Collection impact on score as it ages

[R_W_]

Would the OC be considered Hospital or the Collection Agency?-- again, I have no idea if this will be resolved with the insurance company in my favor or in full, so I am looking for any options.  I am today sitting with 739, 736 and 736...my understanding from the mortgage companies is that the best rates are for people with 740+...so close.

[RobertEG]

Their phone reps obviously are not aware.  Surprise, surprise!

The consent agreement was reached with the CRAs, not with individual debt collectors.

The agreement was by the CRAs to delete.

Their phone reps are not aware of the agreement.

If it does become paid by insurance, then send a formal request for deletion.

It will then be handled by those who do the deed, not those who answer the phone.

[Anonymous]

How would I send a formal request? Just wrote them a letter? i just don't want this to turn into another dispute. I tried last year a couple times after the insurance re emberssed me but they just came back a verified, which is correct on the CA's part. This isn't between the CA on I but the CRAs and I. If I'm understanding it right.

[Anonymous]

If the debt was paid then the collector no longer has authority, correct? Did you try and request validation?

[RobertEG]

Requesting debt validation on a paid debt is futile.

First, the DV would no longer be timely, and could thus be ignored.

Second, even if timely, it would impose no period for or requirement to respond.... it would only impose a cease collection bar untilt they chose to respond.

With collection activity already termihated based on payment of the debt, the debt collector has no concern over any impostion of a cease collection bar.

Third, it is contradictory to contest the validity or amount of a debt that was voluntarily paid, and thus no longer exists.

[Anonymous]

As Robert said the debt is valid. It's just getting the CRA Abide by the agreement. The CA isn't in the loop anymore. Now to the the CRA to do that is my issue. I don't know how to do a formal request or for that matter what it is.

[R_W_]

I thought I would close the loop on this.  For whatever reason, this collection came off my reports this month on Equifax and Experian and raised my score 80-90 points so now they are 850 and 835!  It was just past 2 years old, not sure if that is why it came off (West Asset Management--maybe this is their policy on small paid collections?), but it is still on TransUnion as of right now and keeping that score at 755.  So other than this one thing it seems I had a perfect (850) score.  In answer to my own question a closed paid medical collection will still effect your score almost 80-90 points even after 2 years, just thought I would let everyone know as we all try to figure out this crazy FICO score puzzle.  

This impact my not be the same for everyone.  I know that we say the better your score, the more points these things hurt, maybe someone with a 690 score wouldn't see this much difference, but it was a VERY pleasant surprise for me and good information to have

By the way, I was perfect on the FICO 9 even before this since they don't consider medical collections, but so far no mortgage lenders use FICO 9.