Credit Reporting

Consumer Reporting Act, R.S.O. 1990, c. C.33

9 (1) Every consumer reporting agency shall adopt all procedures reasonable for ensuring accuracy and fairness in the contents of its consumer reports. R.S.O. 1990, c. C.33, s. 9 (1).

(2) A consumer reporting agency shall not report,

(a) any information that is not stored in a form capable of being produced under section 12;

(b) any information that is not extracted from information appearing in files stored or collected in a repository located in Canada regardless of whether or not the information was obtained from a source outside Canada, except where the consumer report is in writing and contains the substance of any prior information orally acquired that conforms to the requirements of this Act.

Idem

(3) A consumer reporting agency shall not include in a consumer report,

(a) any credit information based on evidence that is not the best evidence reasonably available;

(b) any unfavourable personal information unless it has made reasonable efforts to corroborate the evidence on which the personal information is based, and the lack of corroboration is noted with and accompanies the information;

(c) information as to judgments after seven years after the judgment was given, unless the creditor or the creditor’s agent confirms that it remains unpaid in whole or in part, and such confirmation appears in the file;

(d) information as to any judgment against the consumer unless mention is made of the name and, where available, the address of the judgment creditor or the creditor’s agent as given at the date of entry of the judgment and the amount;

(e) information as to the bankruptcy of the consumer after seven years from the date of the discharge except where the consumer has been bankrupt more than once;

(f) information regarding any debt or collection if,

(i) more than seven years have elapsed since the date of last payment on the debt or collection, or

(ii) where no payment has been made, more than seven years have elapsed since the date on which the default in payment or the matter giving rise to the collection occurred, unless the creditor or the creditor’s agent confirms that the debt or collection is not barred by statute and the confirmation appears in the file;

(g) information as to the payment or non-payment of taxes or lawfully imposed fines after seven years;

(h) information as to convictions for crimes, after seven years from the date of conviction or, where the conviction resulted in imprisonment, from the date of release or parole, provided information as to convictions for crimes shall not be reported if at any time it is learned that after a conviction an absolute discharge or a full pardon has been granted;

(i) information regarding writs or actions that are more than seven years old or writs that were issued or actions commenced against the consumer more than twelve months prior to the making of the report unless the consumer reporting agency has ascertained the current status of the writ or action and has a record of this on file;

(j) information regarding any criminal charges against the consumer where the charges have been dismissed, set aside or withdrawn;

(k) any other adverse item of information where more than seven years have expired since the information was acquired or last reaffirmed;

(l) information as to race, creed, colour, sex, ancestry, ethnic origin, or political affiliation; or

(m) any information given orally in the consumer report unless the content of the oral report is recorded in the file.

22 No person shall knowingly supply false or misleading information to another who is engaged in making a consumer report.

Harvey v Capital One Bank, 2019 CanLII 69716 (ON SCSM)

[42] I agree with Capital One’s submission that if Mr. Harvey’s argument were correct, the purpose of the Consumer Reporting Act, to advise other potential creditors of an individual’s credit worthiness, would be completely undermined. The ramifications to businesses extending credit to others could be deleterious if such information was unavailable, simply because the creditor did not commence legal proceedings for payment of the debt prior to the two year limitation period. Many consumer debts do not justify the time or expense of legal proceedings. Nevertheless, an individual’s failure or refusal to pay their legitimate debts is important information to other creditors, to whom that same debtor has sought more credit. The extinguishment of the right to report such debt by operation of the Limitations Act, as posited by Mr. Harvey, allows the debtor an unfair advantage in our credit-based society.

[43] What Mr. Harvey fails to appreciate is that Capital One is simply reporting the debt was never paid. This reporting under the CRA is not intended to be a debt enforcement method and differs from the statutory collection process referred to in Markevich. As a result, the reporting of his outstanding debt to the credit reporting agency is not defamatory.

Consumer Reporting Act, RSO 1980

9.—(1) Every consumer reporting agency shall adopt all procedures reasonable for ensuring accuracy and fairness in the contents of its consumer reports.

...

(3) A consumer reporting agency shall not include in a consumer report,

...

(f) information regarding any judgments, collections or debts that on their face are statute barred unless it is accompanied by evidence appearing in the file that recovery is not barred by the expiration of a limitation period;