A creditor may reject your claim if they believe you did not provide enough evidence or if they suspect the charges were actually authorized. For instance, failing to submit a police report or an FTC affidavit could lead to a denial. In some cases, creditors may also suspect fraud committed by family members, which complicates the investigation process.
Another common reason is financial interest. Conducting a thorough investigation costs time and resources, so creditors sometimes prefer to hold the consumer responsible instead of taking the loss. As a result, the victim may be left with fraudulent debts and damaged credit.
However, both California law and federal regulations require creditors to properly investigate identity theft claims. If they fail to do so, you have legal rights and protections to defend yourself.
