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Prompt Recovery Services OUT OF BUSINESS Help

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Anonymous
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Prompt Recovery Services OUT OF BUSINESS Help

I have 3 paid collections with prompt recovery services and a fourth one from 2012 just found on my credit report unpaid for $302.00. I tried all the phone numbers and fax numbers none worked. Called the hospital which was the place bill sent into collections and they said it went out of business last year. I was trying to call them to pay in full for a delete but they are no longer in business. The hospital billing said I can contact their attorney and gave me his name and number but I am afraid i may be opening a can of worms.   I asked the hospital if they could recall it if i paid in full and remove the other 3 paid ones and they said they do not do anything with the credit bureau. I asked if they had another collection agency that took over for them they said they always had 2 so files were split between the two of them and I asked if the other one would receive my file to try to collect and she said we do not know. I did not give them my name or anything because I was worried but I do not want to have to wait untll 2019 for last medical collection to fall off. The other 3 paid ones will fall off end of 2016, 2017, AND 2018.  These are the only bad things on my credit reports what should i do? 

Message 1 of 9
8 REPLIES 8
Anonymous
Not applicable

Re: Prompt Recovery Services OUT OF BUSINESS Help

I defer to other more experienced members of the forums, but my gut instinct would be to do one of two things:

 

1) If you want to pay the $302, send a letter to the hospital asking them to recall and do a PFD

2) If you do not intend to pay, while I don't have any personal experience going this route, I have heard of success in disputing the account with the CRAs, truthfully stating you've been unable to get ahold of the company to validate the debt; if the CRAs are unable to contact the company, I've heard of them (sometimes) deleting the TL entirely. 

 

YMMV, but I am definitely not an expert on any of this!

Message 2 of 9
Anonymous
Not applicable

Re: Prompt Recovery Services OUT OF BUSINESS Help

the hospital said they have nothing to do with credit bureaus and cannot do anything they cannot even take payment for the account cause it was sent to collections

Message 3 of 9
silver_idle
Established Contributor

Re: Prompt Recovery Services OUT OF BUSINESS Help


@Anonymous wrote:

I have 3 paid collections with prompt recovery services and a fourth one from 2012 just found on my credit report unpaid for $302.00. I tried all the phone numbers and fax numbers none worked. Called the hospital which was the place bill sent into collections and they said it went out of business last year. I was trying to call them to pay in full for a delete but they are no longer in business. The hospital billing said I can contact their attorney and gave me his name and number but I am afraid i may be opening a can of worms.   I asked the hospital if they could recall it if i paid in full and remove the other 3 paid ones and they said they do not do anything with the credit bureau. I asked if they had another collection agency that took over for them they said they always had 2 so files were split between the two of them and I asked if the other one would receive my file to try to collect and she said we do not know. I did not give them my name or anything because I was worried but I do not want to have to wait untll 2019 for last medical collection to fall off. The other 3 paid ones will fall off end of 2016, 2017, AND 2018.  These are the only bad things on my credit reports what should i do? 


Should this be in the personal credit section? 

Message 4 of 9
Anonymous
Not applicable

Re: Prompt Recovery Services OUT OF BUSINESS Help


@dariusc93 wrote:

@Anonymous wrote:

I have 3 paid collections with prompt recovery services and a fourth one from 2012 just found on my credit report unpaid for $302.00. I tried all the phone numbers and fax numbers none worked. Called the hospital which was the place bill sent into collections and they said it went out of business last year. I was trying to call them to pay in full for a delete but they are no longer in business. The hospital billing said I can contact their attorney and gave me his name and number but I am afraid i may be opening a can of worms.   I asked the hospital if they could recall it if i paid in full and remove the other 3 paid ones and they said they do not do anything with the credit bureau. I asked if they had another collection agency that took over for them they said they always had 2 so files were split between the two of them and I asked if the other one would receive my file to try to collect and she said we do not know. I did not give them my name or anything because I was worried but I do not want to have to wait untll 2019 for last medical collection to fall off. The other 3 paid ones will fall off end of 2016, 2017, AND 2018.  These are the only bad things on my credit reports what should i do? 


Should this be in the personal credit section? 


No, this falls under credit rebuilding.

Message 5 of 9
Anonymous
Not applicable

Re: Prompt Recovery Services OUT OF BUSINESS Help

I would dispute c
Message 6 of 9
RobertEG
Legendary Contributor

Re: Prompt Recovery Services OUT OF BUSINESS Help

CRA policy, as clearly stated in their standard credit reporting manual, is that a collection should be deleted by the debt collector once their collection authoriyt has been terminated without payment of the debt.  If they are out of business, ther collection authority is no longer in effect.

 

Deletion of the collectin is mandated per CRA reporting policy.  However, the obvious problem you have is that the debt collector is not going to report deletion, as they are no longer in business.

 

I would recommend getting a statement from the creditor that the debt collctor is no longer in business, and that their colleciton authority is no longer in force.

Then send a copy of that letter to the CRA as evidence of termiantion of their collection authority, and thus basis for deletion of the collection from your credit file.

Message 7 of 9
Anonymous
Not applicable

Re: Prompt Recovery Services OUT OF BUSINESS Help

Alternatively, one can also simply dispute (online) the entry with a comment of "Collector does not have collection authority for this debt".  I've used that comment to dispute double reports. Seems applicable here as well.

Message 8 of 9
Anonymous
Not applicable

Re: Prompt Recovery Services OUT OF BUSINESS Help

thanks will try i am just waiting because i got a discover and amex and afraid a open dispute might hurt me with them. I wanta try for 3x cli at 61 days and do not want a drop in score. Does opening a dispute usually drop ones credit score? 

Message 9 of 9
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