So I pulled my credit report yesterday and I have 8 collections (5 of which are medical), 1 should fall off this coming march, the other 2 Ipaid to delete. Now Im confused cause I have 3 accounts that are repoting bad debt and a $0 balance on them. They're not in collections, but WILL they be sent to collectons? They have not reported since January 2012. What should I do? Pay them off?
If they are reporting a $0 balance, then there's nothing to pay. Who's posting to your CR?
Reporting of a $0 debt balance by a creditor does not mean there is no longer a debt to pay.
It usually means that they no longer own the debt, and thus there is no debt owed to them. If they sell a debt, they are required to timely update its reporting so as to maintain its accuracy. However, the debt itself is still out there until paid.
There are often times when your CR will not show the amount of an unpaid debt. The party who purchased the debt can report at any time.
The amount reported by the debt collector will thus reflect both the amount they are authorized to collect and the amount of debt owed to them.
I agree with you totally on that one Robert. I was referencing that the creditor posting $0 no longer has the debt. I should have continued on with the rest of the post. Thank you!