned Household International and Retail Services as a wholly owned subsidiary while payments were intentionally credited late.

Reports indicate that entire trays of mail were put back into the postal system to facilitate this illegal action.

Further reports to consumer advocacy organization Household Watch indicate that employees knew of the illegal actions, and credit reporting did not reflect accounts as being in a disputed status. To properly show accounts in disputed status (the customers were clearly not late) would have attracted attention, thereby stopping the illegal action which went on for almost ten years.

HSBC either overlooked or condoned the actions reflected in Shea vs Household while conducting due diligence prior to buying the troubled predatory lender.