Disputing with CBE Group

[Anonymous]

I have an Aquila utility account that went to collections in 2004 that I immediately paid in full.  I recently wrote to the CBE Group, the collection agency, requesting a good will adjustment and also sent a copy of the letter to Aquila.

I called the CBE group today to see if they received my letter, she said she didn't see that they received it yet, but that they aren't the ones who can remove it from my credit report, that I would have to dispute it with the three CRA's.  That's not right is it?  I thought the only people who can remove stuff is the actual collection agency or whoever reported it to begin with...

Is there something else I can say on the phone to persuade them or ask for a manager or something?  Any ideas would be helpful!

[Anonymous]

Hi Elexi21,

When you paid the account in full, did you pay Aquila or did you pay CBE Group?

I would try to go up the ladder @ CBE Group.  They could delete the entry, but they don't have to.

To explain why the CBE Group is giving you a hard time about the GW delete -

CBE Group could delete your entry from the credit report, but many collection agencies try not to because technically, it's a violation of the FCRA if the information is accurate.   (In my opinion, the CAs are doing this because more consumers are catching on to their rights under the FDCPA and the FCRA, so they're starting to use those same laws to "give it back" to consumers )

What they could do as a "workaround" is report to the CRA that they "can't verify your record anymore, and it needs to be deleted".  How come they can't get in trouble with this "workaround"? Situations commonly arise where records get lost.  For example, if the company changes their computer programs and databases, it's possible that a record can fall through the tracks, especially a record that's been paid.

Another thing that they are possibly doing is another "workaround".   When you dispute the entry with the CRA, the CRA does a validation process with the company reporting the entry.   What the CA will probably do is either a) tell the CRA that they "can't find the record", or b) not respond to the CRA's request for information in the proper amount of time so the CRA will delete the entry.

[Anonymous]

Thanks for the good info.  I'm pretty sure I paid CBE group directly, but I'd have to look back as I can't quite remember.

So basically what your saying is to do a general dispute to each of the CRA's, then see if CBE Group will just delete it then?

[Anonymous]

Hi Elexi,

Yes, I think that you should send to the CRAs if CBE doesn't do anything about your GW letter. 

I have a feeling that CBE was "dropping you a hint" when they told you to dispute it through the CRA.  If they have no intention of honoring the GW, they would tell you outright that "we're not allowed to delete accurate entries because of the FCRA".

I have a feeling that CBE will conveniently let the time limit to respond to the CRA lapse or conveniently tell the CRA that they can't validate the entry.

If the entries don't get deleted from the CRA, then definitely go up the ladder @ CBE for the GW delete.

[Anonymous]

Great - I'll do that.  Thanks so much for the info!  I've learned so much on these boards

[Anonymous]

Well it worked!  I disputed to the CRA's and it was deleted from my report!  Thus increasing my EQ FICO by 14 points - yea!  Thanks for the advice

[redhouse69]

I have a similar situation with CBE.

I moved and went past 90 days without paying the OC Mid-American Energy.  The CA CBE showed on my credit report.  I then moved back to my old location and needed Mid-American service again.  I made a payment agreement with Mid-American and over a few months paid the debt off in Payments.  I noticed that when I ran periodic reports CBE still showed up with the reduced balance as I was paying Mid-American off, but once it was paid off.  CBE is still on my report with a $0 balance stating paid.

My question is: is there anyway to get the CBE removed from my credit reports?  It is showing on all three.  Is this something I can dispute to the CRAs given I paid Mid-American directly?  What are my odds of getting this removed?

Thanks for any input you may have.

[JoeBJay20]

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@Anonymous wrote:

Hi Elexi21,

When you paid the account in full, did you pay Aquila or did you pay CBE Group?

@I would try to go up the ladder @ CBE Group.  They could delete the entry, but they don't have to.

To explain why the CBE Group is giving you a hard time about the GW delete -

CBE Group could delete your entry from the credit report, but many collection agencies try not to because technically, it's a violation of the FCRA if the information is accurate.   (In my opinion, the CAs are doing this because more consumers are catching on to their rights under the FDCPA and the FCRA, so they're starting to use those same laws to "give it back" to consumers )

What they could do as a "workaround" is report to the CRA that they "can't verify your record anymore, and it needs to be deleted".  How come they can't get in trouble with this "workaround"? Situations commonly arise where records get lost.  For example, if the company changes their computer programs and databases, it's possible that a record can fall through the tracks, especially a record that's been paid.

Another thing that they are possibly doing is another "workaround".   When you dispute the entry with the CRA, the CRA does a validation process with the company reporting the entry.   What the CA will probably do is either a) tell the CRA that they "can't find the record", or b) not respond to the CRA's request for information in the proper amount of time so the CRA will delete the entry.

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That's not entirely accurate.  There is no law against a CA deleting an account in exchange for payment (despite the claims of many CAs to the contrary). The FCRA only states the maximum time accounts can be listed, it does not state a minimum time.  In terms of the law, a creditor can remove a listing from your credit report at any time during the CRTP for any reason it chooses. However, CAs do agree to the guidelines of the CRA reporting manual (used jointly by all three CRAs) which states that accounts are not to be deleted on the basis of being paid. 

[RobertEG]

I agree with JoeBJay.

The FCRA requires that reporting be accurate.  Their is nothing inaccurate, and thus illegal, about any creditor deleting prior reporting to a CRA.  It is, however, as JoeBJay has said, an adminitrtive violation of the reporting guidelines between the CA and the CRAs, as set forth in the "Credit REporting Resources Guide" issued by the CRAs, and agreed to by the CAs.  But since the party instructing the deletion to the CRA does not have to provide any reasons for their deletion, it is a guideline that has absolutely no enforceability, and is thus often ignored when you throw $$$ at the CA.

What you are asking the CA to do now is not a "dispute."  It is a request for their good will.  They can just ignore you.

My question in asking a CA to do a goodwill deletion is, what is in it for them?  Unlike an OC, CAs live on misery.

Repetition of your misery is their paycheck.  So what is their incentive to delete, particularly when it is also in violation of their reporting agreement with the CRAs?