topic Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 120 days in Rebuilding Your Credit

HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 120 days late!!!!

FicoGuy2019 — Sat, 27 Nov 2010 20:07:59 GMT

This is a card I was going to send a DV/PFD to until I looked a lot closer at my report and noticed something that did not look right....MyFico shows the account as OPEN!?!?!?

Details below:

EQ: This is the info from the Tribute CC I had:

TRIBUTE
Hide Details

XXXXXXXXXXXXXXXX

08/2007

$894

01/2009

$894

CHARGE-OFF

$300

TRIBUTE/FBOFD

PO Box 105555
Atlanta, GA-303485555

Account Number:	XXXXXXXXXXXXXXXX	Current Status:	CHARGE-OFF
Account Owner:	Individual Account.	High Credit:
Type of Account :	Revolving	Credit Limit:	$300
Term Duration:		Terms Frequency:	Monthly (due every month)
Date Opened:	08/2007	Balance:	$894
Date Reported:	01/2009	Amount Past Due:	$894
Date of Last Payment:	05/2008	Actual Payment Amount:
Scheduled Payment Amount:	$14	Date of Last Activity:	N/A
Date Major Delinquency First Reported:	01/2009	Months Reviewed:	17
Creditor Classification:		Activity Description:	Closed
Charge Off Amount:	$894	Deferred Payment Start Date:
Balloon Payment Amount:		Balloon Payment Date:
Date Closed:		Type of Loan:	Credit Card
Date of First Delinquency:	05/2008
Comments:	Charged off account, Account closed by credit grantor

Now this is what Midland is reporting: The account was closed and now they are reporting it as OPEN and it shows as a factor in my utilization and as 120 days late as a current status and they are updating it monthly ?!!?!?!? What the heck? Is this legal?????? In the "Type of Loan" section it says "Factoring Company Account"??

MIDLAND CREDIT MANAGEMENT

8875 Aero Dr Ste 200
San Diego, CA-921232255

Account Number:	XXXXXXXXXX	Current Status:	COLLECTION ACCOUNT
Account Owner:	Individual Account.	High Credit:	$895
Type of Account :	Open	Credit Limit:
Term Duration:		Terms Frequency:
Date Opened:	09/2009	Balance:	$985
Date Reported:	10/2010	Amount Past Due:	$985
Date of Last Payment:		Actual Payment Amount:
Scheduled Payment Amount:		Date of Last Activity:	N/A
Date Major Delinquency First Reported:	11/2009	Months Reviewed:	11
Creditor Classification:		Activity Description:	N/A
Charge Off Amount:		Deferred Payment Start Date:
Balloon Payment Amount:		Balloon Payment Date:
Date Closed:		Type of Loan:	Factoring Company Account (debt buyer)
Date of First Delinquency:	06/2008
Comments:	Collection account

Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 120 days

FicoGuy2019 — Sat, 27 Nov 2010 20:09:47 GMT

Part 2: This is what MyFico and EX report.

MyFICO:

Credit AccountMidland

Status as of [?] Date opened [?] Date of last activity [?] Date closed [?] Account number [?] Loan type [?] Largest past balance [?] Terms [?] Account Type [?] Account holder [?] Scheduled payment amount [?]

Oct, 2010

Sep, 2009

Jun, 2008

Not Reported

$895

Not Reported

Open Account

Individual

Descriptions [?]

Collection account

No contact information provided by Equifax

Balance [?] Current Status [?] Past Due Amount [?]

$985

120+ days past due

$985

Seven year payment history [?]

30 days late 60 days late 90+ days late

0 times

Worst Delinquency [?]

None Reported

The Worst Delinquency reports the worst missed payment status that has been documented on this account. Your FICO® score evaluates how recently that missed payment occurred and in general, the more recent, the more impact it has on your score. However, the fact that it occurred is still predictive of future payment risk and could be considered by your FICO® score.

EX:

MIDLAND CREDIT MANAGEMENT

Address:

8875 AERO DR

SAN DIEGO, CA 92123

(888) 403-6206

Account Number:

XXXXXX

Original Creditor:

TRIBUTE MASTERCARD

Address Identification Number:

Status: Collection account. $985 past due as of Oct 2010.

Status Details: This account is scheduled to continue on record

until Mar 2015.

