How do you fix your credit report if an original paid collection account is now listed with multiple other collection agencies a year later?
Your best bet is send a certified letter to the agencies who have your debt listed. Be polite and give them 30 days notice to remove the negative information. After 30 days have expired run another credit report to see if they removed the information. If the negative information is not removed you should file small claims judgment against the credit-reporting agency.
Original creditors sale their accounts to collection agencies when the account has been past due and they have not effectively collected. At that time, the original creditor will charge off the balance from their accounts receivable and turn the account over to a collection agency. When the collection agency collects the debt, a portion of the amount received is paid the the collection agency and the remainder is returned to the original creditor as profit.
No, collection agencies do not have any right to freeze your savings account. Only banks have the right to freeze your account but depends on the nature of the default.
Collection agencies are usually retained by the establishment that you owe the defaulted debt to, if the borrower ( person in debt) does not want to work with the collection agency handling their debt, the collection agency will then document the account as a refusal then send the account back to the original lender then they will garnish your wages until the life of the loan is paid off.
Collection agencies buy defaulted accounts from original creditors. The original creditor supplies all the information to the collectors that was obtained upon the opening of the account. (Name, SSN, place of employment, etc.).
Can a repoed account be sold three times to different collection agencies with the last one demanding an amount exceeding the original loan?
It can be sold as long as a buyer can be found.
Yes they can.
What do you do if an account was turned over to a collection agency but the original creditor accepted your payment in full?
Contact the original creditor. Provide proof of your payment. They need to retract the account from the collection agency. The account could have been sold to the collection agency or simply assigned to them. For your purposes, it does not matter which situation applies. You paid the original creditor and your credit report needs to reflect this. After they do what they need to do to get the account back; you then dispute the entries… Read More
Do you need to include account numbers for both the collection agency and the original creditor on your bankruptcy form?
Include the original account number if you are including the original creditor. Include the account number for the collection agency if you do not have the orignal creditor information and are including them as "Care Of" for service.
Absolutely they can ! The only reason a person needs to deal with a collection agency, is because they defaulted on payments to the original company. That company passed the account to a debt-recovery agency, who paid the sum YOU owe to the original company. If you simply refuse to pay the collection agency, they have the legal right to take you to court to recover the debt !
Yes! Creditors can garnish a personal checking account. As long as the creditor has the checking account info they can garnish a checking account.
I presume your question is "how did your debt wind-up at a collection agency". There are 2 methods: (1) the original creditor sold your account to an agency for a price that is a fraction of the outstanding balance on the account (so the collection agency now is your creditor legally), (2) the original creditor contracted with a collection agency to get you to make more payment on the debt than you have while interacting… Read More
Are there no regulating rules to control the buy outs of charge-offs etc by several collection agencies?
No. There are laws regulating how a debt is collected. The original creditor can sell an account, for example that is $5,000 to a third party for any amount they agree on. Even if the account was sold for $500 the collection agency can get the entire $5,000+ or at least try.
What are your rights against bill collector callers who do not identify themselves hang up and threaten to sue?
Collection agencies are governed by federal and state laws. Debtors are given protection under the Federal FDCPA. A collection agency cannot "threaten" you with anything. They can inform you that your account may be referred to a collection attorney and legal action may be initated. Please familarize yourself with the laws pertaining to collection agencies. Be advised, that some of the laws do not apply to the original creditor.
What does it mean when your credit report states that you have a paid closed collection account on you credit report?
The original account with a normal credit company went to a third party collection agency. Only after it went to the collection agency was the debt paid and then the account closed.
Is it legal for a collection agency to try to collect on a debt that was released in bankruptcy and then sold to the collection agency by the original creditor bank?
Legal or not, this happens every day. Inform the collection agency and the original lender that this was included in the bankruptcy. The collection agency may want to see proof but usually the original lender will call and request that - that particular account be sent back. Make sure you get something in writing from the original lender--and that the collection agency REMOVES their account off your credit report--check your report 3 to 6 months… Read More
More unlikely there is a mix up. I would verify the account number is the same. If it is then I would contact the original creditor and tell them the problem. They can direct you to the right agency. With today's electronic transfer of accounts this does happen. Rarely but it does happen.
How can you remove a medical collection that is no longer listed with the collection agency but has been returned to the original creditor?
