Established Contributor
Posts: 511
Registered: ‎06-21-2013
Re: Any advice before C&D letters?

RobertEG wrote:

The presumption is that sale of the debt requires them to delete their prior reporting of having had collection authority on the debt.


Nothing in statute or regulation requires deletion of their piror reporting based on termination of their collection on the debt.

They are required to close their collection, and report a current balance of $0 under collection.


One can notify a debt collector under FDCPA 805(c) to cease communication with the consumer, but cannot notify them to cease their legitimate business of any other authorized activities related to collection on the debt, such as credit reporting or inquiries for the consumer's credit report.

If a cease communication bar is imposed, then they will also be precluded from any negotiations on payment of the debt if you should decide to make a PFD offer.

Agreed.  Correct me if I'm wrong here. once they sell the debt, they can no longer have a right to collect.  Isn't having the negative TL on a CR an attempt to collect?  They may not remove, but a dispute with the CRA at that point should take care it. The previous CA will not legally be able to verify the debt.

I don't know my start scores, but low 500s. 6/2013

EQ FAKO - 638
EX FICO - 665
TU FICO - 697