Questions regarding credit report/collection agents

Hi,

I have several questions as I try to clean up my credit report and I would appreciate any help anyone can offer!

1. Original creditor sold a debt to a collection agency. Am I right to dispute the original creditors entry on my credit report? It states that it was assigned to a collection agency.

2. I live in the same house, but not with (apartments) my mother. She has received calls on her phone from a collection agency stating the message is for me and it’s an attempt to collect a debt. Under section 805 (b) of the Fair Debt Collection Practices Act, isn’t it illegal since I never put her contact info on any accounts? I think just because they see the same address and last name, they call her number. I have received that same message on my answering machine and was informed (not by an attorney) that without verifying that I was the only person who would receive that message, even that leaves the collection agency in violation. Any advice on that?

3. Lastly, my car was repossessed for a day. Literally. I called the company to make full payment on the funds due, but the repo order had already gone out. That night, they took my car and the next day after the Western Union cleared, I was able to go pick it up. How will this show on my credit report and do I have any kind of recourse to remove it?

Thank you very much; I appreciate all replies!

The credit report states that it is assigned to a collection agency? Or does it say out for collection? If the original creditor have sold the account, then they must state that the account has been sold or show a zero balance on the account. If they have assigned the account for outside collection, then they can still report it with a balance. How long have the debt been? All credit card debt are "open account" and has a time limit for collection known as the Statue Of Limitation (SOL). If they don't collect within that time frame (any where between 2 years to 6 years depeding the state you live in), then legally they can not force you to pay...that does not mean the debt is not valid but they can't force you to pay it throught the judicial system. This is to protect the consumer from forever haunted by a bad debt.

If you have recorded messages from a collector on your mother recording (I'm assuming that you have a different telephone line here), then you can called them back (record everything), and tell them that the number there is not yours. And tell them that you are recording the conversation to let them know that you have called to let them know that it's not your numbers. And when they leaves messages again on your mother phone, they have now violated the FDCPA. With proper documentations, you can go to any attorney and they will gladly take the case for a percentage of the award ($1000 per violation and each time they leave a message on your mother phone is a violation). Many debt collectors will use the "scare" tatics to get you to pay. you can never go to jail for a bad debt because it a civil suit and not a criminal suit! Harrassing and lying are not allowed by the FDCPA! From now on, whenever you communicate with any debt collector, record the conversation or document all paper sent (certified mail, return receipt requested) so that you have evidence if a lawsuit is file. You can counter sue for violations!

Thank you so much for your answers! I really appreciate all of the information.

As per your answer to my first question, the debt is not that old that it's nearing statute of limitations. I believe my last transaction was in 2002 or 2003 and I live in NY, which is a 6 year state. Here is the way it is being reported:
Experian: Account transferred to another office*
Equifax: Transferred to another lender or claim purchased
Transunion: ACCOUNT TRANSFERRED OR SOLD Purchased by another lender

Hi EBK117, there are several options you can take:

1. Contact the original creditor to pay the debt in full and in exchange ask them to remove the deliquent account from your credit report. Send a letter when requesting this and once you receive the letter send in your payment.
2. If you choose to do so you can wait until the statute of limitations runs out and don't pay the bill, however, this will not help your credit until the debt is seven years old then it will automatically be removed from your credit reports which appears to be in 2009 or 2010.
3. If the original creditor refuses to accept payment, ask the original creditor what collection agency the account was referred to and their contact information and follow step 1 again.

Good luck.

Also read about "re-age" of an old debt, because your action may trigger and reset the clock, if you intend to go that route. Use certified mails rather than telephone when dealing with credit bureaus and collection agencies.

If the debt is 6 years old, it's not lowering your scores that much. If it were mine, I'd wait for it to fall off.

Paying old debts re-ages the debt like Zanswer said.

I would NOT pay anything else off unless you have disputed it several times and it won't come off...then, and ONLY then, try to negotiate with collectors to remove the account if you pay it off. Get it in writing...these bastards will do or say anything to get your money, then they will leave it on your report like the dirty bottom feeding scum that they are.

Hi,

The Fair Credit Debt Collection Practices Act, can give you more info. You can find it on the website of the Federal Trade commision (www.ftc.gov)

:)