Sent GW letter to Macy's and rcvd a bill in response?

[CBuff]

Macy's is on my CR as a baddie - charge off/bad debt w/ a small balance of less than $60. TU estimates removal on 2/09 but I sent a GW to Macy's requesting any goodwill adjustment to the negative reporting. Of course I'm going to pay the balance but I'm wondering if this is a PFD? How do I confirm if it is? Or are they reopening the card? I received a "Red Star Rewards account statement" w/ a billing cycle; period ending date, account summary, etc. But no mention of an available balance. Other than pay the balance is there any other action I should take? Thanks!

[Anonymous]

Don't pay!  This is probably out of SOL for debt collection purposes.  If you pay the balance, you'll be resetting the reporting SOL since you will have brought the account current.  Check your states SOL.  The reporting SOL is 7 years, but the debt collection SOL is almost always less.

Message Edited by dwarfess on 02-12-2008 03:25 AM

[cobra19]

CBuff..........are you saying Macys opened a new account for you? Is the account number on the statement different from the charged off account? Call their 800 account info. number and go through the automated process to learn of your balance, available credit, etc.

[Anonymous]

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dwarfess wrote:

Don't pay!  This is probably out of SOL for debt collection purposes.  If you pay the balance, you'll be resetting the reporting SOL since you will have brought the account current.  Check your states SOL.  The reporting SOL is 7 years, but the debt collection SOL is almost always less.

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Actually...paying an old debt does not reset the time period for reporting.  Nothing can reset that clock except bringing the account current and then defaulting again.

Paying an old debt can reset the SOL for taking legal action, depending on your state law, but if you pay it in full that should not be a concern.

Not suggesting doing anything in particular, just clearing up that common misconception.

Message Edited by cheddar on 02-12-2008 09:05 AM

[CBuff]

Thank you for the replies. It was my understanding, like Cheddar's, that paying the old debt does not re-age for CR reporting unless you end up defaulting again. I'm unsure as the "status" of the account, whether it's open/closed, etc. but I will definitely be calling the 800 # after work today for more info.

If I recall correctly, I defaulted on this account and it went to collections, but never a collection agency. I settled the balance but obviously still had a balance of about $56. If they reopened the account I'm going to utilize it as I need positive TL. If not, I'm going to ask if they will PFD.

Thanks for your help everyone!