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Member
Germz
Posts: 26
Registered: ‎08-11-2013

Can Collection Agency report to Credit Bureau if i stop paying them?

Sorry for posting again but have gotten not a single response. Ill shorten the story, I want to stop paying back a collection agengy for a debt that was never mine. I paid so they would stop calling... If i stop payment can they report that on my credit report? Also can i still send a DV letter to validate a charge that is not mine? I am clearly past the initial 30 days to send the DV but what can I do now to fight this? 

 

Thanks and sorry for the repost. The other post was far to long I guess.

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guiness56
Posts: 22,408
Registered: ‎01-17-2008

Re: Can Collection Agency report to Credit Bureau if i stop paying them?

[ Edited ]

Some will say that by making that first payment on a debt that isn't yours, you owned the debt.

 

I disagree.

 

I would not send a DV since now it is not timely.  Fill out an FTC Fraud Affidavit and police report, send them to the CRAs and ask them to block the account if they do report.  Send the same paperwork to the CA and OC and ask for ALL documentation regarding the account.

 

Yes they can report until you can prove it is not yours,

Mega Contributor
RobertEG
Posts: 17,456
Registered: ‎03-19-2007

Re: Can Collection Agency report to Credit Bureau if i stop paying them?

They can always report the fact that they are collecting on the debt.  If they have not yet reported, and you renig on whatever payment plan was in effect, that may well prompt them to report their collection.

The issue of how or whether the debt is paid is a separate legal matter.

They are required to update the balance due while the debt remains unsatisfied, and stopping payment just ceases further showing of reduction of the debt.

Not primarliy, in my opinion, a credit reporing issue.

 

The real issue is whether you had a contractural agreement with them to pay.  Did you sign a formal payment agreement?

I so, they may initiate a breach of contract action against you.  Additionally, the issue of whether they can now bring legal action to seek a court judgement to pay depends upon whether the statute of limitations on the debt has expired.  Some state statute of limitations have provision for reset if payments are made on the debt.

Your issues are more legal than credit reporting.  I would suggest reviewing your state statute of limitations with an eye on whether your payments reset the statute of limitations on any legal action they might bring.

 

Moderator
guiness56
Posts: 22,408
Registered: ‎01-17-2008

Re: Can Collection Agency report to Credit Bureau if i stop paying them?

Moderator
Shogun
Posts: 12,883
Registered: ‎04-15-2011

Re: Can Collection Agency report to Credit Bureau if i stop paying them?


guiness56 wrote:

It isn't his debt.  That should be the primary concern.


Then a fraud affadavit would be prudent, and the CRA should exclude the TL whether the CA reports it or not.


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Moderator
guiness56
Posts: 22,408
Registered: ‎01-17-2008

Re: Can Collection Agency report to Credit Bureau if i stop paying them?


Shogun wrote:

guiness56 wrote:

It isn't his debt.  That should be the primary concern.


Then a fraud affadavit would be prudent, and the CRA should exclude the TL whether the CA reports it or not.


Yes sir.  I already said that lol.:smileylol:

Moderator
Shogun
Posts: 12,883
Registered: ‎04-15-2011

Re: Can Collection Agency report to Credit Bureau if i stop paying them?

Did you now?  Hahaha.  :smileyvery-happy:


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