If you had a balance of 189 dollars on your Ford account that was paid to a collection agency when it was discovered 2 years later then Ford went and reported it as a repo to the credit bureaus is this legal?

Jose. DID they repo the car?? If not, I dont see how it could be correct.

Was this vehicle a repo at the time and were you paying the remaining balance to the collection agency or was the account a charge off? I am assuming that you are refering to Ford Motor Creit which I used to collect for. In most cases a 3rd party collection agency will purchase the account at pennies on the dollar or the account will be placed with a fee once the account is collected. It is the collection agency responsiblity to update the creditor of payments and in some cases update credit reports. Also it is a good idea to get a confirmed paid in full letter and to send it to the original creditor to make sure they update your credit report correctly.