topic Petal Card Visa Reporting in General Credit Topics

Petal Card Visa Reporting

acavaliero — Sun, 02 Feb 2020 23:34:32 GMT

Hi Everyone,

I improved my credit to the point where I was accepted for a Petal Card about a year ago and I have used it and paid faithfully every month.  I'm happy that I will not be participating in the 22% interest anymore, I just paid the card off 100%. I have noticed something in the last year of monitoring my credit but I really never addressed it - Petal Card perpetually reports behind or incorrect on all 3 bureaus. I've seen it 3 months behind in acknowledging a payment I made and the balance shown has been a mystery. I don't know what balance and at what time it's reporting.

Again it's currently at a 0 balance and I would like that 0 balance reported as such as soon as possible on all 3 CRAs (for obvious reasons)

Any guidance would be greatly appreciated. Even a pointing in the right direction, an article, a previous post would be amazing!

Thank you everyone for this space!

Re: Petal Card Visa

silver_idle — Sun, 02 Feb 2020 19:15:34 GMT

@acavaliero wrote:
Hi Everyone,

I improved my credit to the point where I was accepted for a Petal Card about a year ago and I have used it and paid faithfully every month. I'm happy that I will not be participating in the 22% interest anymore, I just paid the card off 100%. I have noticed something in the last year of monitoring my credit but I really never addressed it - Petal Card perpetually reports behind or incorrect on all 3 bureaus. I've seen it 3 months behind in acknowledging a payment I made and the balance shown has been a mystery. I don't know what balance and at what time it's reporting.

Again it's currently at a 0 balance and I would like that 0 balance reported as such as soon as possible on all 3 CRAs (for obvious reasons)

Any guidance would be greatly appreciated. Even a pointing in the right direction, an article, a previous post would be amazing!

Thank you everyone for this space!

They should be reporting a couple of days after the statement closing date, but it can also take up to 30 to 45 days for it to reflect on your CR. It could be due to them being new they are just scheduling it all in bulk at a specific time than to have it be based on the statement closing, though Petal is issued through Webbank, so I would assume it would be a couple of days after statement closing date. It doesnt sounds like it is incorrect information being reported but that they are falling behind on reporting. I dont have petal so I wouldnt know personally but maybe someone who does can chime in. I do suggest giving them a call to get more information on what is going on.

Re: Petal Card Visa

acavaliero — Sun, 02 Feb 2020 19:27:53 GMT

@silver_idle wrote:
@acavaliero wrote:
Hi Everyone,

I improved my credit to the point where I was accepted for a Petal Card about a year ago and I have used it and paid faithfully every month. I'm happy that I will not be participating in the 22% interest anymore, I just paid the card off 100%. I have noticed something in the last year of monitoring my credit but I really never addressed it - Petal Card perpetually reports behind or incorrect on all 3 bureaus. I've seen it 3 months behind in acknowledging a payment I made and the balance shown has been a mystery. I don't know what balance and at what time it's reporting.

Again it's currently at a 0 balance and I would like that 0 balance reported as such as soon as possible on all 3 CRAs (for obvious reasons)

Any guidance would be greatly appreciated. Even a pointing in the right direction, an article, a previous post would be amazing!

Thank you everyone for this space!

They should be reporting a couple of days after the statement closing date, but it can also take up to 30 to 45 days for it to reflect on your CR. It could be due to them being new they are just scheduling it all in bulk at a specific time than to have it be based on the statement closing, though Petal is issued through Webbank, so I would assume it would be a couple of days after statement closing date. It doesnt sounds like it is incorrect information being reported but that they are falling behind on reporting. I dont have petal so I wouldnt know personally but maybe someone who does can chime in. I do suggest giving them a call to get more information on what is going on.

Thank you for your response! I will call them and I see if I can get them to report right away. 30 - 45 days is a long time to wait to go from a balance of 1200 (which is from months ago anyway) to a 0 balance.

Re: Petal Card Visa

Anonymous — Sun, 02 Feb 2020 19:33:49 GMT

I'm new to this process so please take my advice with a grain of salt. I'm sure others will chime in tho!

Have you checked your scores lately? Do you have any derogs on your report? It might be time to widen the portfolio and bring on some more cards, perhaps with better potential for growth. At the very least, you might acquire a card that reports accurately and consistently and let the Petal sit at $0 balance until it reports $0 balance for some time.