Date Opened:

09/2009

Reported Since:

09/2009

Date of Status:

09/2009

Last Reported:

10/2010

Type:

Installment

Terms:

1 Months

Monthly Payment:

Responsibility:

Individual

Credit Limit/Original Amount:

$895

High Balance:

Recent Balance:

$985 as of 10/2010

Recent Payment:

Account History:

Collection as of Apr 2010 to Oct 2010, Feb 2010, Sep 2009

Balance History:

09/2010 $985

08/2010 $983

07/2010 $979

06/2010 $974

05/2010 $970

04/2010 $966

02/2010 $961

09/2009 $953

The original amount of this account was $895

Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 1

FicoGuy2019 — Sat, 27 Nov 2010 22:18:36 GMT

Is MCM even licensed to collect in Maryland?

I just found this....

http://www.valentinelegal.com/consumerlawblog/2010/02/05/midland-funding-cease-desist-in-maryland/

Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 1

LIGHTNIN — Sun, 28 Nov 2010 06:20:12 GMT

IMO, a factoring company account is a CA,it's just another phrase for a JDB.

If you look next to where it says Factoring Co account is says (debt buyer).

FICO see it as a collection, so its scored as a CA.

When an OC sells a debt to a CA, the OC must report a $0 balance.

On your CR, the OC is reporting a balance, so I'm wondering if the OC still owns the debt.

IMO, I would contact the OC and see if they will accept payment and ask if they can pull back the CA.

Remember when dealing with a debt that is within SOL, make sure you have the money to PIF.

It's after 1am here, and my brain may not be working correctly, so let other chime in

Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 120 days

RobertEG — Sun, 28 Nov 2010 07:00:14 GMT

Here is what i see.

OC account with Tribute opened in 8/2007

Date of first default on the OC account, in 5/2008 or 6/2008.

Closing of the OC account in 1/2009 by way or their reporting of a charge-off.

Then assignment or sale to a debt collectore, who then reported a CA to your CR in 9/2009.

It appears to only have been an assigment of debt collection to Midland, since the OC is still reporting a debt owed to them. But that really hasn little relevance to the accuracy of their credit reporting.

So what you apparently have to now deal with in your CR is at least one 120-day reported late by the OC, the posting of a charge-off by the OC, and then the reporting of a CA by the debt collector. Whether the debt collector was authorized, under Maryland state civil code, to report to a CRA their collection activity, based on civil code pertaining to their licensing, is a state matter, not an FCRA matter.

You never have an "open" account with a debt colletor. CA accounts are strictly between the debt collector and the CRA. They are credit reporting accounts, and not accounts with you. When the OC did a charge-off, that, by definition, closed their account with you. So I see no open accounts between and the OC or debt collector.

So I see a first date of default on the OC account of 5/2008 or 6/2008, that will remain until after 5/2015 or 6/2015.

I also see a reported 120-day late at sometime in late 2008, which wll remain until sometime in late 2015.

I also see a CO, that will remain for 7 1/2 years from the DOFD on the OC account, which would be around 11/2015 or 12/2015

Then, the collection. As with the CO, it would remain until after 7 1/2 years from the DOFD, or until approx. 11/2015 or 12/2015.

Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 120 days

FicoGuy2019 — Sun, 28 Nov 2010 13:31:01 GMT

Well, I called Tribute yesterday...even though it was Saturday and the csr said I have to wait until Monday to speak with an "Account Specialist" which makes me believe they still own the account...

Would I be better off trying to pay the 894.00 with the OC and doing a pfd or should I ask to bring account current and take off all lates etc and shows pays as agreed?

If the account was in sold to mcm I would assume the csr would have told me to contact mcm directly.

Question 1: If I take this up directly with Tribute will MCM automatically have to remove it from my 3 CR's or will Tribute need to tell them or can I fax them something that shows it's been paid to the OC and they will have to remove it?

Question 2: So it is allowed by the CA to make this account show as 120 day late which shows it as an open revolving account in one of my CR's?

Question 3: If something says it's scheduled to fall off in 2011 or 2012 am I correct that it has been almost 7 years and it's outside of the MD 3 year SOL? These are on my TU only and it shows "date placed for collection" as 2005 and 2006 for these accounts and it's not a DOFD. 1 is Comcast 573.00 and 1 is Medical 213.00. This would make PFD easier since they can not come after me in court to get the money correct? I could wait and let them fall off but I want to get a house in the spring...

Thanks guys!

Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 120 days

Anonymous — Sun, 28 Nov 2010 17:58:20 GMT

@DB28 wrote:
Well, I called Tribute yesterday...even though it was Saturday and the csr said I have to wait until Monday to speak with an "Account Specialist" which makes me believe they still own the account...

Would I be better off trying to pay the 894.00 with the OC and doing a pfd or should I ask to bring account current and take off all lates etc and shows pays as agreed?

If the account was in sold to mcm I would assume the csr would have told me to contact mcm directly.

Question 1: If I take this up directly with Tribute will MCM automatically have to remove it from my 3 CR's or will Tribute need to tell them or can I fax them something that shows it's been paid to the OC and they will have to remove it? Paying the OC does not mean the CA has to remove its accurate reporting. If the OC owns the debt and you PIF they can request (ask) the CA to remove the reporting. It is not something the CA has to do if it is accurate reporting, it would be a good will on their part to remove the accurate reporting.

Question 2: So it is allowed by the CA to make this account show as 120 day late which shows it as an open revolving account in one of my CR's? Collection account is a major derogatory, even if the account is paid with a 0 balance. The status being open or closed others have reported it does have an affect on their scores, but IME I did not notice any change in scores until the collection was removed from reports.

Question 3: If something says it's scheduled to fall off in 2011 or 2012 am I correct that it has been almost 7 years and it's outside of the MD 3 year SOL? These are on my TU only and it shows "date placed for collection" as 2005 and 2006 for these accounts and it's not a DOFD. 1 is Comcast 573.00 and 1 is Medical 213.00. This would make PFD easier since they can not come after me in court to get the money correct? I could wait and let them fall off but I want to get a house in the spring... Never assume what your DOFD is and when SOL expires, if you are wrong you face possible litigation of being sued. Offering a PFD after SOL has expired does give you better odds on them accepting a PFD, but is not a sure thing. To obtain a mortgage you will more then likely have to pay the debt either in full or by settlement if they haven't fallen off your reports yet.

Thanks guys!

Re: HELP!! MCM reporting as "Factoring Company Account" and shows CO as Open and 120 days

FicoGuy2019 — Sun, 28 Nov 2010 21:21:10 GMT

@Anonymous wrote:

@DB28 wrote:
Well, I called Tribute yesterday...even though it was Saturday and the csr said I have to wait until Monday to speak with an "Account Specialist" which makes me believe they still own the account...

Would I be better off trying to pay the 894.00 with the OC and doing a pfd or should I ask to bring account current and take off all lates etc and shows pays as agreed?

If the account was in sold to mcm I would assume the csr would have told me to contact mcm directly.

Question 1: If I take this up directly with Tribute will MCM automatically have to remove it from my 3 CR's or will Tribute need to tell them or can I fax them something that shows it's been paid to the OC and they will have to remove it? Paying the OC does not mean the CA has to remove its accurate reporting. If the OC owns the debt and you PIF they can request (ask) the CA to remove the reporting. It is not something the CA has to do if it is accurate reporting, it would be a good will on their part to remove the accurate reporting.

Question 2: So it is allowed by the CA to make this account show as 120 day late which shows it as an open revolving account in one of my CR's? Collection account is a major derogatory, even if the account is paid with a 0 balance. The status being open or closed others have reported it does have an affect on their scores, but IME I did not notice any change in scores until the collection was removed from reports.

Question 3: If something says it's scheduled to fall off in 2011 or 2012 am I correct that it has been almost 7 years and it's outside of the MD 3 year SOL? These are on my TU only and it shows "date placed for collection" as 2005 and 2006 for these accounts and it's not a DOFD. 1 is Comcast 573.00 and 1 is Medical 213.00. This would make PFD easier since they can not come after me in court to get the money correct? I could wait and let them fall off but I want to get a house in the spring... Never assume what your DOFD is and when SOL expires, if you are wrong you face possible litigation of being sued. Offering a PFD after SOL has expired does give you better odds on them accepting a PFD, but is not a sure thing. To obtain a mortgage you will more then likely have to pay the debt either in full or by settlement if they haven't fallen off your reports yet.

I called NCO - Medclear just now and the account is from 2004 and assigned to them in 2006 so it is definitely past SOL - $213.00. She said the account has been fwd to AvanteUSA but NCO still owns it and if I pay it they can change the status to Paid. I just printed out the PFD letter to send tomorrow.

The other is from 2006 - RECEIVABLES MANAGEMENT - Patient First. $258.00 I am going to send them a PFD tomorrow as well.

Thanks guys!