Collections Reported on my Credit Report. Score drops by 108

[Anonymous]

Ok. I just checked my FICO score and credit report and I notice that my score dropped by 108 points. On further notice I see that I have a collection report. Details tell me that its from my pevious rental/apartment. When I moved out before buying my house,I had a final bill of $71.  I had sent a check to them and assumed that all was good until this week. Looks like the check never reached them or got encashed. It says that the file was sent to CA in 10/2007. It got reported in 09/2008.

I never heard anything from the rental office or CA. I just see it show up on my report. What are my choices? I dont mind paying in full but would like to get this removed. Do I contact the Rental office to have them remove it or the CA?

This is my first such issue as otherwise my Credit report is very clean. Any help is appreciated

[llecs]

Ouch! I would contact the apt. and have a candid talk to see who owns it and  to see if they can recall it from the CA. Then, I would also DV the CA.

[Anonymous]

ok so u suggest that I talk with the apt complex and try to sort things out and ask them to remove it from CA? If they do not co-operate then DV the CA.

Will try doing it and post an update.

Update:

oh btw, the CA is Fair Collections and Outsourcing  about which there is another thread and it seems like they are hard to deal with and do not agree to PFD or anything...

The question is that.. I never recd any letter... now I dont know if they ever attempted to contact me between 03/2007 and 09/2008 because I dont remember seeing any letter. This brings up 2 questions

1) If they never sent any letter and still have not sent any letter regarding this but it show on my credit report, does it mean that they have violated any rights? 

2) Lets say they did say tried to contact me although I dont know about it, Are they required to send me a letter again when they report it on my credit report? It showed up in Sep 2008 and I have not yet recd. any letter.

can they claim they sent it to my old apt address?

If this is a violation, what do I need to do to get this removed? Is this straight forward? Do I need to do it within a certain time frame? it was reported in 09/2008 and I want to make sure I do it right.

Finally, if I call the CA to get details about this account, will this go against me and jeopardize regarding dv or anything? I do not plan to accept my fault or anything but more trying to understand what happened etc. Do they record conversations? can they use my call against me...?

Message Edited by dealaddict on 10-10-2008 12:12 AM

Message Edited by dealaddict on 10-10-2008 12:23 AM

[Anonymous]

Getting this kind of pain for $70 is just unbearable.

anyway, try your best to contact the Original Creditor and try get it resolved there.

If they don't cooperate, beg them, cry, before you contact the CA.

For $70 they will make you scream before PFD - no incentive. and your score suffers out of proportion.

However, if the CA reported and has not sent you a notice within 5 days from reporting, yes, it is a violation.

but it does not make it any easier on you. You have one more tool in the arsenal, but you are still going to sweat it out.

If the debt exists and is valid, getting it removed requires a good amount of work and luck.

If and once everything else fails with the OC, then you can tackle the CA two ways, the easy way, by PFD letter, or the hard way, starting with an ITS to the CA for violation of the 5dd FDCPA rule - statutory fine payable to consumer, $2,500.

Then take it from there - either way you proceed, you might get lucky and they could accept PFD (unlikely according to posts in this forum) or they could settle the removal of collection to avoid suit. Or you might have to go to court and argue your case. No easy win.

In summary, talk to the apartment complex. It's totally worth the effort.

[Anonymous]

ok thanks so talking to apartment complex would be the first step and hope they would then remove it. Will try that first... tried reaching them on phone and they are always hard to get or respond even when i was a resident..... got to go in person I guess.... do I need to be careful or anything I talk to the OC? like i said.. I sent the check but looks like they either did not get it or something different happened...

Message Edited by dealaddict on 10-10-2008 12:59 AM

[Anonymous]

Hello,

I know its been a while since could get to talk to OC. So I finally was able to meet with OC and they said that the account has been sent to CA and and that even if she wanted to help she can not as the system would not let her pay up. Apparently they have some understanding with FCO and there was not much she could do. I tried to beg and make her understand and she was more than willing to help but said there is nothing in her power that she thinks she can do as the system will not allow and as per their policies she is not supposed to do much.

After I told and spoke with her she said that I could write her a check but all she will do is send it to CA. So I said ok and I wrote her a check. now the question is does this help at all? I doub it does.. All she is going to do is send the check to CA. She gave a paper that says copy and mentions that she had recd the check today.

At this point what are my other options? The low credit score will hurt me in getting a refinance or approval for new loan and I wish I had paid more attention....

Any help is appreciated...

[RobertEG]

There are apparently multiple violations of the FCRA and FDCPA.  Under section 623(a)(7) of the FCRA, any creditor is required to send you formal written notice within 30 days of posting to your CR. If a CA, they are also required under FCRA 623(a)(5) to post the DOFD with the CRA, and also required to send you a formal dunning letter under FDCPA 609 within 5 days of initial communication with you, which includes posting to your CR.  It appaears that they have violated your rights.  They cannot make silent posts to your CR.

I woulod file a dispute directly with the CA under FCRA 623(a)(8).  Forget the CRA.

Message Edited by RobertEG on 12-17-2008 08:11 PM

[Anonymous]

dealaddict,

i'm not sure what "some understanding with FCO" could mean - an account is either assigned or sold to a CA. Assigned means owned by the OC and the OC can do whatever they want with it.

Sold mean that they have nothing to do with it any longer and it's up to you and the CA.

I would send an ITS letter today to the OC and one to the OC for all the violations mentioned by robert and any other that you can find.

good luck!

[Anonymous]

Ok, So should I ask the OC not to send the check? Based on what she said it looks like she did not have the account anymore. She was just going to send the check I wrote in her name. If she sends the check does it do negative impact?

Based on what Robert says I guess CA is in violation? They reported on Sep 2008 but got no correspondance from them until about 10 days back I got a letter.

How can I go about filing for violation? What happens if they somehow manage to prove that they did send communication? Although I did not get any until now, I am wondering what happens if they send a letter but the mail say gets lost etc? Is it then my word against theirs?

Thanks

[Anonymous]

my quick assessment of the situation is this: you pay and you stick with a collection on your report for another 6 years for such a petty amount.

for such a petty amount these people caused you an incredible amount of damage.

I would get back at them with vengeance with a small claim lawsuit - it's your word, the check number you used to originally pay this amount, your reputation, against them..

I would send the OC an ITS letter CMRRR for violation of FCRA and defamation of character - requesting immediate payment of $1,000 to you and immediate deletion of this tradeline.

I would send the CA an ITS letter CMRRR for violation of the FDCPA and defamation of character - requesting immediate payment of $1,000 and immediate removal of the tradeline.

Give them 1 week from receipt to respond. Then file suit in your small claims court and serve it to them.

One of them can countersue you for $70. It still works to your advantage. they have to come to court to defend themselves risking having to pay $1,000 to cash $70.

99% of the cases they settle out of court.

good luck!!!