topic Re: LVNV...No dunning...need it off...HELP in Rebuilding Your Credit

LVNV...No dunning...need it off...HELP

Anonymous — Sun, 10 Jun 2012 21:52:54 GMT

LVNV collection for about $1200 popped up 9/2011....never received a dunning or even a phone call from them (shocker,right?...lol) Wife and I shooting for a USDA Guaranteed loan and 640 is in sight....but I need to figure out what to do about this collection. It's for Care Credit/GEMB. Original debt about $1k DOFD June 2008.
First,
I really don't want to waste time on a DV, but should I anyway? The USDA guidelines say no accounts converted to collections within a year and I hear LVNV sucks with PFD so...
Next,
This account is not reporting as a "Collection" on my EQ report from here. It's under "accounts"....lenders aren't stupid and hey know LVNV is a JDB, obviously but does that matter for scoring purposes? Thanks for any input/guidance!

Re: LVNV...No dunning...need it off...HELP

RobertEG — Sun, 10 Jun 2012 22:44:21 GMT

Lack of dunning notice sent within 5 days of reporting to a CRA is a violation of the FDCPA, but not basis for CR deletion. It is a violation of their debt collection practices obligations. You can pursue that violation, such as by way of FTC complaint, BBB complaint, AG complaint, or your own civil action, but the outcome is a holding of violation that does not in and of itself compel any CR deletion.

Lack of dunning notice after posting to a CRA is harmful to a consumer, as it does not provide them timely notice to deal with the issue, and during their time of ignorance of the reporting, is impacting their credit score. However, once a consumer becomes aware of the reporting, lack of dunning notice can actually work to their favor. It makes any DV timely.

In your case, if the debt is valid, sending a DV at this time would require them to cease further collection activity until such time as they provide debt verification, but does not compel a response within any set period. And with sending of a timely DV, the cease collection bar that it imposes will prevent any PFD negotiations.

The main issue is whether you want to or can afford delay while the debt verification issue is unresolved.

As for how it is showing in your CR, that is most likely a fault of the formatting of your CR rather than mis-reporting of the collection. They are a debt collector, and as such their reporting has entirely different requirements than reporting by a creditor. I would bet that they correctly reported as a debt collector, and your CR is just listing it in the wrong place.

Re: LVNV...No dunning...need it off...HELP

Anonymous — Sun, 10 Jun 2012 23:26:14 GMT

Thanks for the response Robert! I have a DV prepared and LVNV (or Resurgent Cap) is actually headquartered in the county I live in so a DV would reach them almost immediately....as far as time, I guess I have to do what's necessary. I can afford to PIF, but don't want to tell them this. Would you recommend waiting until the lender decides? Utilization is keeping me from 640...not this collection,I don't think. I'm at 620 EQ, 618 TU and like 149% utilization due to 2 OCs reporting balances on old CO accts. These will be paid within 30 days so I have until at least then. I hope bringing utilization down gives me a HUGE bump. Sigh. I am dreading dealing with them. What are the chances a DV will scare them off?

Re: LVNV...No dunning...need it off...HELP

RobertEG — Mon, 11 Jun 2012 01:21:39 GMT

In my opinion, the chance of not being able to respond to a DV depends on how close their association is with the current creditor.

Verification requires only, under the bear bones of the statute, that they "obtain" affirmance from the creditor that the debt is considered valid, and its amount.

However, if they have little or no contact with the creditor and their own records dont include any details regarding the OC account, which is often the case, then they may be reluctant to attest to the accuracy of the debt or its amount.

A DV may not work to the consumer's favor if immediate resolution is needed, as it puts the collection in limbo until verification is provided.

Re: LVNV...No dunning...need it off...HELP

Anonymous — Mon, 11 Jun 2012 01:29:02 GMT

Fair enough. I will send it tomorrow. Honestly, the debt is 4 yrs old, out of SOL, and may "wake a sleeping giant" as far as collection activity goes. But, if it will keep me from getting approved, I'll do what I have to. Thanks again Robert! Your responses are always helpful!

Re: LVNV...No dunning...need it off...HELP

Anonymous — Mon, 11 Jun 2012 02:54:56 GMT

There are a lot of LVNV threads here recently, I'd advise reviewing them. There are very helpfu, especially the ones from the last few months.

Re: LVNV...No dunning...need it off...HELP

Anonymous — Mon, 11 Jun 2012 03:08:04 GMT

Thanks Jordan....I will!

Re: LVNV...No dunning...need it off...HELP

rckstrscott — Mon, 11 Jun 2012 04:54:23 GMT

@Anonymous wrote:
Thanks Jordan....I will!