I assume this means removing it from the CR. In which case you can't. It may eventually be updated to show the original creditor has reassumed the account. However, it is still a debt owed and still reportable. If a collection account has "been returned" to the original creditor, then the collection agency would not be able to provide verfification of the debt should this be requested. You could write a letter of dispute to… Read More
Collection agencies can't add charges. Fees and interest charged to your account are per the terms of your contract with the creditor.
You can write a letter of dispute to the collection agencies if that is who listed your credit account wrong. If it is a company, you can write a letter directly to their account or customer service department.
How do you keep creditors and lawyers and collection agencies from continually viewing information on your credit report without your permission?
Consumers (although some do not realize it) authorize the creditor and agencies and legal representatives acting on the creditor's behalf to access their credit report when they sign the original account agreement. It is perfectly legal and there is nothing the debtor can do to prevent the action.
They are two different issues. A derogatory (negative) trade line is a record of a consumer's past and current buying and payment activities. A collection account is generally an account that has been defaulted on. It some cases it refers to the original creditor or the OC collection representative. Or it can be in referance to a third party that has purchased the account.
Can a sold credit card account be collected on if the account is reported as charged off with a zero balance?
It may be zeroed out w/ the orig company because they sold it to the collection people. DO NOT PAY COLLECTION AGENCIES ANYTHING!! google "fair credit act". lots of info
To access to bank account as such, no. But if the debtor agrees to have ACH for payments, then the creditor or collection agencies can withdraw funds, or depending on the state laws a Judge can authorize to garnish wages from the bank. Find laws that apply to the debt in the resources box
The statue of limitations for collecting a debt varies from state to state, but it usually corresponds with the credit reporting rules which is 7 to 10 years. Collection agencies find ways around this though by reselling the account to other collection agencies, thus reaging it and starting the SOL over.
When a credit card account has been charged off can the collection agency charge you additional fees and interest?
It would depend on the state laws that are apply to collection agencies and collection procedures. In many states they can add fees incurred for the collection of a debt and interest on the amount of the debt itself.
A collection agency cannot file a lawsuit against a debtor. The agency can refer the account to a collections attorney who is licensed to practice in the state where the debtor resides, and that attorney can file a suit against the debtor. Some collection attorneys or firms are also licensed to arbitrate accounts, which means the account is sent to the National Arbitration Board rather than the use of standard civil lawsuit procedures. Actually… Read More
They can't freeze the account initially. First, they must try to collect the debt from you. Then, they can sue you if you do not pay. If they win a judgment against you, they can freeze the bank account. Sometimes collection agencies sue people for debt that is not their or that is past the statute of limitations. Learn your rights by reading up on the FDCPA.
yes and do all the time and the old agentcy will still show on credit report It can be bought and sold as many times as the agencys want to move it around
The original creditor does not remove your information. What is should say in the notes section is that the account has been transfered or sold to a third party collection agency. This information will remain on your account until the 7 year clock expires.
No, the collection agency is now the rightful owner of the debt in question and the original creditor has removed the account from their books.
Same thing happened to me..... what does this mean? I have not heard anything back from original creditor and was making timely montly payments to collection agency... I am confused and a little scared
When a consumer receives a notice from a collection agency requesting payment of a debt, the consumer should always present to the agency a written request for confirmation of the debt owed.
How is it possible for a collection agency to freeze your checking account with out giving proper notice and how do you go about taking care of this matter?
Collection agencies do not normally have that power without a court order. You should go see a lawyer ASAP.
A collection account that has not been paid off.
If the bank charged off the account and send a 1098 form to the IRS can the bank later sell the account to the collection company?
Banks can sell debts to collection agencies at any time. The write off was likely done after the sale anyhow, and the 1098 was for the amount of money the bank lost overall.
If an original card account has gone on to multiple collection agencies do you include all or the most recent one in Ch 7 bankruptcy and what if you dont know all of them?
Include everyone you know of and just make sure to keep the paper work ready for anyone in the future that tried to collect it. If the debt was not sold by the original card company then you should not have much of a problem in the future; if it was sold it can be a pain as it may jump around to a handful of other debt buying agents before someone does their job… Read More
Can the original creditor direct their collections agency to have an account removed from a credit report?
THE ORIGINAL CREDITOR WILL BE ABLE TO HELP WITH REMOVING AN ACCOUNT BY REPORTING THIS TO THE BUREAUS. DO FIND OUT IF THEIR IS A NECESSARY STEP IN CONTACTING THE COLLECTION AGENCY FOR THESE SERVICES TO BE TAKEN CARE OF.