Re: Petal Card Visa

Anonymous — Mon, 03 Feb 2020 11:23:21 GMT

Usually you can sign up for Credit Karma and you can look at your accounts there and see what date they report, you look under the balance updated field.

Re: Petal Card Visa

acavaliero — Wed, 05 Feb 2020 19:46:05 GMT

@Anonymous wrote:
Usually you can sign up for Credit Karma and you can look at your accounts there and see what date they report, you look under the balance updated field.

Hey Birdman, thanks for chiming in. I currently use CK and pay for Experian.

I see you in your signature you request of those you support lots of info about their credit history. How do I express my current reality here?

Something like this link?

Thank you BM!

Re: Petal Card Visa

Anonymous — Thu, 06 Feb 2020 01:02:53 GMT

@acavaliero Yeah the information I need depends upon the type of question asked, but the information I ask for allows me to approximate scorecard and evaluate utilization, so I’m able to give the best answers that I can. The only thing really missing on what you posted is the dates the first delinquency (DOFD) on the baddies.

If you’ve got CK and Experian you’re doing great. Experian is typically the first one to update usually. You can go to Experian and pull up the specific account and look for when the balance was updated last and that will tell you what date they reported on. Likewise you can go back and look at your reports from the past on Experian and see whether or not that was consistent or if there are other dates they have been reported on as well.

Likewise you can go to Credit Karma and pull up the account and look for the last update as well. Most lenders consistently report on the same day each month give or take a day.

Some lenders report sporadically and unreliably like synchrony. I don’t have personal experience with the petal, but if they waited three months to report, they may be another lender that’s unreliable for reporting dates.

With that said, after reviewing the information you posted, I want you to know that you can only have one chargeoff status per account. It doesn’t matter how many you see on one account, that’s just an update of the current status. What happens is a lender has the right to update your account each month with the chargeoff status.

Once it’s chargeoff status, it is chargeoff status. Status simply goes by the worst delinquency at least you do not have any collections it appears. But those chargeoffs that are unpaid could be referred to collections which would cause an additional reduction in score.

Some lenders choose to update monthly. It’s unfortunate when they do, because it keeps the charge off current and prevents it from aging which continues to suppress your score.

Once you pay them or settle them, they will update it to paid or settled and then there will be no more updates and the charge off will begin to age and overtime your points will begin to recover.

With that said, they will hurt until they are removed from your report. That’s typically seven years from the DOFD. you can find the removal date or DOFD on your credit report directly from annualcreditreport.com.

The main thing you need to address is the COs. But depending on when the DOFD is, you may choose to proceed in different ways.

You are in a dirty scorecard, so you’re probably gonna have a maximum score that you can reach until you are reassigned to a different scorecard.

The two things I see for you is number one address the COs and in the meanwhile you gotta keep utilization low to try to get to the highest score you can.

Do you have any other specific questions I can help you with? See if you can get the DOFD’s for me. And please confirm you have no collections.

Re: Petal Card Visa

Anonymous — Thu, 06 Feb 2020 01:11:42 GMT

You also need to get some more revolvers so you can start racking up positive payment history. I see you have plenty of AUs, but you need more primary accounts.

An SSL would also benefit you most likely. Do a search for the SSL thread and try to get the longest term you can if and when you can do it.

I wonder if your AU accounts are being considered on version 8? But you definitely need more cards even if you have to go get $300 secured cards. The credit limit doesn’t matter as long as you keep utilization low. By the way how old is the petal account? You didn’t tell me the opening dates.

Re: Petal Card Visa

acavaliero — Sat, 08 Feb 2020 00:39:50 GMT

@Anonymous wrote:
You also need to get some more revolvers so you can start racking up positive payment history. I see you have plenty of AUs, but you need more primary accounts.

An SSL would also benefit you most likely. Do a search for the SSL thread and try to get the longest term you can if and when you can do it.

I wonder if your AU accounts are being considered on version 8? But you definitely need more cards even if you have to go get $300 secured cards. The credit limit doesn’t matter as long as you keep utilization low. By the way how old is the petal account? You didn’t tell me the opening dates.

Hey Birdman,

I'll answer both of your replies here.

Thanks so much for you detailed response.

Could you point me in the direction of the an SSL and / or Revolver that you believe would be good for me? I'll go to SSL thread. Just go apply?

