Reporting

[Kimberly68]

Ok my husband has an unpaid loan from 2010 last payment was Dec 2010 and now they have sold to collection company and now both are reporting. What should be the correct report to rid this we are relocating to Texas in 3 months and want to buy a home. Scores keep fluctuating back and forth.

[RobertEG]

It is proper and common for both to report.

Creditors report the payment history on their account.  Sale of the debt requires that they update the balance to $0, but the account and its history is not deleted.

A debt collector can report their collection activity, either as an assignee of a creditor or as the owner of the debt.

You can make a pay for deletion offer to the debt collector to attempt deletion of the reported collection.

Howver, any deletion is totally voluntary, and is often denied based on credit reporting policy of the CRAs, which instructs them not to delete based on payment of the debt.

[Kimberly68]

Both companies have the same amount on the report. Since we are passed the SOL we want to rid this and have spoken with the OC and they state they didn't know it was in collections. Don't want to go round the world

[RobertEG]

Both can report a balance if the debt collector only has assigned collection authority.

Either the debt colelctor does not own the debt, or the OC has not yet updated the balance to $0.

If you are sure that they have sold the debt, you can dispute the reporting of a balance and get it corrected, but that would not be basis for requring deletion of their reproting.

Did the debt collector send you a dunning notice?

If so, who did they state is the owner of the debt?

[RonM21]

Those 2 questions above are kind of key in figuring out where you stand. I'm not an expert, but once you respond, I'm sure RobertEG can tell you where you are at in this situation.