BRB I hear you on this again.
Last week I finally bit the bullet and paid all collections off. It's been like pulling teeth to get confimation through to people. Been on the phne with the local hospital 4 a total of about 4 hours. Nice gals, took three payments but said it could take as much as 2 weeks for the payments to post to the CA then they have 45 days to post as "paid".
Now there are 2 more collections of $28 each, being reported directly by the hospital, NO ONE can find info on them. I've spent 2 hours on the phone over just these two collections. They say they can't verify anything with regard to the charges for me, or my kids. However THEY are the ones listed as posting the collections on my EQ report. At what da*n point woud they just say "remove" it? Look at the money spent on this! Good grief.
Now the one that knocked my score down last month and put me out of the running for the refi? Well they, Stern and Associates of Greensboro NC were the rudest people I have ever dealt with. I did't pay them, paid the OC which is the same hospital with the $28 charges. When they update I get an email from myFICO saying that a "NEW COLLECTION HAS BEEN ADDED TO MY ACCOUNT"!!!!!!!!!!!!!!!!!!!!!!!!!!!! What? instead of it saying that the collection had been updated to paid, it listed as a "NEW COLLECTON". IN contrast, a collection I paid last month came in an alert just like this one but simply said "A COLLECTION ON YOUR ACCOUNT HAS BEEN UPDATED". This is how is should be. But no, it says this one has been added! I didn't need another, let alone the same freakin' one ADDED!!!! JEEEEEEZ
So I've paid close to $1000 in old collections,some of which where coming off within the next year, but I went and paid them from the "moral" standpoint. What did it get me? Nothing! I talked at length with RJM Acquisitions who graciously agreed to delete the collection then followed up with a letter stating that per our agreement that they would request a deletion from my reports. Now THAT"S how it should be.
I don't buy this argument that a collection should remain for 7 years. That's BS., Once someone has been paid, then it's a FALSE ENTRY, I don't owe them anything therefore it should be removed.
Based on what I read from WHYCHAT"S info, if you pay the OC then the CA can't report something that you don't owe. At that point, the OC and CA are violationg the HIPAA laws in particularly with regard to medical collections. I DONT' OWE THE CA AT THAT POINT. THEREFORE THEY SHOULDN'T BE ABLE TO REPORT. So I am starting the HIPAA process outlinve by WHYCHAT in order to "scare" these places into removal.
Per the manager at RJM, "What is in it for us to continue to report a collection?" "We received our payment, what are we gaining by continuing to report?" "The debt has been paid." It's only right to remove it, regardless of what the law SAYS we can do, we should remove it." It is only serving to punish the debtor further when at that point they are no longer a debtor." "Debt is paid." "Other CA's should adopt this attitude and if they did, they would see their revenue's rise."
So hopefully when RJM's entry goes away, my score will see a jump.
Now back to these two meager $28 collections as the hospital. You got to be kidding me that I have to write a letter to them in order to start a "process". I've already spent 4 hours on the phone with them. Look at how much they have spent in wages for the staff to investigate this!!!
I'm with you BRB. WIsh I hadn't paid the things. Hasn't done one thing for my score. I don't care so much about what a lender can read or see, I can easily explain, thoughtfully and maturely as to why something might be on my report. I can't however explain to them why my score takes a 57 point hit over an unpaid medical, then doesn't get a boost after I pay it only 6 weeks later.
Fact is, the score matters if you want to get a loan. You can explain things away all day long, but at the end of the day, the score is the primary factor in determining whether or not you get the loan.
So if you're not going to be given at least a FRACTION of what was lost back, then why pay it? it's clear that ignoring it, it goes away after a very long unfair time, just focus ahead as you said. My baddies are far outweighed by my goodies. That should mean far more.
In this electronic and digital age, it's ridiculous that once something is paid that it isn't reflected on your credit reports with in 24 hours, MAX. It should be law that once it is paid, the OC or CA MUST notify bureaus within 24 hours.
it takes only moments for them to adversely affect your credit for 7 years, but an untold amount of effort to correct something. it's an unfair, unethical practice to say the least.
Oh here's one more then I'll go. I get an "ALERT" from myFICO. My score went down, but below it in the paragragh that come there with the alert it says, "This increase in your score came on a day when..." ARE YOU KIDDING ME? THE ALERT WAS TO TELL ME THAT MY SCORE DROPPED!!!! BUT BELOW YOU SAY "THIS INCREASE?????????????????????? They don't even know what their own system is doing. I can an aler to tell me my score dropped and the explanation starts with, "this increase"?
It's a joke. And it' on the consumer. The consumer just as well be the whipping post and the bureaus and lenders the whips.
It's simple, the punishment does fit the crime. When I pay something, then I don't owe. Therefore it shouldn't be reported. Fine, report it till I pay it. But then once I met my obligation, REMOVE it. That's only fair. If not then what is the real advantage of paying? throw out the moral bit about you should pay your bills. I got that. We all mis step.
I HAVE PAID AND PAID. WITH NOTHING IN RETURN. I'VE SEEN CRIMINALS HAVE BETTER LUCK.