I have had Petal Card since Feb 2019. I signed up for Self Lender also about a year ago, I finished it and amassed 545$ after the year of payments, I could do that again. This is an installment loan. I guess I could apply for some of the high APR cards like Creditone, FingerHut and also Petal has a pretty high APR and my credit is $1500 with them. I have applied for a lot of different cards that I thought I would qualify for because of the leaps of I have made but still denied.

I'm not sure if the AUs are on the FICO Version 8, how can I find out?

As far as collections go, as you probably saw in my last email, I paid off AMEX Delta that was in charge off collections status so they should report "charge off paid as agreed" something like that. Perhaps I could request a better reporting. I believe I qualify for the amex optima card now.

I was able to go to annualcreditreport.com and I started by getting my Transunion report. I was able to see the estimated fall off date there however I left the page open too long and I was not able to save as PDF, it timed out. I emailed ACR and they should respond and give me access. So this what I can remember : the Wells Fargo Baddie comes off in 2021 and Barclays comes off in 2022. Here they are : Barclays and with this Wells Fargo from Experian, you'll see the DOFD and the SOL.

I can also go in and get the other bureuas from ACR and as I previouslly stated I'm paying for experian.com

As far as which to proceed, it looks like I have build build build and wait wait wait for Wells Fargo and Barclays to go off. I understand that they are other possibilities including building my credit to the point where I get a loan however they haven't sued me yet and I'm not sure they can even take a dollar from me. How else could I address those COs?

Dirty scorecard is my current situation the SL lates, the BIG SL, the two baddies and the needing more credit? Fixing this would have my scorecard reassigned?

I'm full aware of your generosity and everyone's here, feel free to answer what you feel compelled to answer and point me in the direction of anything else, links, threads etc.

Thank you Birdman.

Re: Petal Card Visa

Anonymous — Sat, 08 Feb 2020 01:58:07 GMT

If you qualify if you can get in navy that would be the best place to do the SSL. No the self lender’s terms were too short, repeating it kills your average age. You want to do it somewhere that you can have a decent term hopefully at least five years. You’ll have to read the threads on SSL.

Check Discover Citibank and Bank of America for secured cards. If you have a relationship with a credit union, get one there as well. If you don’t start some relationships.

Avoid store cards and predator cards like credit one and Fingerhut and all those.

Yes if it’s not in collections status that should be removed. I’d ask American Express that would be easier than dealing with the bureaus probably.

Yes you’re going to see some pain until they fall off. The reports you get from ACR will give you more data than the one from Experian even though you have a membership.

You can do Goodwill campaigns for charge-offs and usually have to try try try again but sometimes you’ll have some luck otherwise you have to wait them out.

Yes you need to get several revolvers and let them start aging and acquiring positive payment history. And then when those lates finally drop off you will change scorecards and your score will improve dramatically.

I have more to say but I’m on mobile and I’m late to be somewhere so I’m gonna have to chime in again later. I haven’t viewed your links yet but I will. and we’ll talk about the AU accounts.

Meanwhile other members will chime in with some great advice as well I’m sure.

Re: Petal Card Visa

Anonymous — Mon, 10 Feb 2020 01:03:20 GMT

No it looks like Barclays won’t come off until August of 23, you have a second string. Each string falls off separately and has its own DOFD.

Re: Petal Card Visa

Anonymous — Mon, 10 Feb 2020 01:04:47 GMT

Apparently after becoming negative, you made some payments and brought it current. Then you started a second string of delinquencies, so they’ll fall off separately.

Re: Petal Card Visa

acavaliero — Mon, 10 Feb 2020 01:07:22 GMT

@birdman7 Thank you again for your generosity! Answers are below yours.

@Anonymous wrote:

If you qualify if you can get in navy that would be the best place to do the SSL. No the self lender’s terms were too short, repeating it kills your average age. You want to do it somewhere that you can have a decent term hopefully at least five years. You’ll have to read the threads on SSL.

I don't think I qualify for any Navy products, my first cousin, not immediate family was in the Navy, tomorrow I will call and see what happens. As far as the SSL threads can't seem to tell if any thing still exists or if I could qualify. Seems like Alliant was the only one and no longer exists. Going down the SSL rabbit hole I see someone who got a $3000 loan then paid 92% of back right away and then made payments on 8%, what kind of sorcery is this?

Check Discover Citibank and Bank of America for secured cards. If you have a relationship with a credit union, get one there as well. If you don’t start some relationships.
Applied for the Discover Secured Card and I was rejected because of two many inquirires. I could apply for Citi or Bank of America, I will. Also filled out an app for Evergreen Credit Union. I will apply to be a part of others.

