Rebuilding Your Credit

[Shogun]

Yes, they will do a CO if they can't collect.  That doesn't change the fact that it's a bad debt.  The methods and procedures you are going through are not appropriate.  This is a valid non paid debt that can report to your CR.  You may have gotten something deleted because of a technicality, but you'll see CA after CA pop up on this.

[guiness56]

It also looks to be a fairly new debt so getting sued could be a real possibility.

[schrute]

I asked them about it and they said it is out of their hands now. Gave me a phone number of some 3rd party CA that I have to deal with... so the CO was, at least, unwilling to conclude it with them

[guiness56]

The OC sold the debt to a CA.  The CA now owns the valid debt (CO) and you will need to work with them to pay it.

Once anyone sells a debt to someone else they are not legally able to take money for it.

[DaBears]

You send a DV to the CA, if they can't verify the debt in there records than it can be deleted. For businesses that can't collect on debt that the consumer won't ever pay or just refuses to pay they hire a CA to see if they can collect for them and in the mean time at the end of the yr they have to charge it off as bad debt to the IRS.

[guiness56]

---

DaBears wrote:

You send a DV to the CA, if they can't verify the debt in there records than it can be deleted. For businesses that can't collect on debt that the consumer won't ever pay or just refuses to pay they hire a CA to see if they can collect for them and in the mean time at the end of the yr they have to charge it off as bad debt to the IRS.

---

This is all true.  However, it does not mean the debt is no longer valid.  The only time you would not need to pay is if you received a 1099 for forgiven debt.  Which really isn't forgiven in the long run because you have to add it to your income for the year you receive the 1099.

[schrute]

Debt is several years old, the CA tried to sue but failed due to improper venue. I moved to a different state before this alleged CO occured. So the CA can't sue me, they'll have to sell it to someone in my new state. Already hired an attorney on this.

[schrute]

At the end of the day, Wells still has a CO on my CR. EX and EQ removed it but not TU. I'm not super concerned about the CA right now since that can get removed. Paying the CA won't remove the CO. When I disputed with TU, it came back verified. When I asked for a MOV, however, they failed to provide one in 15 days. It took 31 days.

[DaBears]

I thought this debt was from 2011??? and not several yrs old?

[guiness56]

Only from what I gathered in reading the posts, it is a valid debt.  Which never should have been disputed in the first place.

The fact the the other 2 CRAs removed it has nothing to do with TU still reporting it. If it is a valid debt, from the OC and/or CA it can be reported.

If TU failed to provide you a MOV within the FCRA guidelines, it is a violation of the FCRA.  As long as the OC shows they have a CO against you, the item wouldn't be removed.