I removed a LVNV by doing a BBB complaint, took about 3 weeks.

My complaint was based on the following: The address on the credit report is not valid (which is true, it is not valid) and I never recieved a dunning notification.

I referenced the statutes that LVNV violated, and I mentioned in the BBB complaint that I want the listing deleted from my credit report, or I will pursue legal action based on the violations of the FDCPA.

It was removed really fast... there are dozens of successes using this approach, as well as some non-success but that would be my approach in your situation.

-scott

Re: LVNV...No dunning...need it off...HELP

Anonymous — Mon, 11 Jun 2012 23:13:31 GMT

Scott, I will work on this tonight. Thank you, it would be awesome if they removed it. I will let you guys know what happens!

LVNV- no dunning- HELP NEEDED w/ delete for mortgage application.

ecindc — Wed, 27 Mar 2013 05:12:28 GMT

Hi Scott, Any info (in addition to your posting) that you could PM me that was useful to you in getting the LVNV account removed from your credit report(s) would really, really help. Our loan/mortgage officer just needs a letter from them stating that they will delete the debt and the account and that they will contact the CRAs to tell them that there is no debt and that it should be fully removed from my husband's credit file. Once we have that letter in hand, we can buy a house... My husband's Credit One credit card account was sent to collections with LVNV (without us knowing) after Credit One Bank sent him a letter stating that his card number had been compromised and he should stop using it. This was two years ago, and now that we're applying for a mortgage and pulling our credit reports, we saw this collection account from LVNV which had somehow gone from a zero balance to $577. We never received anything at all in the mail from Credit One stating that it was going to a collections agency, nor did we receive anything in writing from LVNV (so we definitely didn't get a dunning notification from them). Until we pulled his credit report, we had never heard of LVNV, and we were shocked when it mentioned being a collection sold by Credit One Bank. The only contact information we have for them is what's listed on my husband's credit report. Basically, we have to get this account deleted from his account. If we do so, we're approved for a conventional mortgage with much less monthly interest. If we don't, it's a big enough blemish to keep his score like 4 points (literally) from qualifying and we will have to pay a lot more per month with an FHA loan. We want to go through the BBB, the FTC, our state attorney general, etc. and to dig up all of the violations from the FDCPA, but we really just need to do whatever is fastest and has the best chance of getting the account removed by LVNV, Resurgent, Credit One, whomever. We're at the point that it would be completely worth it to pay $577 - however, we know that all that would do (if we can't get a guaranteed pay for delete) is show a paid bad debt, and would probably actually lower his score. LVNV is the scum of the earth - if this company seriously affects the purchasing ability of our first house, it will make me physically ill. Did you know that LVNV had to pay the state of Maryland a settlement of $12.5 mil, and were not licensed to collect debts at the time that they were flooding Maryland's stat courts with tens of thousands of collections lawsuits without first contacting clients to attempt to collect on their debts. LVNV was characterized as a junk debt buyer- they buy old, defaulted consumer debts for pennies on the dollar and then try to collect the full amount of the defaulted debt. Most junk debt buyers like LVNV Funding can skip traditional debt collection and go right to the courts. (This would explain why so many people never receive dunning notices from them). Thanks in advance, Emily http://www.consumerlitigators.com/2630/fair-debt/junk-debt-buyer-lvnv-funding-llc-busted-to-the-tune-of-12-5-million-dollars-to-resolve-alleged-violations/ http://www.dllr.state.md.us/whatsnews/lvnvsettlement.shtml In traditional debt collection, the debt collector is a third party hired to try and collect the debt. Its efforts were rewarded by a percentage of the amounts collected as commissions. It was incentivized to contact you, work with you, and arrive at a solution with you. Junk debt buyers on the other hand have no incentive to work with you when they can employ the machinery of the court system to do its collections for them. “Why bother calling and writing you,” LVNV Funding probably asked, “when a court will readily garnish your wages for us?”

Re: LVNV- no dunning- HELP NEEDED w/ delete for mortgage application.

rckstrscott — Wed, 27 Mar 2013 12:57:46 GMT

PMed you some information

-scott

Re: LVNV...No dunning...need it off...HELP

chevyman — Wed, 27 Mar 2013 18:56:36 GMT

What if they are in violation of charging too high of interest

Re: LVNV...No dunning...need it off...HELP

rm3 — Wed, 27 Mar 2013 19:04:33 GMT

BBB worked for me

Re: LVNV...No dunning...need it off...HELP

chevyman — Wed, 27 Mar 2013 19:42:44 GMT

Did it delete the record totally