PORTFOLIO RECOVERY - PAID COLLECTION QUESTION

[Anonymous]

Hello All,

My question is regarding obtaining additional information regarding a collection on my credit report. I have disputed with the CRA's, and have contact the Obudsman, but all I seem to get is some automated message regarding this account. I do not recognize as it as my own, and certainly don't remember paying these people - yet when disputed, they seem to be verifying the debt.

I have the right to request documentation on this account right? I'm hoping I don't need to be a lawyer to get this information, but I am interested in seeing the paperwork that they have that lead to this on my credit report. So my ultimate question is, should I go about this request in a certain way? Do I send a Certified letter requesting documentation, do I just simply call? I'd prefer the former for my own records, but will a collection agency typically honor this type of request on a presumably paid debt?

I am in the process of applying for a pretty modest home loan of about $75K, but this showing up on my credit report is really bringing me down. Any advice would be greatly appreciated.

[RobertEG]

The debt validation process under the FDCPA is not a legal process that requires the debt collector to document and prove the validity of the debt.

It is a process that requires them to investigate and obtain verification, and pass that determnation on to the consumer.

It is best understood by the fact that there are no judges under either the dispute process under the FCRA or the debt validatin process under the FDCPA.

Proof requires a legal process that first provides for obtaining all relevant evidence from both sides, and then a party authorized to review the evidence and law, and make a binding determination.  Neither the dispute nor the DV process has any such provisions,  They are processes designed to be quick, and thus rely on the conduct of a reasonable investigation and a reasonable determination based on that investigation.  To evaluate the adequacy of their investigation and thus of their determinatin is reserved for the full legal process afforded by the courts.

That being said, the FCRA was amended to provide the consumer access to documenttion if they pursue the identity theft provisions of sections 605B and 609(e).

The identity theft process, in a nutshell, provides that if the consumer is willing to put their assertion that an account and/or transactions were not authorized by them into a sworn statement before a law enfocement agency, that is sufficient to both block the information from their credit report, and if sent to the creditor, to require them ot proivde all relevant business records in their possession.

Thus, you can compel the creditor to provide you all documenttion related to the account and its use without going to court if you first obtain a polce report, and send it to them. FCRA 609(e(.

[Anonymous]

Interesting!

So in layman's terms, they won't fork over any documentation unless I use some form of official coercing? That seems like a bit much. I am just seeking documentation of a debt that they claimed as mine. Seems like overkill to have to resort to a police report. Any other way?

[gdale6]

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@Anonymous wrote:

Interesting!

So in layman's terms, they won't fork over any documentation unless I use some form of official coercing? That seems like a bit much. I am just seeking documentation of a debt that they claimed as mine. Seems like overkill to have to resort to a police report. Any other way?

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You can try sending them a DV with demand for account records (they dont have to supply them) you can also assert it isnt your debt but if they do validate it there are few other avenues of remedy available, you could try file complaint with the CFPB or FTC and your states AG if it comes back validated.

[RobertEG]

Your account agreement with the OC along with their regular billing statements, are usually considered adequate notification to consumers of current obligations.

Original accounts are not subject to separate federal verification/validation under provisions such as those of the FDCPA.

Your account records generally provide adequate documentation.  If you did not retain them, you can always make informal request to the creditor.

You could also check out your state consumer laws for any provisions that permit compelling them to provide account documentation beyond their normal billing procedures.

[Anonymous]

If you are certain its not you - and it happens a lot, people with similar/same names get 'crossed up' - you should go the route of FCRA ID Theft Provision exclusion. You do not have to involve portfolio at all since this is a paid item. Just do the police report, with the sworn affidavit that you never authorized the account in question, forward to all three CRA's with the instructions to exclude that item from your reports under the ID Theft provision of FCRA. Note that you do not have to prove that any ID Theft actually occurred - only SWEAR under oath that you did not authorize the account in question.