Avoid store cards and predator cards like credit one and Fingerhut and all those.
OK

Yes if it’s not in collections status that should be removed. I’d ask American Express that would be easier than dealing with the bureaus probably
ALL RIGHT ! Contact AMEX with goodwill letter? dispute? casual conversation, phone call? But don't go through the EX, EQ or TU?

Yes you’re going to see some pain until they fall off. The reports you get from ACR will give you more data than the one from Experian even though you have a membership. You can do Goodwill campaigns for charge-offs and usually have to try try try again but sometimes you’ll have some luck otherwise you have to wait them out.
I assume you mean here when the SOL on both Baddies is up. I shouldn't GW request anything until then. Is that what you mean? Futhermore help me out with something - don't they "write off" the debt? they sell it? Even if I had the 14000, they couldn't take it, right? Could I find out if they SOLD or WROTE OFF my debt?

Yes you need to get several revolvers and let them start aging and acquiring positive payment history. And then when those lates finally drop off you will change scorecards and your score will improve dramatically.
I see that PetalCard or predators or secured cards or SELF lender are the only ones I can get. Any other revolvers you can think ok?

I have more to say but I’m on mobile and I’m late to be somewhere so I’m gonna have to chime in again later. I haven’t viewed your links yet but I will.
and we’ll talk about the AU accounts.
THANK YOU SO MUCH.

Meanwhile other members will chime in with some great advice as well I’m sure.

I would love that. I hope this thread is visible to all.

Re: Petal Card Visa

Anonymous — Sun, 23 Feb 2020 09:46:11 GMT

OK first let me clarify you will stay in a dirty scorecard until all derogatory‘s are gone. That includes all lates, whether on loans or revolvers and any collections. When the last one falls off, you’ll have a scorecard reassignment. This will typically improve your score drastically.

No a cousin does not qualify for Navy. I don’t know if there is anywhere else that has them available and has them set up where it will work properly. There is a thread the search for SSL or something. It should have the latest data on people searching.

Yes this is exactly how this works. First off if you have student loans, this isn’t going to help you at all and you shouldn’t worry about a loan.

If you have no loans and you get one and you pay it down below 8.9% B/L, you have a fully optimized loan and fico will award you the most points for it. It’s a fico strategy that can earn you 15 to 45 points depending. Keep in mind on a dirty scorecard, you may have a maximum score limit. The big threshold is at 8.9% B/L.

Once you build your credit a little bit you can do it with a personal loan it doesn’t have to be an SSL. One of the credit unions you joined may make it available. But the trick is you have to be able to pay it down without reducing the term. Some lenders allow this some don’t. So the idea is to keep an optimized loan as long as you can without the desire for a lengthy term.

Yes that’s what a charge off is. If it’s in charge off status, they have written it off. However you still owe until the SOL in your state for repayment has run. Actually you still owe it after that, they just have no right to initiate a suit to collect. In other words the SOL makes them SOL, as well.

If you did not pay the debt, they can sell it or refer it to collections and that collection would hurt you even worse and it would stay on your report until the DOFD as well.

There’s a totally separate SOL for how long it can be reported to the credit bureaus and that is seven years from the DOFD.

I was under the impression you had a paid charge off. If you do have a paid charge off you can write a goodwill letter asking and begging them to remove the charge off or delete the entire TL. Sometimes it works, sometimes it doesn’t, sometimes it takes multiple tries, and I mean multiple. If the SOL for reporting had run, there would be no reason for a goodwill letter because it would be off of your report.

If the charge off has not been paid then it’s doubtful they would remove it.

That’s a shame Discover denied you. Once you establish a relationship with your credit union go there and ask for a secured card they should allow you there, much more liberal usually. How many inquiries do you have?

That’s good you’re joining credit unions, it’s good to be a part of three or four, in my opinion.

As long as you can get a MasterCard Visa American Express or Discover and it doesn’t have an annual fee, get it. Like I said avoid store cards, but you may have to eat a predator card meaning high APR and sometimes bucketed, but it would be much better to get a secured card from a credit union or a decent lender.

Re: Petal Card Visa

Anonymous — Mon, 10 Feb 2020 01:32:08 GMT

@acavaliero Oh yeah two more things. Yes the thread is visible to everyone.

And as to your question as to whether or not you had money if they can take it. First they have to sue you and acquire a judgment.

