CA agreed in writing to PFD on behalf of the OC....Do I have any legal standing ground??

[miay2k4]

 I resorted to taking out a loan with a company called "Omni Military Loans".  Amount was $2,625.  I paid for a few months and then eventually defaulted.  It went into collections with an agency called "Sunrise Credit Services".  SCS had my acct for about 1yr before they even sent me the 1st collection letter.  After a yr of interest it came out to be $4998.  I sent SCS a DV letter and the responded with the original contract that I signed when I took out the loan.  There is no doubt that the loan is mine and Im not disputing that.  I just sent them the DV to find out the exact amount that I owe.

I spoke with the OC Omni on several occasions and the told me that they will not deal with me that I had to deal with SCS.  Keep in mind that the whole time I was in default that only the OC Omni is reporting a CHARGE OFF on my CR.  Sunrise has told me that they are not authorized to report on behalf of Omni.  I sent SCS a PFD for which they agreed and sent me a signed letter stating that OML will delete the acct off of my CR upon receipt of PIF.  I paid SCS $5000 and am no awaiting OML to delete.

My question is that it has been 3weeks since I last spoke with SCS who assured me that OML would delete.  The rep that I am dealing with at Sunrise was very polite and professional during this whole process.  Do I have any legal ground to stand on with the signed agreement to delete the OML tradeline with Sunrise, or did I just put my faith in a CA who may have just told me what I wanted to hear????  Hope that made sense.  Some help!

Message Edited by miay2k4 on 07-10-2009 03:51 PM

[2wheel]

I would take the letter and file a dispute via fax with the CRA'S This will get it done faster than waiting on the OC to report. aSometimes it moght take up to 60 days for them to report. Doing A dispute by fax might take a few days search the forums for the fax numbers

[Anonymous]

CAs can not make promises for OC accounts.  I would feel better having a signed letter from Omni stating the account would be deleted.

It could take a while for the CRA to be updated.  Some companies do not report monthly, Omni is one of them.  They report quarterly.

It took them 4 months to add a new account to my CR. 

[Anonymous]

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@miay2k4 wrote:
 I resorted to taking out a loan with a company called "Omni Military Loans".  Amount was $2,625.  I paid for a few months and then eventually defaulted.  It went into collections with an agency called "Sunrise Credit Services".  SCS had my acct for about 1yr before they even sent me the 1st collection letter.  After a yr of interest it came out to be $4998.  I sent SCS a DV letter and the responded with the original contract that I signed when I took out the loan.  There is no doubt that the loan is mine and Im not disputing that.  I just sent them the DV to find out the exact amount that I owe.

I spoke with the OC Omni on several occasions and the told me that they will not deal with me that I had to deal with SCS.  Keep in mind that the whole time I was in default that only the OC Omni is reporting a CHARGE OFF on my CR.  Sunrise has told me that they are not authorized to report on behalf of Omni.  I sent SCS a PFD for which they agreed and sent me a signed letter stating that OML will delete the acct off of my CR upon receipt of PIF.  I paid SCS $5000 and am no awaiting OML to delete.

My question is that it has been 3weeks since I last spoke with SCS who assured me that OML would delete.  The rep that I am dealing with at Sunrise was very polite and professional during this whole process.  Do I have any legal ground to stand on with the signed agreement to delete the OML tradeline with Sunrise, or did I just put my faith in a CA who may have just told me what I wanted to hear????  Hope that made sense.  Some help!

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You may be stuck.  Unless the signed agreement specifically states that they will delete or arrange for delete by the OC, then they have all ready complied.

If they only stated that "SCS will delete from CR" then they are only obligated to delete the reporting by SCS.  The fact that they aren't reported has no impact on this. 

FINALLY:  I highly doubt that SCS has any legal authority to bind the OC.  So, even if they did say they will delete the OC item, this doesn't mean they CAN.  Which means you really have a bad position that will not be easy to get what you want.

Possibly you can go back to the OC and offer to pay their "LOSS" (meaning the amount they lost or discounted when they sold to CA) under a PFD.  Usually you can negotiate a reduction or elimination of interest and penalty, if they are interested at all.  Sometimes it is possible for a lesser amount as well.

[miay2k4]

Thank you all for your comments.  I tried to interpret the wording used in the signed agreement by SCS as best as possible.  The exact verbage was "Upon clearance of all funds given for payment on your account, Omni Financial will remove your tradeline for the above listed account number from thier major reporting credit bureau.  Please allow 90 days for Omni Financial to update your credit file". Why is it that during the entire time the loan was in a charged off status, Omin reported every month like clock work that is was in default.  I spoke with a rep from Omni and they told me that they would not put anything in writing.  If Omni does not delete in 90 days, isn't the CA liable for "Unfair Collection Practices" or something.  Can I sue the CA.  $5,000 is a lot of money. Isn't it fair to assume that when a CA is collecting soley on behalf of the OC, and I confirmed that with Omni, they can speak on behalf of Omni.  It just hurts to know that I might have been taken advantage off.