Closed accounts not yet in collections

[buttercup415]

Hi. 

I know that DV is for accounts with collections and GW is for paid off/up accounts, but what about accounts that have been CLOSED but now with Collection Agencies??

Synchrony even sent me a letter that required me to sign from the postman.

Right now it's mainly SYNCHRONY, COMENITY and HSN.  These accounts are CLOSED due to job loss/injury last year.

Luckily I was able to salvage about 10 other accounts but there has been MAJOR DAMAGE done to my credit score with the above issues. 

What is the best approach if no collection agency is involved yet?  I really need to improve my credit score asap (I realize it won't happen overnight but I need to start working on it now). I have to move this year and I will not get approved for an apt with a score like this.

THANKS!

[RobertEG]

There is no requirement either that you first receive a dunning notice or that the collection be reported to a CRA before you can send a DV request.

Once you are aware that a debt collector has collection authority, you can send a DV.

Any DV sent prior to dunning notice will automatically be timely and invoke a cease collection bar, which case law in most jurisditions holds to also preclude reporting to a CRA until they have first provided the requested validation of the debt.

However, reliance on a timely DV as a means to prevent reporting is tenuous, as they can immediately send validation and report.

If prevention of reporting of a collection is your primary goal and you know they have referred to a debt collector, I would FIRST call and make a pay for not reporting offer to the debt collector..

If they accept, you then have a binding contract that prevents reporting.

If you first send a timely DV, the cease collection bar legally extends to any negotiations, including negotiation of a pay for not reporting offer, so I would call before sending a DV.

If the creditor has not yet referred for collection, pay before they do so.

[buttercup415]

Thank you Robert for your reply.

Actually my primary goal is PFD.  My credit is being ruined with all the late payments that have now turned into closed accounts.

A little confusing. I am now receiving some “Collection Letters” for my Synchrony accounts. It says EGS Collections but it was mailed from SYNCHRONY and signed Sincerely, Synchrony Bank.  So, I'm not sure if it's ok to send DV to the address on the letter (it says Synchrony).

I am on limited income and recovering from disability and job loss (hence why I’m in this mess). I can’t afford to pay accounts that will still hurt me at this time.  I need to prioritize the ones that will benefit my credit score the most right now.

[RobertEG]

A party that uses a name that might imply they are not the original  creditor is considered to be a debt collector under the definition provided in the FDCPA, even if they are a part of the original creditor.

All debt collectors are subject to the FDCPA, so yes, you can send them a DV.