CA's reporting "open" accounts on CR's?

[fricnfrac1]

Hi..on my CR's, I have a few accounts, medical ones, sent mainly  Steven's Business Service. I also think a non medical one, that was sent to

Transworld, is showing as "open". They are listed in Collections, but say  "open". Is this proper?   Can anyone give any advice here?  Just curious.

Thanks!

[RobertEG]

You can actrually have two separate "accounts" on your CR pertaining to the same debt.

The only true "account" you have is the one you legally establsh with the original creditor.

That OC account can be closed, and then charged off as bad debt, and/or additionally refer the account for collection, or sell the debt.

Once referred for collection, it is then up to the CA to choose to report the collection to the CRA. That is commonly referred to as a collection account, and is totally separate from your orginal account with the OC.  It is a reporting "account" between the CA and the CRA, and neither you or the OC are a party to it.

Whrn you see on  your CR the rporting of a collection on the debt, and a statenent of "open" status. this only apples to the CA "account."  It does not mean that the OC account is open.

[fricnfrac1]

Thanks for the info. None of my collections are with the OC. All with CA's.  I understand better now!

[Anonymous]

What if the account reported by a CA is of an 'open' account type?  Of course the status would be open if they are actively seeking collections on the debt. Mine shows:

Account Type: Open (EQ,TU)  Installment (EX)

Acount status: Open and/or 120 days late

CA's can't assume the OC's terms can they?

[RobertEG]

"Open" is the designated account type for all collections.  It does not mean that you have an open account with the debt collector.  Collection "accounts" are purely credit reporting mechanisms between the debt collector and the CRA.

[AndySoCal]

Open account types are ususally are single payment account types. Collection accounts are one example of this. Charge cards are another example where the balance is due in full each month is another example.