Pinnacle Reporting a 5 YO cell bill as Open factoring Co. that is 120 days past due.

[RobertEG]

The statute is based on the facts of the specifc account and the debt, not upon the stated field of business of the owner of the debt, or how the CRA generally typifies a business in their reporting manual.

A factor who purchases debt in good-standing is not a debt collector.

Yes, there are situations where some report as a factor, and then purport, based on that fact, that the consumer now has an installment loan with them..

Clearly improper, as the consumer's obligation is based on their original agreement with the OC.  The purchaser does not "create" an installment loan with the consumer,even if a factor, based on their purchase of the debt/account.

[DaBears]

I myself is confused now lol. I had a an account with GEGRB/CareCredit that was 120 days late. It Charged Off as bad debt. Portfolio Recovery owns the account now and reports as a Factoring Company. The bought it when it was already deliquent. 

[RobertEG]

Then they are a debt collector, and are covered under all the provisions of the FDCPA.

Their reporting is thus that of a collection.

[guiness56]

None of these CAs have ever purchased a debt in good standing.  The are debt collectors/JDB but they are not true factoring companies. 

For the sake of the reporting guide if you look up factoring company you get debt buyer and vice versa.

I agree they can list themselves as that but it does not make them a true factoring company in any sense.

[DaBears]

Makes sense now. Thank you.

[guiness56]

This is directly from the reporting resource guide:

Third Party Collection Agency/
Debt Purchaser/Factoring Company
Reporting
GENERAL REPORTING GUIDELINES
A Third Party Collection Agency is a company or individual who specializes in collecting
outstanding debts for other businesses or individuals. A Debt Purchaser/Factoring
Company is a company or individual who purchases accounts with the intent of collecting
debts owed.

[Sxott]

This is an old Verizon bill. Im sure pinnacle did not buy the debt in good standing. I dont care what they call themselves. I care about this being grouped in accounts and showing as 120 days instead of sitting in collections looking 5 years old it should.

[Anonymous]

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@DaBears wrote:

I myself is confused now lol. I had a an account with GEGRB/CareCredit that was 120 days late. It Charged Off as bad debt. Portfolio Recovery owns the account now and reports as a Factoring Company. The bought it when it was already deliquent. 

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I have an open CareCredit account - knowing it could be sent to PRA if I ever default is more than enough reason for me to definitely keep it in good standing - those guys are painful to deal with! LOL  Just wanted to interject ... ok ... sorry ... back to the OP's question ...

[sybo40]

Looked at mine and JUST noticed the same thing.  Mine are reporting DOFD MONTHS AFTER they are stating the account was OPENED.  I'm DVing them all anyway and asking for proof of documentation.  I have been trying to let it sleep, but it doesn't seem to be doing any good.  Besides, I don't remember (and can't tell) where these accounts came from.  If they are factoring, I need to know who the OC is/was.  Did anyone give you a solution? If you provided a DV that addresses this issue, would you willing to PM me?

[new_earth]

what is the final verdict on this? can these CA's report as factoring companies? I have two that do this on a certain report. For some reason those two report as factoring and not collections, and one other just as a collection.