The debt collector had permissible purpose under FCRA 604 to obtain a credit report, provided they had legitimate collection authority, which appears to be the case.
No real basis for getting it removed.
A DV will be timely, and thus invoke a temp cease collection bar since they have never provided dunning notice.
However, the cease collection bar is a bit fragile, as they can send verification at any time, and resume collection activities.
At that point, they can report their collection.
The primary issue, in my opinion, is whether you wish to continue to challenge the debt itself, or to avoid further damage.
If pursuit of the legitimacy of the debt is the path, then a DV is the first step.
Reporting of a collection is likely, as verification seems pro-forma on their part, with the OC clearly affirming the legitimacy of the debt.
As such, a pending DV may in fact act to your disadvantage in avoiding credit reporting, as you cannot negotiate any terms, such as not reporting, with the debt collector until they have provided the requested verification. It puts the ball entirely in their court, as you are in a state of limbo until they choose to verify.
