SOL

[boonelb]

What does the CRA's go by the first deliquency date or date of major deliquency?  I need to know this for SOL purposes before I start offering PFD.

[RobertEG]

Date of first major delinquency is immaterial.  That is an informational item that has no effect on the FCRA exclusion date, and usually also no effect on SOL.

Credit report exclusion, presuming you are talking about a collection or charge-off, is based on one, single, date-certain.... the date of first delinquency on the OC account.

FCRA 605(c).

SOL relates to your defense in court should they bring legal action.  It runs parallel to any credit report exclusion date, and is unrelated except for a possible commonality in the date from which they both might run.

Most state SOLs have a begin date that amounts to the same date as the DOFD on the OC account... the first date that they could have brought legal action for delinquency.

However, some states provide for reset of the SOL based on certain conditions, such as later payments or firm offers to pay.

Keep them separate in your mind as to their impact.

[boonelb]

Thank you.  I was surprised after an app spree this weekend that my credit scores are alot higher, even to the point of possible mortgage except for the collection accounts.  myfico shows my tu as 650 and my eq as 642.  experian fake is 660  eq fako  587 and TU fako at 595.  unfortunately I know that bestbuy said my eq was 602 so I am not sure of the difference in myfico and BB.

[pizzadude]

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@Anonymous wrote:

Date of first major delinquency is immaterial.  That is an informational item that has no effect on the FCRA exclusion date, and usually also no effect on SOL.

Credit report exclusion, presuming you are talking about a collection or charge-off, is based on one, single, date-certain.... the date of first delinquency on the OC account.

FCRA 605(c).

SOL relates to your defense in court should they bring legal action.  It runs parallel to any credit report exclusion date, and is unrelated except for a possible commonality in the date from which they both might run.

Most state SOLs have a begin date that amounts to the same date as the DOFD on the OC account... the first date that they could have brought legal action for delinquency.

However, some states provide for reset of the SOL based on certain conditions, such as later payments or firm offers to pay.

Keep them separate in your mind as to their impact.

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+1.

To play it conservatively, the very latest that the SOL clock will start is at the point that the account is charged off.    But be aware that many CAs bring legal action even on out of statute debt, so it is up to you as the person being sued to raise SOL as your defense.

[boonelb]

 have a few months left of sol.  I moved from TX to TN 4 to 6 years.  Not sure if TN honors TX sol since it had passed before I moved.  When the SOL runs out I am offering settlement PFD.  I would love to pay them off but I dont have enough money to.  Everything will be falling off by early 2014.