Someone Opened Up Accounts Using My Info As An Acting Co-Signer

[JuliaPR]

Hi I'm new here. Got a question. Years ago a relative opened up a couple of charge accounts and used my info as me acting as a co-signer without my permission and she decided not to pay and got the shock of my life when a credit check was ran by a landlord a couple of years ago. I've been fighting the bureaus and creditors on this by requesting written proof as to why they think these accounts are mine via certified mail(the accounts were opened in 1997). I did have one item on the credit reports which was mine, it was a medical claim from last year that was submitted to the insurance company too late. I just finished paying it off today. In doing that, will it increase my score? As for the relative, she is disowned big time. I don't want anything to do with her ever again.

[JuliaPR]

Oh I forgot, my credit score as of today is 589. Not good.

[Anonymous]

Hi Julia.  What a lousy thing for someone to do to you.  It works out best for you if she defaulted as long ago as possible.  For example, if she made the very last payment in July 2000 and the account eventually went to collection, it should drop off your credit report around February 2008.  Collection accounts get deleted from your report 7.5 years after the "date of first delinquency."  So if you're not successful in proving that your signature was forged, you just have to wait it out.

As for the medical bill you paid, it's not clear to me what its status was.  Was it in collection, or just late?  Did you pay the whole amount or negotiate a settlement? By paying it off I know you feel better, but you've lost some of your bargaining power.  What you should have demanded is a "PFD" or "pay for delete", which means the collection agency or hospital agrees to delete the whole trade line if you pay.  It's worth a try to see if they'll do it now; you've got nothing to lose by asking.  It's better to get the trade line deleted than to have the notation "paid in settlement" (if you didn't  pay the whole thing) or to have a late payment on your credit report.

While you're at it, why not resubmit to the insurance company and ask for reimbursement?  Again, it's worth a try if all you have to do is write a sympathetic letter.

[JuliaPR]

The hospital kept submitting the claim to the insurance company for about 6 months. For some stupid reason they (insurance)didn't have me in their system, I was coded incorrectly or something like that. It was a big mess but it got straightened out too little too late. The collection agency even tried to submit to them and waited 30 days before I agreed to pay them. I will call them tomorrow about the deletion, I wished I would have thought about that when I paid them off, but they are sending me a letter in a few days stating that I paid in full.

[Anonymous]

Julia -  Good luck and don't beat yourself up for not knowing.  The collection agencies aren't in the business of telling you what you need to know!

[Anonymous]

JuliaPR,

File a police report with your local police department. Probably little they can or would be willing to do about it criminally. Lotta time and resources from them for little payout in the end. However, by filing a report that helps you out.

Send a copy of the police report to the credit bureaus, along with a photocopy of your Driver's License and SSN card, and dispute them. State you didn't co-sign these.

I would also send a letter to the creditors, include a copy of the police report, and dispute with them.

I would send everything CMRRR (Certified Mail, Return Receipt Requested). Save your CM receipt, RRR green card when it comes back, USPS receipt (which has the CM # on it), and a photocopy of your signed letter. Also include a reference line at the top of each letter.

USPS CERTIFIED MAIL xxxx xxxx xxxx xxxx xxxx

By sending it CMRRR, you are using a "bigger stick" of the implied threat of lawsuit. Might or might not come to that, but let's deal with that bridge at a later time.

[Anonymous]

JuliaPR,

Unfortunately, the collection will likely remain on your report. Once a collection is paid, you have little leverage to do anything about it. You'll see little to no rise in your FICO scores because of it being paid. Counterintuitive, I know.

Were I you, I would file a complaint with your state AG, the state AG where the insurance company is located, the BBB, the FTC, your state insurance commissioner, and the state insurance commissioner where the insurance company is located. State AGs and state insurance commissioners, IMHO, are the best bet for getting any sort of action. But, play the consumer complaint whack-a-mole game, and complain to everyone. You might get lucky on one or more fronts.