# DRE Credit Reporting — Legal Analysis

## Can DRE report debtors to credit bureaus?

### Consumer debts (individuals)
**Yes** — DRE can report to Equifax, Experian, TransUnion but must:
- Send FDCPA validation notice first
- Wait 30-day dispute window before reporting
- Comply with FCRA § 1681s-2 furnisher duties (accuracy, investigation on dispute)
- Follow Texas § 392.202 dispute process (30-day investigation)
- Maintain $10K surety bond with Texas SOS (§ 392.101)

### B2B debts — corporate debtors
**No** — FCRA defines "consumer" as an individual (§ 1681a(c)). Consumer CRAs don't maintain business credit files. Use Dun & Bradstreet, Experian Business, or Equifax Business instead.

### B2B debts — personal guarantors
**Yes** — individuals who signed personal guarantees are "consumers" under FCRA (per FTC Advisory Opinion to Tatelbaum). All FCRA/FDCPA rules apply.

### B2B debts — sole proprietors
**Yes** — a sole proprietor is an individual ("consumer"). Same rules as consumer debts.

### Liability risks
- Incorrect reporting → actual damages + attorney fees + punitive
- Failure to investigate dispute → $100-$1,000 per violation (FCRA § 1681n)
- Texas Finance Code § 392.403: $4K/violation

### Business credit bureaus (recommended for B2B)
- Dun & Bradstreet Global Trade Exchange (free)
- Experian Business
- Equifax Business  
- No FCRA/FDCPA restrictions, no 7-year limitation
