topic Re: Diversified Consultants, Sprint, Deleting a Paid collections account in Rebuilding Your Credit

Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 23:36:25 GMT

Hello myFICO,

I recently made a thread about trying to get a collections account removed. I came across this thread regarding removing Sprint collections, and took the advice for getting it removed. I tried doing a PFD with Diversified Consultants, who just turned around and validated the debt instead of responding to me.

I then immediately called Sprint's finance department (phone number from the thread I linked above) and spoke to a sprint representative there who told me that ~~the debt would be recalled~~ (EDIT: from follow on conversation, this was supposed to be the collection authority. Spoke to another Sprint CSR who confirmed that, yes, the collection authority should have been terminated for DCI and it would then rest solely with Sprint, who could then delete my account) ~~from Diversified Consultants once I paid, and that sprint would make a request to the credit bureaus to delete the account~~. Yes, the rep used these words specifically. Acting on this information from the representative, I paid the account balance in full.

So now, a week later, I can see a couple updates on creditkarma/transunion monitoring that show the account as paid with a balance of $0, still under Diversified Consultants. I contacted Sprint and wound up with the following exchange. My plan is still to wait for the letter from Sprint verifying my account is in good standing, and then disputing with the CRAs to have it removed, since I've now gotten two Sprint reps to tell me that it would be.

Sprint: We received your information and will connect you with a Chat Specialist soon
Sprint: Please hold, we will be with you shortly.
Candice B.: Thanks for contacting Sprint. I am happy to help you today.
You: Hi Candice
Candice B.: Hi zkay11!
You: So I spoke to a representative back on 3/14 over the phone about paying an account that was in collections with Sprint. The representative told me that my account would be recalled from the debt collector it had been sent to, and that Sprint would delete this debt from my credit report. In addition, I would get a letter from Sprint saying that my account has been in good standing since I opened it.
You: Is that something you can help me with?
Candice B.: Thank you for the information zkay11.
Candice B.: There is no balance in the account zkay11. I assure you that you no longer owe any amount. Rest assured that you will receive a letter from us that will show the account has $0 balance and no amount is needed from you.
You: Okay, great. That is good to hear. Are you able to see it's current status with collections? My specific question is, has this account been recalled from the debt collector to Sprint?
You: In other words, the debt collector no longer owns this debt, it belongs only to Sprint?
Candice B.: Yes that is correct as there is no longer any balance and the account has been closed.
You: Okay, great. So I can expect the collection account to fall off of my credit report, since Sprint now owns the debt, and the representative I initially spoke to said it would not appear on my credit report at all after I paid (In other words, Sprint would remove it)?
Candice B.: To avoid confusion, Sprint does not have the hold of the credit report . We have a dedicated department that handles credit reports. You can contact
Candice B.: Let me go ahead and get the number for you to call.
You: Oh right, no, I realize Sprint doesn't have my credit report. I'm just saying, the representative I spoke to explained it to me like this:
You: 1. I would pay Sprint the full balance on my account
2. Sprint would tell the debt collector that my file was being recalled to Sprint
3. Sprint, now controlling my outstanding collection account, would delete this account from my credit report
Candice B.: The account will be recorded as paid and it will be updated that you no longer any amount from Sprint.
Candice B.: **no longer owe any amount from Sprint.
You: Ah, okay, so the representative I spoke to initially told me that my account would be deleted from my credit report after paying. That was the only reason I paid it directly to Sprint, to have it removed, which the representative kept promising me it would be.
Candice B.: Yes once paid. It will no longer be on your credit report and will be closed.
You: Oh, so it will be deleted then? Okay, great! That and the letter stating my account has been in good standing since I opened it are all that I needed.
Candice B.: Yes, you should receive a letter from us.
You: Okay. I will keep monitoring my credit report and wait for that account to be removed. When should I contact Sprint again if it still isn't removed? Should I wait 30 days?
Candice B.: We do not have the scope to the credit report zkay11. It is handled by the Credit Bureau.
Candice B.: If it still appears on your credit report, you can contact the Credit bureau for the concern. Rest assured that you no longer owe Sprint and that the balance has been paid and all is well now.
You: I understood you earlier that Sprint made a request for deletion to the credit bureaus. We keep skating around that somehow, but those are the exact words the previous representative used in order to get me to pay Sprint.
You: "We will ask the credit bureau to delete your account once it is paid in full" -- that is what the Sprint representative told me in order to convince me to pay Sprint directly instead of a debt collector.
Candice B.: Yes, the information is correct.
You: Okay, awesome. That was all I needed, Candice. Thank you.
Candice B.: You're most welcome.
Candice B.: Is there anything else I can assist you with today?
You: No that was all, thanks again.
Candice B.: Perfect! I am glad I was able to provide you all the information you need. Thank you for the time and patience you have invested during the chat.
Candice B.: Thank you for contacting Sprint. You’ll receive a transcript of our chat within a couple of hours at the email address you provided at the beginning of this chat session.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 18:33:52 GMT

