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Member
tenbee
Posts: 10
Registered: ‎05-28-2010
0

Fight A Collector's Reporting Date

I had a credit card that became deliquent in 2005. The accound was sold to a collection agency and they reported the card's first date as deliquency as some time in 2009. I don't believe this legal - what can I do to force the collenction agency to accurately report the correct date?

 

Should I get an attorney considering it is a private attorney that now owns the account?

 

Thanks!

Mega Contributor
RobertEG
Posts: 18,206
Registered: ‎03-19-2007
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Re: Fight A Collector's Reporting Date

[ Edited ]

If you are sure that the debt collector has improperly reported an incorrect DOFD to the CRA, that is a serious violation of the FCRA.

 

Any person who reports any information pertaining to an account/debt referred for collection must comply with FCRA 623(a)(5), which is the statute that ensures proper reporting of a DOFD.  The debt collector was required, within 90 days of reporting any information to a CRA, to provide the CRA with the DOFD on the OC account.

 

With some sympathy for debt collectors,this can be a bit of a chore.  They are not the OC, and dont have OC account records to independently determine what occured on the OC account.  Section 623(a)(5), in recognition of this dilemma, sets forth a three step process that they must comply with.

 

First, they must determine if the OC has previously reported a DOFD on their account to the CRA.  If so, section 623(a)(5)(a)(B)(i) is explicit.  The debt collector MUST report the same date as that previously reported by the OC.  If the OC previsouly reported a DOFD, any reporting of a later DOFD by the debt collector is easy to establish as illegal simply by reference to what the OC reported.

 

If, after checking to see if there is a DOFD previsously reported by the creditor and finding none, they are then required under FCRA 623(A)(5)(b)(II) to follow "reasonable procedures to obtain the date of delinquency from the creditor."   They must attempt to get the info from its source, and if they get a DOFD from the credtior, they are required to report that date.

 

The murk begins if the debt collector has taken reasonable procedures to get the DOFD from the creditor, but was unsuccessful.  The catch-all provison of section 623(a)(5)(B)(iii) then kicks in.  Since under a statutory requirement to report a DOFD within 90 days, they can then report their best "guesstimate" of DOFD, but in NO circumstances can they report a DOFD that is later than the date they received collection referral.

 

You can get all information from the CRA regarding what the debt collector reported in compliance with section 623(a)(5) by sending them a request for the information under FCRA 609(a)(1) and (2).  You must pay the CRA a processing fee of $11.00 for such requests, but that is how you get the real facts related to any improper reporting of DOFD by a debt collector.  Once you have their actual reporting information, you can compare their compliance with the DOFD reporting provisions of section 623(a)(5).

Until you have evidence, you dont have actual proof of illegal re-aging.

Moderator
pizzadude
Posts: 9,674
Registered: ‎01-28-2010
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Re: Fight A Collector's Reporting Date


tenbee wrote:

I had a credit card that became deliquent in 2005. The accound was sold to a collection agency and they reported the card's first date as deliquency as some time in 2009. I don't believe this legal - what can I do to force the collenction agency to accurately report the correct date?

 

Should I get an attorney considering it is a private attorney that now owns the account?

 

Thanks!


What is the SOL for this debt ?   Assuming that your estimated date of ~2005 or even 2006 is correct then there is a very good chance that it is out of SOL unless you live in one of those states where it is something like 9 or 10 years.

 

Also, if your DOFD is accurate then the debt will be approaching the end of CRTP as well.

 

What is the approximate amount that they are claiming that you owe ?   I might not do anything if I were you, unless they attempted to sue you, in which case you could invoke SOL.

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX
Member
tenbee
Posts: 10
Registered: ‎05-28-2010
0

Re: Fight A Collector's Reporting Date

[ Edited ]

-Thanks for your info Robert! That confirmed my suscpisions.

 

-Pizzadude: The SOL is 6 years. My concern isn't so much about being sued as it is about an accurate credit report. I was going over my report with a credit counselor at my credit union and was surprised to learn that there's a deliquency from 2009. I have not been deliquent on any debts since 2005 when I was in college. So because the age of the account is so [falsely] recent my FICO score is being affected.

 

I'll contact the CRAs as Robert suggested just to start my own investigation, then I'll contact an attorney because this is B.S..

Moderator
pizzadude
Posts: 9,674
Registered: ‎01-28-2010
0

Re: Fight A Collector's Reporting Date

[ Edited ]

 

Yeah, if the DOFD has been altered then as Robert explained it is a violation, and you could very likely take action to at least get it removed from your CRs and also possibly collect damages.

 

Good luck ~ let us know how it turns out !

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX

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