0
A creditor or collector cannot arbitrarily change the date of the DLA in order to negate an SOL or enter on the debtor's credit report or other similar actions. However, if the debtor made an attempt to repay, negotiate a repayment or other such contact with the collector the original DLA becomes moot until the debt is considered defaulted again.
If the question refers to the continued collection of a debt after the SOL has expired that is allowable. Debts only become invalid when the creditor or collector who buys the debt "forgives" the money owed. The debtor will then receive a 1099C form which designates the forgive debt as income and it must be reported to the IRS as such.
Wiki User
∙ 11y ago
Add your answer:
Earn +20 pts
If you settle an old credit card debt with a collection agency paying the negotiated price in full will the collection agency remove the collection from your credit report?
No the collection will not be removed from the credit report. They will show it paid in full.
Can a collection agency sue to collect an old debt?
If the debt has not been paid on in more than seven years than no. Otherwise yes.
What is the time limit imposed on a collection agency to validate a debt?
If you legally incurred the debt then you are responsible for it until it is paid. A company other than the company to which you were originally indebted may purchase the rights to your debt and you are responsible for paying them. There is no time limit on that debt. A collection agency can legally pursue you until the debt is paid in full. However, there is a time limit on the negative consequences of not paying the debt. In most circumstances that limit is seven years. Seven years from the time you became delinquent with your original creditor. Whether or not your debt was purchased by a collection agency, it should not be reported on your credit report or affect your credit score after seven years. The only time the debt could reappear is if you take an action on it. For example: In 1997 you applied for and received a store credit card and charged $1000 in merchandise. You did not pay the bill and after their attempts to collect the debt fail, the store sells your debt to a collection agency in 1998. That agency sells your debt to another agency in 2000. In the meantime, you pay all your bills on time and have an otherwise spotless credit history. In 2004 your $1000 debt will no longer appear on your credit report and your credit score will be higher because the old debt is no longer figured in the calculation. The collection agency is not doing anything illegal by contacting you regarding your debt. But it is no longer affecting your credit rating. In 2007 you pay $500 toward the debt. Your credit report would reflect you have a $500 debt to the collection agency and your credit score would drop. I hope this answered your question.
How do you negotiate with collection agencies to pay the debt and get paid collection accounts removed from your credit report?
Collection agencies typically purchase debt portfolios at auction for pennies on the dollar. The older the debt the less valuable it becomes. Your debt may have been sold and resold about every 90 days. Use the following to estimate what the collection agency paid at auction; 60 day old or less 50-80% 90 day old or less 45-75% 180 day old or less 10-45% over six months 3-10% For example if the collection agency bought your 6 mo old $1000 debt, they likely only paid $30-$100 for it. You can negotiate with the collection agencies and offer them a one time cash settlement offer that is slightly higher than what you estimate that they paid. Beware that they are professional debt collectors and they will pressure you into making installments for the full amount owed. They will never admit that they bought your debt for pennies on the dollar and will insist that you make payments in full. Hold firm to your settlement offer price. If the first company that you deal with will not accept your offer, just wait a few months until they sell your collection account to a different collection agency. When the collection Agency accepts your settlement offer verbally, you must get the agreement in writing before sending any money. The agreement must state that, xyz company agrees to accept $xx as payment in full for the debt of $xx. After you have the agreement and proof of payment, dispute the collection account record with all three credit reporting agencies. Stating that the information on file is "inaccurate" as the debt is paid satisfactory.
If several debts listed on a credit report are sold to a new collection agency and then paid in full can the debts from the old agency be disputed and removed from a credit report?
Yes and no. What the original credit agency should be reporting is that the debt was transferred to a new collector. Once you have proof that the debt was paid in full, you should be able to provide all creditors that are reporting negative info regarding that debt that this is the case and they should mark your records accordingly with a zero balance. It is really entirely up to them as to whether or not they totally remove the entry from your credit report.
Can a collection agency add charges and interest to an old debt in Wisconsin?
Of course.
If you settle an old credit card debt with a collection agency paying the negotiated price in full will the collection agency remove the collection from your credit report?
No the collection will not be removed from the credit report. They will show it paid in full.
If you have old debt from another country and a collection agency in the US is trying to collect can they report the debt on your US credit report?
It is possible.
Can a collection agency sue to collect an old debt?
If the debt has not been paid on in more than seven years than no. Otherwise yes.
If your account is sold to a collection agency how to do you find out when it was sold and how old the account is?
When the collection agency contacts you, they have to give you the opportunity to request information concerning the debt. You will have thirty days to send a written request to dispute the debt. And to ask for confirmation of the original creditor, the amount owed, when the account was remanded to the agency, etc.
If a debt listed on your credit report was sold from one collection agency to another and you paid the debt with the new agency can the old agency still be marked as a debt on your credit report?
If the old collection company is still showing the debt being owed, it can usually be taken care of by supplying to them evidence of the payoff of the debt with the other agency. Should that not work, order your credit report on line (from whichever bureau is reporting it) and then instigate an on-line dispute. You'll have to supply to them evidence the debt is paid and then they'll handle it from there. This procedure usually takes 30 - 45 days to clear up.
Can a collection Agency require collection on a 20 plus year old speeding ticket in Ohio?
Send the Collection Agency C&D letter letting them know that the debt they are trying to collect on is time barred by your states statutes and never contact you again.
I want to pay my old debt off from 2 years agi but have no idea how to find the debt collection agency that my debt was sold to.How can I?
Get help from Bill Gates, the 2nd ricest person in the entire world :)
If one collection agency buys your debt and charges interest and then sells it to another debt collector can that new debt collector collect on the old interest?
Yes. The new debt collector bought the entire debt, including interest that was added on. You will be responsible for the entire debt.
What is the time limit imposed on a collection agency to validate a debt?
If you legally incurred the debt then you are responsible for it until it is paid. A company other than the company to which you were originally indebted may purchase the rights to your debt and you are responsible for paying them. There is no time limit on that debt. A collection agency can legally pursue you until the debt is paid in full. However, there is a time limit on the negative consequences of not paying the debt. In most circumstances that limit is seven years. Seven years from the time you became delinquent with your original creditor. Whether or not your debt was purchased by a collection agency, it should not be reported on your credit report or affect your credit score after seven years. The only time the debt could reappear is if you take an action on it. For example: In 1997 you applied for and received a store credit card and charged $1000 in merchandise. You did not pay the bill and after their attempts to collect the debt fail, the store sells your debt to a collection agency in 1998. That agency sells your debt to another agency in 2000. In the meantime, you pay all your bills on time and have an otherwise spotless credit history. In 2004 your $1000 debt will no longer appear on your credit report and your credit score will be higher because the old debt is no longer figured in the calculation. The collection agency is not doing anything illegal by contacting you regarding your debt. But it is no longer affecting your credit rating. In 2007 you pay $500 toward the debt. Your credit report would reflect you have a $500 debt to the collection agency and your credit score would drop. I hope this answered your question.
What does 'account reaffirmed' mean?
Account reaffirmed means that a creditor or collection agency has violated the FCRA by manipulating the dates of your debt to effect your credit more negatively. For example you may have a debt that is 6 years old, but a collection agency will attempt to make it look like you just got into more debt recently by changing the open date or past due date to something more recent.
What does reaffirm mean?
Account reaffirmed means that a creditor or collection agency has violated the FCRA by manipulating the dates of your debt to effect your credit more negatively. For example you may have a debt that is 6 years old, but a collection agency will attempt to make it look like you just got into more debt recently by changing the open date or past due date to something more recent.
