Joe had a high-balance loan from Acme Bank and paid it off. Acme reported to the credit bureaus about every 30 days during the loan, up until the day after the scheduled payoff. On that last day, Acme cancelled the payment and reported the high balance still outstanding. Joe contacted Acme and got them to complete the payment a few days later. Joe also asks about credit reporting and is assured that the bank will report the updated (paid-off) balance to all three major credit bureaus the following month in the regular cycle.
A month later, the bank reports updated information to two of the three major credit bureaus but not the one that is used by Lender B. The report makes a significant difference in Joe's credit score, which Joe knows is used to set loan terms when applying for credit.
Lender B has a valuable (e.g. $1K) limited-time offer for someone in exactly Joe's situation who applies for a loan from Lender B. Joe would like to take advantage of this, and knows he would benefit from doing so if the loan application were based on current credit information. (Since Lender B's model for issuing credit & setting terms is opaque, Joe cannot quantify with certainty the risks or differences in terms associated with filing an application while the credit report has known incorrect information.)
Acme Bank does not want to file updated balance information and when Joe explains the need for it, the bank's rep says "Sorry, we can't do anything about it." While Joe is pleading with and waiting for Acme Bank to update information, and awaiting the 1-month initial response period for a dispute filed with the credit bureau, the limited-time offer expires.
Is that just Joe's loss, or did the bank have any practical obligation to provide an accurate update?