HELENA, Mont. – People who didn’t return movies to Hollywood Video and Movie Gallery before they closed their doors for good last year may run into credit trouble when looking to take out a mortgage or finance a car.

That’s because a debt collection agency filed negative reports to credit agencies for thousands of customers nationwide who owed late fees or had other charges pending when Movie Gallery, the parent company of the video rental stores, went bankrupt last year.

Montana filed a lawsuit Wednesday against National Credit Solutions, alleging the company filed negative credit reports without informing customers, never gave them a chance to dispute the charges and tried to tack on “exorbitant” fees.

“It’s crazy to think that a Montanan would be prevented from refinancing their house or buying a new car simply because they returned ‘Caddyshack’ two days late,” said state attorney general Steve Bullock.

 


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