Check declined because of TeleCheck?

Who TeleCheck is and who relies on its reports

TeleCheck Services, Inc. is a check acceptance and risk company. According to the CFPB’s list of consumer reporting companies, TeleCheck helps retailers, financial institutions and other businesses reduce fraud and account-opening risk using check-writing and other checking account information, provides payments data to lenders for credit underwriting, and is a wholly owned subsidiary of Fiserv, Inc. In its 2014 press release, the FTC described TeleCheck as a check authorization company based in Houston, Texas.

When you write a check at a store, or pay from your bank account online or by phone, the merchant may ask TeleCheck whether to accept it. The FTC has explained that TeleCheck’s recommendations to merchants are consumer reports under the FCRA. If TeleCheck links you, your bank account or your ID to returned checks or fraud, your payment can be declined on the spot. The CFPB notes that retailers may use this kind of report to decide whether to accept your checks.

The FTC’s 2014 case against TeleCheck

On January 16, 2014, the FTC announced that TeleCheck and its debt collection affiliate, TRS Recovery Services, Inc., had agreed to pay $3.5 million to settle charges that TeleCheck violated the FCRA and TRS violated the Furnisher Rule. The FTC said the amount matched the second-largest penalty it had obtained in an FCRA case. According to the FTC, the complaint alleged that TeleCheck:

• did not follow proper dispute procedures, including refusing to investigate some disputes;
• told consumers that the only valid reasons to dispute were the transaction amount, the date and whether services were rendered;
• told consumers who said they had not authorized a transaction to contact the merchant, and in some cases would not reinvestigate or clear an item until a consumer who suspected fraud submitted a police report;
• did not follow reasonable procedures to assure the maximum possible accuracy of information it gave merchants; and
• did not promptly correct errors.

The FTC also alleged that TRS, which handles debts taken on by TeleCheck and furnishes consumer information to TeleCheck, violated the Furnisher Rule on the accuracy and integrity of the information it furnished. The settlement was filed as a proposed consent decree in federal court in Washington, D.C., and the allegations are the FTC’s charges, not findings after a trial. It is an older case, but it is a useful checklist of what a check verification company may not do with your dispute.

Errors that show up on TeleCheck files

• Wrong-person records. Returned checks belonging to someone with a similar name, ID number or account number.
• Identity theft. Checks or electronic debits made with your stolen information.
• Paid items still reported. A returned check you paid still shown as outstanding.
• Account history that is not yours. A prior owner’s or joint holder’s problems tied to your bank account.
• Narrow dispute rules. Being told you can only dispute the amount, the date or whether you got the goods.
• Disputes stalled for paperwork. A demand for a police report before any investigation.

How to dispute TeleCheck

1. Keep the decline. A merchant that declines your check based on TeleCheck’s information must give you a notice saying so and explaining how to get a free copy of your file.
2. Request your TeleCheck file. The CFPB lists TeleCheck’s website as getassistance.telecheck.com, its phone as (800) 366-2425, and its mailing address as TeleCheck Services, Inc., Attention: Consumer Resolution Services, P.O. Box 6806, Hagerstown, MD 21741-6806. The CFPB says TeleCheck provides one free report every 12 months on request.
3. Dispute every wrong entry in writing. Send your dispute to TeleCheck at the address above, not just to the merchant. Identify each transaction and explain why it is wrong. You are not limited to disputing the amount or the date: any inaccuracy can be disputed.
4. Attach proof. Bank statements, proof you paid a returned check, an FTC identity theft report, or proof the account was not yours. A police report can help, but in its 2014 case the FTC charged that refusing to reinvestigate until a consumer produced one did not meet the FCRA’s dispute requirements.
5. Watch the clock. Under the FCRA, a consumer reporting agency generally must finish its reinvestigation within 30 days of receiving your dispute.
6. Keep copies of everything, and use a mailing method with proof of delivery.

