Paid collection account still showing as collection in CR

[Anonymous]

I had a $195 collection account from Midland Funding, the original creditor was Verizon.  I paid the whole amount last year and as of now on the CR, it is still categorized as collection account, even though the comments show " Paid collection"

What should I do? Is this normal?

Thanks

[RobertEG]

Once a debt collector reports a collection, it becomes an adverse item that remains until excluded after 7 years plus 180 days from the DOFD on the OC account.

It provides others with information on your payment history.

The debt collector is required to close the collection and update the balance remaining under their collection to $0.

You can send the debt collector a request for their good-will deletion if you wish it removed earlier.

[Anonymous]

Are you saying that the collection agency failed to update the account status from Collection to something else?  Is this against the rules/laws?

I have sent a direct dispute letter to them and in the mean time filed BBB complaint.  What are my other options?

Thanks

[Anonymous]

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@Anonymous wrote:

I had a $195 collection account from Midland Funding, the original creditor was Verizon.  I paid the whole amount last year and as of now on the CR, it is still categorized as collection account, even though the comments show " Paid collection"

What should I do? Is this normal?

Thanks

---

Its normal. All you can do is ask for goodwill deletion.

[Anonymous]

It sounds to me like it was handled correctly.  Collection Agencies will report to credit bureaus.  If the account is settled, it will go from an unpaid collection to paid.  It will still remain on your credit report unless you can get them to remove it via a goodwill letter. Reporting it to BBB and disputing it when they haven't done anything wrong won't get you any where.  Many of us have had this happen at some point or another.

[Anonymous]

Sounds like it was done correctly- just because a collection is paid doesn't stop it from being a collection, just updated to a 'paid collection'. You can definitely try for a goodwill letter to try and get the entire thing removed, though that often becomes harder if you've already paid it and didn't try to barter a payment in exchange for a deletion of the collection.

Unfortunately a BBB complaint isn't likely to do anything, so long as the collection has been updated to 'paid' status. Good luck!

[gdale6]

Here is the GW Letter thread:

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/GW-letter-Q-amp-A-Examples-and-GW-Success-Sto...