Quick question?!

[izzesparks]

I have seen a few post on here stating collection agencies have been reporting as factoring companies instead of a collection agency and were allowed to dispute. On my report Portfolio Associates is reporting as 'Debt Buyer'.

Is this ok? Is it valid? I am trying to find a valid reason to dispute the account because they have denied all my request for a GW after I paid account off. They are notorious for refusing GW's and PFD's. So this was my next plan of action to try to dispute them. But I can't be sure if they are reporting and of the dates correctly because I can't remember any of the dates of the original account and my paperwork is in storage in another state. I didn't want to dispute just to dispute and possibly get in trouble.

Thanks!!

[Anonymous]

On the myFico forums, we only advocate disputing invalid items.

A good way to find the date of first delinquency and the date it is expected to roll off your CRs is to get a copy of your reports from the annual free credit reports.

It has a lot of info that doesnt show on other types of reports.

hth

[rockbttm442]

If you plan to dispute any inaccuracies I wouldn't suggest going to the annual credit report route. If you do the CRAs will have 45 days to investigate. Instead call the CRA and order your paper reports. That way if you dispute they will have 30 days to complete their investigation. 

[gdale6]

They are a debt buyer so that would not be a disputable item. When they report as a factoring company they say so and that would warrant a complaint to the CFPB. As already stated we only advocate that one dispute inaccuarate items that are reporting. To advocate the disputing of valid reporting credit info would be a violation of our TOS.

[izzesparks]

Thanks everyone! Yeah I whole-heartedly agree with only disputing valid items. That's why I mentioned in my post I wanted to find a valid reason to dispute and wanted to double check my reasoning on here before disputing. I would NEVER dispute something just for the heck of it or do it knowing that the items were correct. But it looks like I may be stuck sending GW letters for the next two years to wear them down and hopefully get it removed.

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@gdale6 wrote:

They are a debt buyer so that would not be a disputable item. When they report as a factoring company they say so and that would warrant a complaint to the CFPB. As already stated we only advocate that one dispute inaccuarate items that are reporting. To advocate the disputing of valid reporting credit info would be a violation of our TOS.

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[damnedanddetermined]

gdale,,,,a "factoring company" is not valid reporting to CR?

[izzesparks]

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@damnedanddetermined wrote:

gdale,,,,a "factoring company" is not valid reporting to CR?

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Nope! Not if they are a collection agency! I found that out a little while ago, there are a few post on here about it and the OP was able to get the item deleted each time. I also read I belive on the CFPB webpage.

[RobertEG]

If you file a dispute over accuracy of information reported to your credit file, the dispute applies ohly to that information.

While, in my opinion, reporting as a factoring company is not per se improper, I wont elaborate, as it is not really significant to the issue of what the original post is trying to attempt, which is deletion of the collection.

Assuming, argumendo, that the CRA did find that reporting as a factor is inaccurate, the information could simply be corrected or deleted, as the case may be.

The accuracy of the fact that they had legitimate collection authority would not be at issue, and deletion of the collection itself would not be an outcome.

Disputes that find inaccurate reporting of any information by a furnisher do not mandate deletion of other accurate reporting or of their entire account/collection.

The purpose of the FCRA dispute processes is to get correction or deletion of inaccurate reporting, not to penalize by requiring deletion of other, undisputed information.

File a dispute if you contest the accuracy of their reporting, but dont expect deletion of the reported collection as the outcome.

[gdale6]

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@damnedanddetermined wrote:

gdale,,,,a "factoring company" is not valid reporting to CR?

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A CA or JDB reporting as such is not proper reporting and it can be disputed. A CA or JDB are debt collectors not "factors". Factoring companies buy corporate receivables that are good not defaulted COed debt that a JDB deals is. Reporting as a factoring company is typically a way for a JDB to skirt laws that say they cant report a monthly payment history like an OC can and that is typically why they report as a factoring company.. Its a misrepresentation of who they are.

[RobertEG]

While it is clear that the normal practice of factoring usually pertains to a creditor selling their receivale assets in good standing, t is not universally accepted that purchase of debt that is delinquent is not also considered factoring.

It still enables a creditor with an account receivable to obtain immediate cash for the asset.

Personally, I would not advise simply contesting the fact that a debt collector also engages in debt buying or factoring.

What I would contest is the assertion by sone debt collectors that after obtaining a debt as a debt collector, they also have an installment loan with that consumer, and report such an account and/or delinquencies since they obtained the debt.