Bank error dispute help

[romy134]

TLDR: will TU comminicate with EX about disputes?

So about 4-5 years ago a collection for 217 bucks appeared on my EQ report for a car loan I had fully paid off with a credit union. I can't remember if it was on all 3 bureaus or not i'll have to look into that but i would have disputed it all 3 if it had been. Fast forward this month it still shows on my EQ CR thats its disputed but remains. I disputed it again this year for a 2nd time. This time I decided to call the original lender which has changed names two times they said it was a bank error and that they would report it to TU, I explained that it only shows up on my EQ. I asked if they could contact EQ directly since it is not on TU. They said NO they would not, that they only report to TU and that TU would contact EQ and EX. I even asked if they could contact the collection company again they said NO, that they would have to remove the collections once TU sends the info to the other bureaus.

I am really trying to refinance my car and was in a hurry so I called EQ and told them the situation and ask if TU would contact them since the original lender sent TU the information, they said they do not share information with the other agencies like that. (not sure who is telling me the truth here I kinda believe they share info because something similar happened to my mom). They also said something about only the collection company can have it removed since they placed it so they would not contact the original lender only the collection company.

I contacted the collection company next they told me the debt is valid until the lender tells them otherwise, but the lender won't contact them to tell them this. he said I could pay the 217 bucks and I can have it closed. but I don't want that on my report if it was an error.

it seems the 3 parties involved won't contact the right people to fix this? Anyways the dispute closes on the 22nd of this month, basically will this work itself out? Will TU contact EQ and EX and tell them its an error and will EQ remove a debt the collections thinks is valid because they haven't heard anything from the lender??

[JVille]

The bank needs to supply you a letter in writing to remove this issue. Who is reporting this ? The bank or a collection agency?

[rbentley]

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@romy134 wrote:

TLDR: will TU comminicate with EX about disputes?

So about 4-5 years ago a collection for 217 bucks appeared on my EQ report for a car loan I had fully paid off with a credit union. I can't remember if it was on all 3 bureaus or not i'll have to look into that but i would have disputed it all 3 if it had been. Fast forward this month it still shows on my EQ CR thats its disputed but remains. I disputed it again this year for a 2nd time. This time I decided to call the original lender which has changed names two times they said it was a bank error and that they would report it to TU, I explained that it only shows up on my EQ. I asked if they could contact EQ directly since it is not on TU. They said NO they would not, that they only report to TU and that TU would contact EQ and EX. I even asked if they could contact the collection company again they said NO, that they would have to remove the collections once TU sends the info to the other bureaus.

I am really trying to refinance my car and was in a hurry so I called EQ and told them the situation and ask if TU would contact them since the original lender sent TU the information, they said they do not share information with the other agencies like that. (not sure who is telling me the truth here I kinda believe they share info because something similar happened to my mom). They also said something about only the collection company can have it removed since they placed it so they would not contact the original lender only the collection company.

I contacted the collection company next they told me the debt is valid until the lender tells them otherwise, but the lender won't contact them to tell them this. he said I could pay the 217 bucks and I can have it closed. but I don't want that on my report if it was an error.

it seems the 3 parties involved won't contact the right people to fix this? Anyways the dispute closes on the 22nd of this month, basically will this work itself out? Will TU contact EQ and EX and tell them its an error and will EQ remove a debt the collections thinks is valid because they haven't heard anything from the lender??

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The CRB's do NOT share information.  TU will NOT be contacting EQ and EX to correct info on those bureaus.  Only the reporting creditor can get the information removed.  I would recomend a DV letter to them.  Good luck.

[romy134]

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@JVille wrote:
The bank needs to supply you a letter in writing to remove this issue. Who is reporting this ? The bank or a collection agency?

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A collention company. So i should ask the bank for a letter? then send the letter to eq or the collention comp? I did ask for a letter but they dint seem to want to give me one, they said the will only tell TU

Hey hey thanbks for the fast replay guys, ill look into a DV letter, not sure what that is but ill google it thanks

[Anonymous]

If the original creditor acknowledges that it is an error, then get that in writing and send a copy of it off to the collection agency.

[RobertEG]

What type of dispute did you file?

If you are asserting an inaccuracy in your EQ report, then the options would be either a direct dispute sent to the debt collector, or a dispute sent to EQ, which they must then forward to the reporting debt collector for their investigation and response.

There would be no basis for any dispute filed with any other CRA, such as TU.  

Did you file your dispute with EQ?

If you are asserting that the original creditor agrees that there was no delinquency, then your dispute would be on the basis that there was no proper collection authority on the part of the reporting debt collector.  Reporting of a collection to a CRA requres that there was a legitimate delinquent debt at the time the debt collector acquired collection authority.   

If, in your dispute, you assert no error in fact, then the debt collector would be required, in their investigation, to have contacted the creditor to confirm that the debt was legitimately delinquent, and thus that there collection authority was legit.

The debt collector would then have been obligated to have either deleted their collection, or responded back to the CRA that the collection was not proper, thus permitting EQ to then delete.

If, after filing a dispute with the CRA to which the inaccuracy was reported, you obtain a verification of accuracy, that then permits you to bring civil action and get the mattter factually reviewed by the courts.  See FCRA 623(c).

If the creditor agrees that there was no delinquency in fact, then it would be an open and shut judgment of no delinquent debt, and thus no proper collection.

[romy134]

Thanks for the detailed reply. Yes I disputed it with EQ and called the collection Co and told them the original bank had made and error. The collection Co said the bank would have to get into touch with them, however the bank says they do not contact collection company's they only report to cra. The dispute ends on the 20th so I guess I'll wait to see what happens. So far it seems the bank and collection Co don't want to contact one another.

[RobertEG]

The FCRA requires that the furnisher of disputed information must conduct a reasonable investigation once referred a copy of a dispute from a CRA.  A reasonable investigation of an assertion that the creditor agrees that there was no delinquent debt would require the debt collector to contact the creditor.  Thus, any argument that they have no responsibility to contact the creditor would not be valid once you have filed a dispute. 

If they verify without any attempt to verify with the creditor, that would be a clear case of intentional verification without conducting a reasonable investigation, which would subject them to civil and possible punitive damages under the FCRA for willful noncompliance with their investigation requirment.

See FCRA 616,