Do collection agencies have the right to freeze your checking account without going to court for a credit card debt of over 10K on the original credit card?
Collection agencies cannot do anything but attempt to collect the debt -- via phone calls mostly which is a pain, but you don't have to talk to them. They can, with the permission of the original creditor, turn the account over to an attorney. The attorney must follow due process through the court system. Only through due process can assets be siezed or liquidated to satisfy debts. The exception is the IRS. They do pretty… Read More
It is there because they have purchased the account from the original creditor and are proceeding with their prescribed collection procedures. It is a legitimate entry on a credit report, and cannot be removed until the seven year expiration date. Even if the account is paid it will remain on the report marked as such, until the time limit expires.
1. Get a copy of your current credit report. (I have used www.freecreditreport.com which can provide all reports from all 3 credit agencies for around $40.) 2. Write up letters to each collection agency asking why each account was opened along with the account balance. 3. Get the letter certified, copied and send them to the collection agency. 4. (Read both of these steps) If the collection agency replies: you can "Ask For Forgiveness" from… Read More
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.
Collection agencies cannot garnish wages or seize property. They can refer the deliquent account to a collection attorney who can file a lawsuit. The attorney must be licensed in the debtor's state and the lawsuit must be filed there. If the lawsuit is won, a writ of judgment can be issued. The writ can be executed in the form of wage garnishment, bank account levy and seizure of nonexempt property. There are collection firms such… Read More
If your original creditor was removed from your credit report can you dispute the collection agencies still showing the debt and have them removed also?
No, the original crditor was removed because the account was sold to a third party collector. The entry will remain on the report for the required 7 years from the DLA. You can dispute the collection agency entries as well. Often times if you have paid the debt, the collection agency will no longer keep records, thus be unable to prove the debt when you dispute it. They more than likely won't even respond, as… Read More
You had a credit card account which they charged off and sold to a collection agency ca Now you have that charge off which carries a balance and a CA collecting on the same debt What could you do?
It is unlikely that the account was "sold" to a collection agency. Rather, the agency was contracted to recover the debt. The "charge off" of the account only affects the original creditor, and represents a loss reported against the company's taxes. If the collection agency has attempted to recover the debt and has been unable to, the original creditor will likely pull back the account and refer it to another agency in hopes of greater… Read More
This may depend on the country your in, but I would suggest not. If the debt in question is a debt solely in your name, this will mean the other party on your joint account is not liable for your debt, so they cannot take funds from your joint account.
How can you remove a collection agency entry from your report if you have paid the original creditor and there is no need to deal with the agency?
Send proof of payment to the original creditor and the information being reported against you by the collection agency. Request that they make sure the collection account is withdrawn and their original account is listed as paid. Upon receipt of that letter, send a dispute letter to the credit reporting agencies with your proof of payment. Follow up until your credit report is correct. updated entry: This is pretty good, but one problem is that… Read More
Only in certain instances. If your name on the credit card debt? For instance, is it a joint account? If so, you are liable for it. If not, you are not legally liable for it. Some sneaky collection agencies will try to tell you that you are liable when you are not. This is illegal. Learn your rights against collection agencies by reading up on the FDCPA.
You just received a notice on a credit card indicating that it was in the process of being charged off and was urged to make payment arrangements-- What exactly does this mean?
Within a 180 days of default a creditor must charge off the account. After which the account is sent to a collections agency who then follows established collection procedures. These are generally implemented in the form of letters and/or phone calls to the debtor. Collection agencies are obligated to conform to FDCPA regulations whereas original creditors are not. If suitable payment arrangements are not made, the agency that "buys" the account may decide to pursue… Read More
If you owe money to collections and you pay it can you get these items removed from your credit report?
It is always a good policy to attempt this. But whether or not you succeed in getting a paid collection account removed from your credit report is totally within the discretion of the creditor. There is no law that requires or compels credit reporting. The Fair Credit Reporting Act states that IF an account is reported, then it must be correct. Therefore, collection agencies and creditors usually will tell a consumer that they "must" by… Read More
My credit report shows a delinquent account from 2005 a collection agency is listing it now reported as of 6 2009 is that legal?
No it is called re-aging which is federal violation, collection agencies do this to refresh the SOL so they have legal recourse to sue you for the debt.