Reporting sold debt

[Anonymous]

Hey guys,

A certain debt I owe was recently sold to a new creditor, and I received a letter saying that if I pay within 35 days, they will not submit a negative credit report.  If I pay the debt in the specified time frame and the new creditor declines to report, does the previous owner of the debt have to delete the tradeline from my report?

Helpful information would be much appreciated!

[RobertEG]

No.

The original creditor was required to have promptly updated the current debt balance to $0 upon sale of the debt.

However, their reporting of account history is not required to be deleted.

Retaining past account histories for access by others is the primary intent of the credit reporting system, and passage of a debt to another party does not negate teh value of past history on the debt.

[Anonymous]

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@Anonymous wrote:

Hey guys,

A certain debt I owe was recently sold to a new creditor, and I received a letter saying that if I pay within 35 days, they will not submit a negative credit report.  If I pay the debt in the specified time frame and the new creditor declines to report, does the previous owner of the debt have to delete the tradeline from my report?

Helpful information would be much appreciated!

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Well, actually it depends on whether the previous owner was the Original Creditor, or another collector. If it was another collector, then yes, they should delete. The OC is not required to delete.

[Anonymous]

OC turned over to collections agency quickly without reporting.  

[Anonymous]

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@Anonymous wrote:

OC turned over to collections agency quickly without reporting.  

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OK, but that doesn't make it clear as to whether there is an intervening CA between the one mentioned in your original post and the OC. So the OC is not reporting anything - is there ANOTHER collector reporting?

[Shogun]

If a CA is reporting and they sell the debt to another CA, then the first CA "should" delete their post.  That is the way it is suggested, however there is nothing that demands that they remove it.  It just says should.