Collection Agency buying Collection acct?

[peme6040]

I have an old student loan that is with a collection agency now.  According to TU, it is set to fall off my report as of 6/2015.  Because of that, I have not attempted to pay or make contact with the collection agency.  They placed it in collections 12/2008 and the last time it was updated was 1/11/2010.  Ive slowly been in the process of cleaning my credit and looking at getting a mortgage.  A bank I've been in contact with told me that most likely this collection (my only one) will be bought by another collection agency shortly before it is supposed to fall off my report.  I've never heard of this before.  Has anyone else had this happen to them?  Do you think it's likely to happen to me-they have not made any contact with me since it was last updated in 2010-no phone calls, emails, mail. Nothing.  I'm confused!

[gdale6]

---

@peme6040 wrote:

I have an old student loan that is with a collection agency now.  According to TU, it is set to fall off my report as of 6/2015.  Because of that, I have not attempted to pay or make contact with the collection agency.  They placed it in collections 12/2008 and the last time it was updated was 1/11/2010.  Ive slowly been in the process of cleaning my credit and looking at getting a mortgage.  A bank I've been in contact with told me that most likely this collection (my only one) will be bought by another collection agency shortly before it is supposed to fall off my report.  I've never heard of this before.  Has anyone else had this happen to them?  Do you think it's likely to happen to me-they have not made any contact with me since it was last updated in 2010-no phone calls, emails, mail. Nothing.  I'm confused!

---

CAs & JDBs sell collection accounts between themselves all the time, doing so does not extend the amount of time the derog can remain on your reports, once it runs its CRTP it is forever barred from being reported. If this is a govt backed SL it will have to be paid or settled at some point but I would do nothing until it drops from your CRs since it is not updating monthly right now

[tieton]

Hi peme6040, it is possible that another agency could pick it up or has already picked it up and you just don't know yet. Either way, even if it does change hands the Date of First Delinquency will remain the same, still making it eligible to fall off 6/15. However, you will have to be aware of sneaky "re-aging" tricks that another CA may try to pull. I would print out a copy of your current TU report which shows the fall-off date that you see now and file it away. That way you have a hard copy that shows the tradeline info if and when the time comes when you need to prove the DOFD. If the entry falls-off before you do that, you will have no record of when the debt became delinquent, unless you have some other record of the collection. Is this a Fed loan or a short-term loan through the college? Is this the only report it is on? Monitor your TU report daily through a service if you don't already. Watch for the entry dropping-off and also watch for soft or hard inquiries from new agency names that you don't recognize. If it is your only collection, and you see a new inquiry with a CA name that you have never dealt with before than you can be somewhat certain that a new CA or JDB has gotten a hold of your account and has started the skip-trace process. You can just flat-out call the CA and ask why they are pulling your report. The problem with no communication since 2010 is that you have no idea if it will switch collectors, turn into a lawsuit, or just plain drop-off after the 6/15 date. It could work in your favor, then again it may not depending on how much the amount of the debt is.