Reply
Frequent Contributor
MrChairman
Posts: 461
Registered: ‎02-07-2010
0

Debt Pulled back from CA

My wife has an outstanding college tuition bill. We plan to pay it off this month. It is at a CA right now. I believe the college has told her they could pull it back from the CA. My question is, once it's pulled back from the CA and paid can they still report it as a CO since the OC was paid? And if they can't how would we go about removing it from her reports?


Starting Score:TransUnion: 698 (12 FEB 2010), Equifax: 674 (12 FEB 2010)
Current Score (Lender Pulled):TransUnion: 695 (26 JUN 2013), Equifax: 636 (26 JUN 2013), Experian: 670 (26 JUN 2013)
Goal Score:All scores 700+ by Dec 2013!!

Take the FICO Fitness Challenge
Moderator
guiness56
Posts: 22,406
Registered: ‎01-17-2008
0

Re: Debt Pulled back from CA

Once the OC pulls the account from the CA, the CA can no longer report any thing about the debt.  They no longer are actively collecting.

 

The OC can report it as a paid CO anytime until the 7.5 year CRTP.

Frequent Contributor
MrChairman
Posts: 461
Registered: ‎02-07-2010
0

Re: Debt Pulled back from CA

So the CA has to delete? Also, why would the OC report the debt to the CRA if it's PIF?


Starting Score:TransUnion: 698 (12 FEB 2010), Equifax: 674 (12 FEB 2010)
Current Score (Lender Pulled):TransUnion: 695 (26 JUN 2013), Equifax: 636 (26 JUN 2013), Experian: 670 (26 JUN 2013)
Goal Score:All scores 700+ by Dec 2013!!

Take the FICO Fitness Challenge
Mega Contributor
RobertEG
Posts: 18,139
Registered: ‎03-19-2007
0

Re: Debt Pulled back from CA

[ Edited ]

No.

"Pulling back from the debt collector" simply means they terminate their collection authority.

Once that occurs, the debt collector is not precluded from further reporting.  In fact, they are required to additionally report that the amount now under their collection is $0, and close their collection.  It does not compel them to delete their reporting of the collection.

 

There is no such thing as an OC "pulling back" reporting made by a debt collector, even if they are/were their assignee.

Frequent Contributor
MrChairman
Posts: 461
Registered: ‎02-07-2010
0

Re: Debt Pulled back from CA

So it sounds like paying the CA would be a better bet than paying the OC. The result would still be the same which is a CO on the CR's. At least with the CA you can GW. If you pay the OC your taking business away from the CA and they have no reason to honor a GW from someone that cost them money.


Starting Score:TransUnion: 698 (12 FEB 2010), Equifax: 674 (12 FEB 2010)
Current Score (Lender Pulled):TransUnion: 695 (26 JUN 2013), Equifax: 636 (26 JUN 2013), Experian: 670 (26 JUN 2013)
Goal Score:All scores 700+ by Dec 2013!!

Take the FICO Fitness Challenge
Moderator
guiness56
Posts: 22,406
Registered: ‎01-17-2008
0

Re: Debt Pulled back from CA

Moderator
Shogun
Posts: 12,952
Registered: ‎04-15-2011
0

Re: Debt Pulled back from CA

What RobertEG saying is true, but guiness is also correct.  All the CA has to do is to terminate collections, however they are a client of the OC and often follows the OC's request so that they remain a client.


Starting Score: 504

July 2013 score: EQ FICO 819, TU08 778, EX "806 lender pull 07/26/2013
Goal Score: All Scores 760+, Newest goal 800+

Take the myFICO Fitness Challenge

Current scores after adding $81K in CLs and 2 new cars since July 2013
EQ:809 TU 777 EX 790 Now it's just garden time!

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+
}