What are my options for this dispute?

[sge760]

For serving in the Army I received the Montgomery GI Bill, so while I was going to school I elected to use my benefits and receive pay for educational assistance.  I was awarded money every month while I was attending full-time..

During the Summer that I was transferring from community college to my university, I received an overpayment that I was unaware of.  Once I continued my education, 3 1/2 months later, my assistance kicked back in and I was awarded money, with an automatic deduction in the amount of my overpayment from the previous semester.  

Fast forward 4 years in to the future, (this year), I check my credit report and see a collection in the amount of $0 from the Office of Veteran Affairs. 

My issue is that I never received any type of notification, was never made aware of the situation, and took no action to pay the debt because it was automatically deducted...but I have a big fat negative on my credit report. 

Is there anything I can do to dispute this?  i've disputed with the CRA's and it comes back as legitimate.  I've called, written emails, and faxed letters to the Office of Veteran Affairs, but they won't budge.

[RobertEG]

Clarification, please....

How did OVA report a collection?  They appear to be the OC.

Additionally, if something is reporting to your credit file as a collection, then the purpose of dunning notice requirement under FDCPA 809(a) is to make the consumer aware of that fact in a timely manner, disclosing the debt collector, the creditor, the amount of the debt, and how to invoke your DV rights.

Since they are apparently the creditor,and are now reporting $0, that would imply their reporting of delinquency in the debt, and its sale to another, who would be the debt collector.

What specifically is reporting, and by who?

[sge760]

The Office of Veteran Affaiirs is the reporting and original creditor.  I was paid my educational benefits by them, and they deducted the overpayment I  received from the following payment they made to me.  That is the reason why I'm confused that I received a negative item on my report.  There is no balance owed, and when I speak to a represenative they tell me the debt has been paid in full, but I was never made aware of any issue.