cancel
Showing results for 
Search instead for 
Did you mean: 

Debt Validation question

tag
Anonymous
Not applicable

Debt Validation question

Hi Everybody.   So I just had a new collection appear on my report and I'm furious.   I've never utilized DV before as I've usually been able to pay before reporting.  I'm curious how successful DV is in getting CA's to go away and stop reporting?

Message 1 of 5
4 REPLIES 4
Anonymous
Not applicable

Re: Debt Validation question


@Anonymous wrote:

Hi Everybody.   So I just had a new collection appear on my report and I'm furious.   I've never utilized DV before as I've usually been able to pay before reporting.  I'm curious how successful DV is in getting CA's to go away and stop reporting?


Hi tomking! Smiley Happy

 

Alone, debt validation only makes the CA "go away and stop reporting" if a) the debt is not yours, or b) the CA can't furnish the minimum legal standards for "proof". The DV process is basically your opportunity to dispute all or parts of the debt, and your chance to force the CA to put their cards on the table. It also begins a paper trail should you need to sue the CA for violations down the road (that's why you CMRR). It's generally recommended that you DV when a) You know that the debt is not yours, b) you're beyond the statue of limitations, or c) you can PIF should they validate and then further respond with a summons if you're within the statute of limitations.

 

Otherwise, DVing is just the first step in (hopefully) making a CA stop reporting & go away. Anything ranging from nothing to legal actions (on either or both sides) with the possibility of PFDs, goodwill, and disputes may follow, depending on the very specific circumstances of the alleged debt & reporting.

Message 2 of 5
LIGHTNIN
Senior Contributor

Re: Debt Validation question

Also sending a DV letter will not stop the CA from selling the debt to another CA, then the new CA starts bothering you.

 

Everyones situations is different, so find out what works best for you.

FICO's May 2015 EQ764 ~~Live below your means and always keep an emergency fund -Love Everybody ~ Big Kenny ~ Big and Rich ~~~~~Credit Scoring 101 - Common Abbreviations - Freq Req Threads - Free Credit Reports - What Steps Do I Take?DV? PFD?
Message 3 of 5
MarineVietVet
Moderator Emeritus

Re: Debt Validation question

There is one long time poster who seems to think that a DV letter is toothless but I agree that it's a good place to start. It will force the CA to either validate or leave you alone. They are under no time restriction (except in Texas; 30 days) to answer the DV but until they do all collections efforts must cease.

 

 

 

From a BK years ago to:

9/09 EX pulled by lender 802
3/10 EQ- 800
4/10 TU -772

You can do the same thing with hard work

Credit Scoring 101
Common Abbreviations
Frequently Requested Threads
Credit Problems Which Is Worse?
Whats In Your FICO Score

Message 4 of 5
RobertEG
Legendary Contributor

Re: Debt Validation question

LOL!  I am that "long time poster!"  And I agree with you, marinevet!

I dont think that DV is "toothless," and I dont discourage DVs. By all means, DV!

Yes, they are a good way to get creditors off your back, and yes they can build a legal record of avoidance of verification.  I just dont think that a DV letter should, alone, be considered as requiring verification. 

 

But it does not requrie a debt collector to "put their cards on the table."  Far from that.  Just caution to know what a DV is, and what it is not.

What the legal effect of a DV letter under FDCPA 809(b) is, is that it requires a debt collector to cease any further, active colllection activity until such time as they choose to "verify."  The statute does not define what "verification" is, so it is a procedural quagmire.  They may choose simply to never respond, leaving them the option of bringing legal action at any moment, or just passing it off to another debt collector, setting the whole DV process into recycle.  If they respond by telling you who the OC is, what the amount of the debt is, and state that they are an authorized debt collector, or new owner of the debt, is that sufficient "verification?"   They then re-institute collection activities, under their assertion that they have complied with FDCPA 809(b), and you assert that they have not.  Then a whole lot of new DV compliance issues trail in the wake. You could be in limbo forever.

 

if you want to compel verfication of the debt under a prescirbed time-limit, then you should additionally file a dispute of the CA reporting, under the provisions of FCRA 611(a)(1).  This is a true dispute, filed with the CRA, that requries their investigation and report of results back to you within 30-days of your dispute.

 

Message 5 of 5
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.