I am in this exact situation. Same CA same OC.
Sprint promised me the same thing.
The CA updated the collection to paid in full with $0 balance.
I paid February 1st, the account is still showing on all 3 cb's with a $0 balance.

Sprint continues to assure me it will be deleted.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 18:37:14 GMT

Have you tried disputing it with the CRAs? Did Sprint send you a similar letter, for you to use with the CRAs?

Hope all works out for you

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 21:21:14 GMT

I was told by Sprint they would send me a letter, this was just last week I believe, so I am waiting on it to arrive.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 18:57:10 GMT

I am waiting on the letter as well, but I already have my credit reports and the last 4 months of bills from my Sprint account (before it was in collections).

My plan after I receive the letter is to scan all of this (including the chat log I posted in the OP) and explain in the letter to the collection agencies that, besides some of the dates possibly being wrong, the debt doesn't belong to the CA any more, that Sprint claims it belongs to them now and that it will be deleted.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

RobertEG — Mon, 20 Mar 2017 19:02:29 GMT

A "dispute" filed with the CRA would be asking for deletion for a reason that does not assert an inaccuracy in the information, and is clearly contrary to established CRA policy.

The joint credit reporting manual developed by the big-3 CRAs clearly sets the CRA policy that deletion not be reported based on payment of the debt.

That CRA policy is to preserve the completeness of information in their files/credit reports, thus maintaining their value to others.

Asking a CRA to delete after payment of the debt is requesting that they act contrary to their own policy.

The CRA policy is different in the specific case where the creditor has terminated their assigned collection authority prior to accepting payment of the debt.

In such cases, another assignment, and thus collection, could be made.

In order to prevent the clear possibility of two collections simultaneously being included on the same debt, the CRA policy mandates deletion of a collection only if the collection authority is shown to have been terminated prior to any subsequent satisfaction of the debt.

The fact that a consumer is promised deletion that is contrary to CRA policy will not require the CRA to ignore its own policy.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 19:09:47 GMT

> In order to prevent the clear possibility of two collections simultaneously being included on the same debt, the CRA policy mandates deletion of a collection only if the collection authority is shown to have been terminated prior to any subsequent satisfaction of the debt.

That seems to follow what Sprint told me:

1. The debt is recalled from Diversified Consultants back to Sprint (DCI's 'collection authority' being terminated by this)

2. Paying Sprint satisfies the debt (that they now have authority over per their rep)

3. Sprint, having control of this debt, tells the CRA they want to delete the account. Other posts on PFD schemes always point out that it is at the creditor's discretion to remove or not remove a charge, but I have at least one Sprint rep telling me in conversation that it would be removed once Sprint had authority over the charge (and it was paid).

