Tempoe LLC on Your Credit Report: Your Options Explained

If Tempoe LLC is on your credit report, there’s important news you need to know. In September 2023, the CFPB and 42 state attorneys general permanently banned Tempoe from consumer leasing, cancelled every existing lease, and ordered the company to close all consumer accounts. Any Tempoe debt you thought you owed has likely been wiped out, and you may even be entitled to a refund.

If Tempoe is still showing as an active collection on your credit report, that’s a problem worth fixing immediately. The account shouldn’t be there.

This guide walks through what happened to Tempoe, what it means for your credit report, and how to respond.

What Happened to Tempoe

Tempoe, LLC was a point-of-sale lease-to-own financing company that operated at retailers like Sears and Kmart. Between 2015 and 2022, they entered over 1.8 million lease agreements with about 325,000 consumers who had been rejected for conventional financing.

The problem was Tempoe hid the terms of its agreements. Employees were told to avoid using the word “lease,” and many consumers thought they were signing installment plans when they were actually entering leases that auto-renewed for 18 to 36 months.

On September 11, 2023, the CFPB and 42 state AGs permanently banned Tempoe from consumer leasing. All existing leases were cancelled, consumers kept their merchandise with no further payment required, and $192 million was set aside for refunds.

What This Means for Your Credit Report

If you had a Tempoe lease that went into collections, the debt is almost certainly no longer legally collectible. The CFPB consent order required Tempoe to close all existing consumer accounts and release customers from making any further payments. A collection account in Tempoe’s name is grounds for an immediate dispute with the credit bureaus.

Pull your credit reports from all three bureaus at AnnualCreditReport.com. Look at how the Tempoe account is reporting. If it’s still showing as an active collection or charge-off, dispute it. Reference the CFPB consent order in your dispute letter and request immediate removal.

Are You Eligible for a Refund?

Starting November 2024, the CFPB began distributing over $191.9 million to more than 250,000 consumers affected by Tempoe’s practices. You may be eligible for a refund if:

• You entered a lease with Tempoe between January 1, 2015 and September 11, 2023.
• Your lease was extended on a month-to-month basis for more than six months after the initial term.
• Tempoe failed to provide required additional disclosures.

Refund checks have been mailed to eligible consumers. If you believe you’re eligible but haven’t received a check, contact the CFPB’s redress administrator by mail at Tempoe, LLC Redress Matter, c/o JND Legal Administration, P.O. Box 91054, Seattle, WA 98111, or email info@cfpb-tempoe.org.

What to Do If a Collector Is Still Contacting You

If a third-party debt collector is still trying to collect on an old Tempoe account, they may be violating the consent order. Tempoe was required to close all consumer accounts and release customers from further payment obligations. A collector pursuing a cancelled lease should be reported.

Send a written debt validation request by certified mail within 30 days of any collection contact. Include a copy of the CFPB consent order information and demand documentation showing the collector’s right to pursue a debt that was cancelled by federal order. File a complaint with the Consumer Financial Protection Bureau at consumerfinance.gov if the collection attempts continue.

Your Rights Under Federal Law

The Fair Credit Reporting Act (FCRA) gives you the right to dispute inaccurate information. A Tempoe collection account still showing as active after the CFPB cancellation is by definition inaccurate, and the credit bureaus are required to investigate and correct.

If a third-party collector is pursuing you on a cancelled Tempoe debt, the Fair Debt Collection Practices Act (FDCPA) also applies. Under the FDCPA, a collector cannot:

• Collect a debt that doesn’t exist: Tempoe debts were cancelled by federal order.
• Threaten arrest or jail: Unpaid consumer debt is not a criminal matter.
• Call at odd hours: Contact is only allowed between 8 a.m. and 9 p.m. in your time zone.
• Use harassing language: Repeated calls and threats violate the law.
• Lie about what you owe: Misrepresenting a cancelled debt is a serious violation.

How to Dispute a Tempoe Account

File disputes with each of the three credit bureaus showing the Tempoe account. In your dispute, state clearly that:

• Tempoe was permanently banned by CFPB consent order on September 11, 2023.
• All existing Tempoe leases were cancelled as part of the consent order.
• Tempoe was required to close all consumer accounts and release consumers from further payment.
• The account as currently reported is inaccurate.

The bureau has 30 days to investigate. Because of the CFPB action, this should be a straightforward dispute, but document everything in case it needs escalation.

How to Contact Tempoe

Tempoe is no longer operating as a consumer leasing company. The company’s historical contact information was:

• Former address: Tempoe, LLC, 720 E Pete Rose Way, Suite 400, Cincinnati, OH 45202
• Former phone: (844) 483-6763

For questions about the CFPB redress program or your eligibility for a refund, contact the administrator at info@cfpb-tempoe.org or by mail at the JND Legal Administration address listed above.

Final Thoughts

A Tempoe LLC entry on your credit report is different from other collection accounts. The CFPB action means you likely don’t owe the debt anymore, you may be owed money, and the account probably shouldn’t even be on your credit report at this point.

Dispute the account with the credit bureaus, check your eligibility for a refund, and report any continued collection attempts. This is one of the clearer cases where a collection account can be removed based on documented federal action.