Rebuilding Your Credit

[Familywantsahouse]

Can a CA recall a debt it sold to another CA? I'm so confused!! We applied for a mortgage and CVF Acquisitions/Resurgent bought an old cap1 charge off from NCO and threw it on my husband's credit as an installment account without notifying us. I immediately PFD'd, no response, send a DV, no response (yet) and then complained to the BBB and AG about not getting notice, and was notified today that they were going to delete this tradeline from all 3 credit agencies....

well....what's in my mailbox this afternoon but a "settlement offer" from NCO for the same account?? (balances match up) Can NCO recall this debt from CVF/Resurgent?? And if so can they now just report it to the CRA without notice?

It's not reporting (yet)? What's the best course of action here? Will it show up as a new collection? Ugh, help!! This is a debt set to age off in a matter of months, but we want to buy a house 3 months before it's to age off and it cannot be reporting for us to get a mortgage!

[Lois5669]

DV NCO. If they do still have authority to collect the debt, then work a pay for not reporting arrangement out with them on that settlement.

[RobertEG]

I dont know what you mean by "recalling" the debt or account.

When a new debt collector obtains collection authority, either as an assigned agent of an owner, or as the owner of the debt, they are responsible for their own reporting.

They have no authority to "recall" any reporting done by any other party.

There is no prohibition against multiple debt collectors reporting their own collection authority and actions to a CRA.  Termination of authority of one does not mandate they delete their prior reporting, and does not prohibit a subsequent debt collector from additionally reporting.  The only stipulation is that both cant have active collection authority at the same time.   Many debt collectors will choose to delete their prior reporting upon termination of their collection authority, but nothing requires that they do so provided it was accurate when reported.

[rckstrscott]

Resurgent's game is pretty well documented..

Here is what probably happened.. The bought it from NCO recently, probably like, end of year 2011 as NCO was getting it off their books..

Sherman Financial, the parent of CVF, LVNV, Resurgent, Credit One Bank and like, 15 other companies, dished it to one of their collection companies and places a trigger on your reporting, as soon as you applied for financing, you set off their trigger..

They tried to hit you, you fought back and won, so they deleted.. and in turn, very well could have sold it back to NCO for another token sum..

Now they are coming back at you..

I just went through this exact same scenerio... I haven't been hit with a settlement offer yet, but what you describe happened to me, replace CVF with LVNV..

I am closing right now.. if some collection company hits me with a settlement offer, and I can pay it, I am doing it cause I don't want the new company to report the debt.. I would get it in writing, but yeah.. to me, my home purchase and the money invested in it is worth more than fighting another winless battle with a JDB

-scott

[Familywantsahouse]

NCO is not reporting the debt right now. It's still being reported by CVF Acqusitions/Resurgent.

I think I will DV NCO first, and see what happens. Their "settlement" doesn't have a number attached and their balance due is now well over double the original amount charged off...

[rckstrscott]

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Familywantsahouse wrote:

NCO is not reporting the debt right now. It's still being reported by CVF Acqusitions/Resurgent.

I think I will DV NCO first, and see what happens. Their "settlement" doesn't have a number attached and their balance due is now well over double the original amount charged off...

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The CVF will fall off soon, took about a week after my BBB dispute to fall off..

Good call on the NCO -- If they validate, I would try to settle to avoid this hitting your report again..

-scott