How to contact TeleCheck

• Website (CFPB listing): getassistance.telecheck.com
• Phone (CFPB listing): (800) 366-2425
• Mailing address (CFPB listing): TeleCheck Services, Inc., Attention: Consumer Resolution Services, P.O. Box 6806, Hagerstown, MD 21741-6806

Your rights under the FCRA

• Accuracy (15 U.S.C. § 1681e(b)). TeleCheck must follow reasonable procedures to assure maximum possible accuracy of the information it reports.
• Reinvestigation (§ 1681i). TeleCheck must reasonably reinvestigate your dispute, free of charge, generally within 30 days, and correct or delete inaccurate, incomplete or unverifiable information. It cannot send you back to the merchant instead.
• File disclosure (§ 1681g). You may see all the information in your file and where it came from.
• Free annual disclosure (§ 1681j). Nationwide specialty consumer reporting agencies, including those that report check-writing history, must provide a free disclosure once every 12 months on request, and you are entitled to a free copy within 60 days after an adverse action.
• Identity theft blocks (§ 1681c-2). With an identity theft report, fraudulent information generally must be blocked.
• Reporting time limits (§ 1681c). Most adverse information older than seven years may not be reported.
• Adverse action notice (§ 1681m). A merchant that declines your check based on TeleCheck’s information must tell you and explain your rights.

Can you sue TeleCheck?

Yes, if TeleCheck reported inaccurate information because it did not follow reasonable procedures, or if it failed to reasonably reinvestigate after you disputed. Examples include a file that kept another person’s returned checks after you proved they were not yours, or a dispute that was not investigated because you had not filed a police report.

What you may recover. For a negligent violation, you may recover your actual damages, such as fees, lost purchases or services, embarrassment and emotional distress, plus attorney’s fees and costs (15 U.S.C. § 1681o). For a willful violation, you may recover actual damages or statutory damages of $100 to $1,000, punitive damages, and fees and costs (§ 1681n).

The deadline. An FCRA lawsuit generally must be filed within two years after you discover the violation and no later than five years after it occurred (§ 1681p).

Get a free case review

If TeleCheck keeps declining your checks over records that are wrong, save the decline, your file and your dispute. FCRA Attorneys has offices in Dallas, Houston, Chicago, Los Angeles and Atlanta, and files FCRA cases in federal court nationwide, directly or with local counsel. We work on contingency, so there is no fee unless we win. Contact us for a free case review, or see our FCRA practice, our Certegy and ChexSystems pages, and the other companies we cover.

Questions about suing TeleCheck

Can I sue TeleCheck?

Yes, if the facts support a claim. The FTC has said TeleCheck's check acceptance recommendations to retailers are consumer reports under the FCRA. If TeleCheck reports inaccurate information without reasonable procedures, or fails to reasonably reinvestigate your dispute, you may have a claim.

Who owns TeleCheck?

According to the CFPB's list of consumer reporting companies, TeleCheck Services, Inc. is a wholly owned subsidiary of Fiserv, Inc.

How do I get my TeleCheck file?

The CFPB lists TeleCheck's consumer phone as (800) 366-2425, its website as getassistance.telecheck.com, and its mailing address as TeleCheck Services, Inc., Attention: Consumer Resolution Services, P.O. Box 6806, Hagerstown, MD 21741-6806. The CFPB says TeleCheck provides one free report every 12 months on request.

Has the government taken action against TeleCheck before?

Yes. In January 2014, the FTC announced that TeleCheck and its debt collection affiliate, TRS Recovery Services, agreed to pay $3.5 million to settle FTC charges that TeleCheck violated the FCRA and TRS violated the Furnisher Rule, including charges that TeleCheck did not follow proper dispute procedures. The charges were allegations, not findings after a trial.

What does it cost to bring a case?

There is no fee unless we win. FCRA Attorneys handles these cases on contingency, and the FCRA lets a successful consumer recover reasonable attorney's fees and costs from the company.

Related reading

• How to Dispute Credit Report Errors With Equifax, Experian and TransUnion
• An Account on My Credit Report Is Not Mine: What Now?
• How to Write a Credit Report Dispute Letter That Gets Investigated

Sources

• CFPB consumer reporting companies list: TeleCheck Services, Inc. (wholly owned subsidiary of Fiserv Inc.; check and bank account screening; website, phone, mailing address, free annual report)
• FTC press release: TeleCheck to Pay $3.5 Million for Fair Credit Reporting Act Violations (Jan. 16, 2014)
• FTC Business Blog: FTC challenges TeleCheck's checkered compliance with the Fair Credit Reporting Act (Jan. 2014)
• CFPB: Why was I denied a checking account? (retailers use similar reports to decide whether to accept checks; time limits)

Updated November 2026. This page is general information, not legal advice.