Once they acquire that judgment there are several remedies available. They can attach to a bank account they can attach to personal property that is not excluded, they could place judgment liens on non-homestead property, they could garnish your wages, there are multiple remedies.

Re: Petal Card Visa

Anonymous — Wed, 19 Feb 2020 17:39:51 GMT

I have the same issue with Petal Card. My balance is paid off in full and it still reflects the balance I owed to the credit agencies. I looked to see when Petal last reported and it was Jan 1st. Nothing is reported for Feb. I called Petal to see when this would be reported. They said the updated balances should of been reported on Feb 1st but could take longer??? In the meantime they sent a email saying you haven't used the card in awhile. If this is how they report I will be really apprehensive to use this card. Maybe for small purchases like coffee to just keep the card active.

Re: Petal Card Visa

acavaliero — Wed, 19 Feb 2020 20:51:19 GMT

@Anonymous wrote:
I have the same issue with Petal Card. My balance is paid off in full and it still reflects the balance I owed to the credit agencies. I looked to see when Petal last reported and it was Jan 1st. Nothing is reported for Feb. I called Petal to see when this would be reported. They said the updated balances should of been reported on Feb 1st but could take longer??? In the meantime they sent a email saying you haven't used the card in awhile. If this is how they report I will be really apprehensive to use this card. Maybe for small purchases like coffee to just keep the card active.

Yeah I have noticed the same. If they send emails "you have not used your card in a while' I would tell them exactly why. I haven't gotten one yet but I will say just that. My CR still says a balance of $1,241 when it is actually ZERO. Also If PETAL has helped your credit at all perhaps qualifying / applying for a better reporting one is in your future. I just got the CAP ONE Platinum card with $1500 limit - that's a win for me. I think they report pretty quickly. Best to you!

Re: Petal Card Visa Reporting

Anonymous — Wed, 19 Feb 2020 21:22:49 GMT

It's one thing if they're reporting late, but it's a whole different story if they're falsely reporting balances or anything for that matter. I would take a look at your balances over your last couple statements and make sure those balances are reflecting on your CR's regardless if they update late or not.

Re: Petal Card Visa

acavaliero — Fri, 21 Feb 2020 03:05:31 GMT

Hey Birdman7 and all!

My answers are in blue below.

I was under the impression you had a paid charge off. If you do have a paid charge off you can write a goodwill letter asking and begging them to remove the charge off or delete the entire TL. Sometimes it works, sometimes it doesn’t, sometimes it takes multiple tries, and I mean multiple. If the SOL for reporting had run, there would be no reason for a goodwill letter because it would be off of your report.

Yes I will be doing for this AMEX Delta Charge off I just paid off.

How many inquiries do you have?

Experian says 16

As long as you can get a MasterCard Visa American Express or Discover and it doesn’t have an annual fee, get it. Like I said avoid store cards, but you may have to eat a predator card meaning high APR and sometimes bucketed, but it would be much better to get a secured card from a credit union or a decent lender.

I qualified for Cap One Platinum - $1500!

I paid of AMEX Delta charge off and now I BELIEVE I get to have AMEX Optima card with a credit line. I got a notification about a new AMEX credit line on Transunion. Amex re-reported the TL paid in full but still a charge off as per your direction, I'll be requesting this to be reported differently or removed.

Yes, that’s what a charge off is. If it’s in charge off status, they have written it off. However you still owe until the SOL in your state for repayment has run. Actually you still owe it after that, they just have no right to initiate a suit to collect. In other words the SOL makes them SOL, as well. There’s a totally separate SOL for how long it can be reported to the credit bureaus and that is seven years from the DOFD. First they have to sue you and acquire a judgment. Once they acquire that judgment there are several remedies available. They can attach to a bank account they can attach to personal property that is not excluded, they could place judgment liens on non-homestead property, they could garnish your wages, there are multiple remedies.

If I offer to pay it, they WON’T / CAN’T take it, correct? They are not pursuing me but If I tried to pay it to improve my credit they couldn’t even take it. Especially Barclays because 1: the amount is only $1750 (instead of $14000 with Wells Fargo) and 2: years ago I got 1 letter from a law firm trying to collect for this account and nothing more never again. The law firm never appeared on my credit report.

Barclays based on DOFD - leaves 2023

And again Wells Fargo the $14000 never sent me anything just charged it off based of DOFD - leaves 8/2022.

