Collections Account Question - Statute Expired

[Anonymous]

I have an old collections account on my credit from a large collection agency  (I believe Palisades) that they put on my credit report for over 9k.  The original card had a limit I believe of about 3k was opened about 15 years ago and closed about 12 years ago. About 7years ago, after years of just paying interest and paying well beyond that 3k I had charged up...I moved a few times in a short period and just lost track of paying some bills. If statements didn't make their way to my new address they didn't get paid.  Chalk it up to immaturity and irresponsibility.  Anyhow, the account shortly after was put into collections with this Palisades and ignored their automated collection calls.  3 more years passed and a few moves later they lost track of me.  I then leaned that this company had tried to sue me for the balance but had messed up serving me papers and not showed up to court dates themselves.  I learned of this when the county sent me papers that were over a year old.  I then found out that it appeared the 4 year statute in CA to collect revolving debt had expired? Does this sound like the right rule?  

As of today it's been about 6 years and 10 months since a payment has been made and/or late.  Since my being irresponsible I have gotten most of my credit in order...I've gotten and paid off a few auto loans, been able to get some decent credit cards and my Experian "score" is 672. (is this what you call FAKO?). The huge and only negative is this collection account.  Two nights ago I received some automated call, which sounded like one of those old collection calls. I have read in the past once the statute expires don't make any arrangements or talk to them.  My question is this 1) am I correct the statute has expired (NO payments or arrangements have been made for 6 years and 10 months), 2) will this automatically drop off or will have to remind experience or credit agencies? 3) I have read other sites say to write a letter and let them know you know the statute is closed.......but will this antagonize them or does it really work?

[llecs]

Welcome to the forums!

1) If the last payment was nearly 7 years ago, then your statute of limitations (SOL) expired almost 3 years ago. And yes, I believe it is 4 yrs in Cali and I think a payment can restart the SOL clock in Cali, so be very careful about what you pay.

2) Your credit reporting time period (CRTP) hasn't expired yet assuming you first went delinquent and never recovered 6 yrs 10 mo's ago. You still have up to 2-8 months to go. However, it'll fall off on it's own sometime this year. If you pull your CRs directly from each CRA you might see drop off dates for TU and EX and might see DOFD for EQ, which is the basis for removal (7-7.5 yrs from that point). Now if the OC is the one reporting, they could end up removing the negative info and then continue to report as a positive account for 3 more years. If the CA is reporting, then they'll fall off this year.

3) You can write the CA, but legally they can collect forever. I'm on the side of ignoring their calls and letters from this point on. You could write them and tell them to pound sand, but that may or may not get them to go away.

[RobertEG]

A bit confusing....

If the account was closed 12 years ago, the DOFD would necessariy have to have been more than 12 years ago.

Date from when a payment was last made has nothing to do with DOFD.

So, I am confused as to how this collection could still be showing on the credit report???

[llecs]

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@RobertEG wrote:

A bit confusing....

If the account was closed 12 years ago, the DOFD would necessariy have to have been more than 12 years ago.

Date from when a payment was last made has nothing to do with DOFD.

So, I am confused as to how this collection could still be showing on the credit report???

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I thought that too at first....I proceeded on the assumption that OP closed a positive TL, continued to make timely payments up until a default resulting in a DOFD at a later date.