Equifax Agrees to $100 Million Class-Action Settlement
The company reaches a settlement to resolve allegations of credit score miscalculations for millions of consumers.
Updated on Oct. 29, 2026 in Taxes
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Equifax has entered into a $100 million settlement following a class-action lawsuit alleging the company miscalculated credit scores for 4 million consumers in 2022. While the firm denies violating the Fair Credit Reporting Act, it settled the case to avoid the expense and risks of further litigation.
Why it matters
The settlement provides financial compensation to impacted individuals while allowing the company to resolve the legal dispute without admitting fault. It highlights the potential impact of technical coding errors on consumer credit reporting accuracy.
Eligible consumers may receive between $95 and $280 per valid claim, with final distributions based on the net settlement fund size. The underlying errors, which occurred in 2022, reportedly reduced credit scores by up to 20 points per report.
The players
Equifax
A multinational consumer credit reporting agency that collects and aggregates information on over 800 million individual consumers.
U.S. District Court for the Northern District of Georgia
The federal trial court where the class-action lawsuit against Equifax was filed and where the settlement is being processed.
The details
The lawsuit, filed in the U.S. District Court for the Northern District of Georgia, claimed that a coding error caused inaccurate credit score reporting between March 17 and April 6, 2022. Equifax maintains that it denies any wrongdoing in the settlement agreement.
Timeline
March 17 to April 6, 2022: Credit reporting error window
December 28, 2026: Deadline for consumers to file a claim
January 22, 2027: Final fairness hearing for the settlement
Market Dynamics
The settlement follows the legal framework established by the Fair Credit Reporting Act to regulate how consumer information is handled by credit agencies. This resolution marks a departure from ongoing litigation, as the company settles to avoid the costs of further legal battles.
Impacted consumers can now submit claims to receive a portion of the $100 million fund, though individual payouts depend on the total claim volume. This settlement serves as a reminder for individuals to monitor their credit reports for discrepancies caused by potential technical errors.
The takeaway
Affected consumers should ensure they file their documentation before the end of 2026 to be eligible for potential payment. Monitoring your personal credit reports remains a vital habit to identify and address inaccuracies caused by systemic processing errors.
What happens next
Consumers have until December 28, 2026, to file a claim, followed by a final fairness hearing scheduled for January 22, 2027.
Further reading
Learn more about financial dispute resolutions and consumer rights on the Taxes page.
More information
To review eligibility or submit a claim, visit the Equifax settlement claim portal.
Live Poll
Do you believe credit reporting agencies are held sufficiently accountable for errors impacting your financial standing?