I’m going to officially gather the rest of the information as per your signature below and get it to you ASAP. Thank you for your generosity and for everyone here.

Re: Petal Card Visa

Anonymous — Sun, 23 Feb 2020 11:10:29 GMT

@acavalieroSorry it has taken me a while to respond but things have been hectic lately I apologize.

Several things I want to address with you. At one point you asked how can you determine whether your AU cards are being counted by version 8. Simple test. Report zero on every AU card. If you get a 10 to 20 point loss, and the points return when you put a balance on an AU card, then it is counting on version 8.

You said the American Express was in “charge off collections status.” However a charge off and a collection are two totally different things.

With a charge off, usually the only thing you can do is pay it and let it age. If you don’t pay it, the creditor can update it monthly, which continues to suppress your scores. Some creditors don’t update it, and then if and when you do pay it, it gets updated, which suppresses your scores, but then as the paid charge off ages, your scores recover to a point. Until they come off of the CR, your scores will not recover completely.

Now, once you have paid a charge off, you can beg the original creditor to remove it or delete the entire tradeline. It is rare, but it is possible.

If the charge off is not paid, the creditor has the option to place it in collections or sell it to collections. This becomes a separate entry on your credit report and causes an additional drop to your scores. When that occurs it’s important to discover whether it was sold or placed in collections. However since you don’t appear to have any collections, I won’t go into the distinguishing factors and approaches.

What I was saying before, was if American Express was improperly listed in collections then you could contact them to have that removed. Since it’s a paid charge off and not a collection, all you can do is try a goodwill campaign. I do not know how responsive American Express is to Goodwill campaigns, maybe someone with experience with that can chime in.

Do you in fact have a collection for American Express as well as the charge off? Yes, if you can go to the Optima route I think that might be nice.

While I’m thinking about it, before you jump on things, come back and talk to us and we may be able to give you some advice. For instance, had you checked with us before you applied for Discover, we would’ve asked you how many inquiries you had on Experian and we could’ve told you they most likely were not going to approve you.

With that many inquiries a lot of lenders are not going to approve you, even for a secured card. Plus, Discover has a prequalification page you could’ve also checked. Maybe you did? You may have to wait a little while to apply, if you have burned that many hard inquiries everywhere. But then again there are a few that are not inquiry sensitive and don’t care, but with charge-offs and all that it makes it a little harder.

How many inquiries do you have at the other bureaus? When I ask how many, I mean in the last 12 months. (Not in the last 24 months which is what many front ends from the various CMSs display.)

In case I wasn’t clear before, before a lender may involuntarily take anything from you they must first sue you and acquire a judgment. Subsequently, they may initiate post-judgment proceedings to try to attach or take or garnish all types of assets. However they can definitely voluntarily except payment from you.

If they attempted to sue you and you offered to pay, I’m sure they would drop the lawsuit. There is no way to know whether or not they’re going to try to sue you and collect. I will say this, the amount for Barclays is so low that I doubt they will because it would cost them more to collect probably. As for WF, that’s enough that they may sue.

What you have to do is check your state’s statue of limitations and see how long they have to sue you for repayment. This is different than the federal statute of limitations for reporting to the credit bureaus. (This is not legal advice.)

Original creditors rarely do a pay for delete. That is typically done in collections. Nevertheless that doesn’t mean you cannot ask Wells Fargo, if you had the money to pay them.

If I already said this forgive me, but I believe Barclays had a second string of lates. So they will be removed in 2023 not 2022 because Second string will not be deleted until seven years from the DOFD of the second string.

Yes that’s good you got the capital one platinum! Did you find out what the new notification about a Amex credit line was on TransUnion?

You asked if you offered to pay it whether they can take it. Yes, as long as they still own the debt, they can. Now, if they SOLD the debt to a debt collector, they will refer you to the debt collector, because they no longer own the debt. However this is not conclusive. Sometimes they will refer you to the debt collector anyway, because they have assigned the debt to the debt collector. So, you definitely need to clarify and find out whether it was sold to the debt collector or assigned to collections, if in fact you have one in collections.

You’re lucky Wells Fargo didn’t assign it to collections or sell it to collections. I’ll tell you what, when you start paying off all your debts, there’s a service at the credit bureaus that will alert collections or charge off’s that you are paying off debts and obviously have money. Some of them wait until then to try to sue you. Don’t think those little alerts are just for us. We pay for them and so do they. Just a little heads up.

Good luck to you I hope this helps.