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

rmduhon — Mon, 20 Mar 2017 21:16:18 GMT

By paying Sprint before they recalled the account , all the CA is required to do is to update the account to paid with a zero balance. Sprint can't make them delete the account after the fact.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 21:37:33 GMT

> By paying Sprint before they recalled the account , all the CA is required to do is to update the account to paid with a zero balance. Sprint can't make them delete the account after the fact.

> I then immediately called Sprint's finance department (phone number from the thread I linked above) and spoke to a sprint representative there who told me that the debt would be recalled from Diversified Consultants once I paid, and that sprint would make a request to the credit bureaus to delete the account. Yes, the rep used these words specifically.

The rep explained this and said it would be recalled. I have it in the OP and several of the other messages in this thread

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

rmduhon — Mon, 20 Mar 2017 21:43:15 GMT

I understand that you were told that, however the rep was wrong.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 21:45:35 GMT

I was told the same as the OP. It is possible to pay and OC and have it retracted from a CA and therefore removed from credit reports. I've done it with other accounts.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 21:53:32 GMT

> I understand that you were told that, however the rep was wrong.

Then that would seem to be on Sprint, not me. Why are the reps telling people entries will be deleted when they won't be? To get payments out of them?

I contacted a US based corporate employee, will see what sort of results that yields. I still plan to dispute once I receive the confirmation letter from Sprint, if this route doesn't work.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

RobertEG — Mon, 20 Mar 2017 22:27:15 GMT

The debt was always under the ownership of the creditor, and not the debt collector.

Thus, there is no "recall of the debt."

What is at issue is the termination of assigned collection authority, and whether it was done before or after they creditor accepted payment of the debt.

A creditor cannot retroactively terminate assigned collection authority after accepting payment of the debt.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 20 Mar 2017 23:02:01 GMT

@RobertEG wrote:
The debt was always under the ownership of the creditor, and not the debt collector.
Thus, there is no "recall of the debt."

What is at issue is the termination of assigned collection authority, and whether it was done before or after they creditor accepted payment of the debt.

A creditor cannot retroactively terminate assigned collection authority after accepting payment of the debt.

And going off of what the rep told me, the collection authority should have been terminated from DCI before I paid. If the rep was wrong in saying that, then that is Sprint's fault for not training their front line CSR's on the proper etiquette or verbiage.

If speaking to this corporate employee fails, I'll try disputing it with the CRAs (because despite what you seem to be trying to tell me, paying an OC and then disputing with the CRAs has yielded results for others here in this very subforum). If neither of those works, I will open a dispute with the BBB/CFPB because a Sprint employee told me it would be removed and it wasn't, and chalk it up to a learning experience.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Wed, 22 Mar 2017 18:02:27 GMT

@zkay11 I just sent you a PM

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Wed, 05 Apr 2017 21:58:21 GMT

I just wanted to post an update for future readers. I opened a CFPB case against DCI since Sprint had told me the debt would be deleted, and it took 8 days for their response but my effort was SUCCESSFUL! DCI submitted a request to the CRAs for a deletion.

Keep fighting them, you can win!

Thanks to naek for the encouragement.

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

llCreditPAINll — Tue, 25 Jul 2017 15:35:37 GMT

I was told the same thing by Sprint and even have a recording of the conversation. What information did you need to open the CFPB case? How long was it from the opening of the case to the deletion from you CRA's?

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

SuperbCreditOnTheWay — Wed, 30 Aug 2017 12:09:38 GMT

I am currently in the same situation. Could you please share with me what you said to the CFPB?

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Mon, 11 Sep 2017 17:12:52 GMT

any update on this? i am in same situation with AT&T and DCI

Re: Diversified Consultants, Sprint, Deleting a Paid collections account

Anonymous — Tue, 23 Jan 2018 18:38:19 GMT

Any updates?

I am working on this as well and dealing with DCI or Sprint is such a hassle. My next step is to file a complaint.

Luckily I recorded every call with them both. In my opinion, it is better to not pay the collections at all.

Both companies have not honored their word, to send out a letter or remove the negative information.

I'm not sure how to classify my dispute with the CFPB.