Help with disputed item on report killing score

[Anonymous]

My credit report shows a collection agency item of $84 from an exterminating company's billing from 4 years ago.  This arose out of a wrongful and perhaps fraudulent charge for services not rendered. The company was notified and since they didn't provide the service and remove the charge I ceased business with them and hired another company.

For the 1st 6 months I called everytime I recieved a statement and told the billing department the above. Nothing was ever done and they turned it over for collection.  I repeated myself for a few months then stopped taking calls.

My credit is flawless otherwise and has a 40 plus year history. My score with the problem is 708. I disputed the charge with all 3 credit reporting services but only Transunion removed the item with now a Transunion score of 782.  The other 2 still are 708.

What should I do?  This is impacting my rate on refi of real estate.  Can you help???

Thank you for any assistance you can offer.

[krielly]

I know its not really the money, but more the principal of the thing, but maybe the simplest and quickest solution is to request a PFD.

It might be quicker and easier to just pay the $84 if they will delete it, in order to get a better interest rate on your re-fi.

If it makes a significant difference as to your interest rate, it won't take long to re-coup in the savings what you paid to the CA to delete this from your report.

Just a thought......

[llecs]

Be sure to DV before offering a PFD.

[Anonymous]

Sorry if these are stupid questions but.....

What's a PFD??

What's a DV?

[Anonymous]

---

@Anonymous wrote:

Sorry if these are stupid questions but.....

What's a PFD??

What's a DV?

---

Guide to common abbreviations

[Anonymous]

The only thing you can do is dispute it again and again. Try this. Send the dispute to equifax wait 15 days, then send another dispute. Do the same for experian. That may work for you.

[Anonymous]

---

@Anonymous wrote:
The only thing you can do is dispute it again and again. Try this. Send the dispute to equifax wait 15 days, then send another dispute. Do the same for experian. That may work for you.

---

Do NOT take this advice. Disputing is always a last resort. Do the DV, then based on that response, attempt a PFD, if necessary.

Good luck!

[Anonymous]

Yes,only use dispute as a last resort, because in some cases,this can actually lower your scores if the dispute doesn't go your way. I speak from having this happen to me over a $50 medical collection.TU deleted,but EX and EQ are just like a stubborn old donkey,NO GO! LOL

Good Luck to you.

[Itsmeagain]

---

@Anonymous wrote:

. I disputed the charge with all 3 credit reporting services but only Transunion removed the item with now a Transunion score of 782.  The other 2 still are 708.

What should I do?  This is impacting my rate on refi of real estate.  Can you help???

Thank you for any assistance you can offer.

---

So, you admit that the debt is yours but you want them to stop reporting your decision to just ignore the problem early on.  With your 40 yr. credit history you should know that isn't the way it works.  Credit Reporting Agencies (CRA's), only report what is provided by their customers; the Original Creditor (OC), or Collection Agency (CA).  Repeated disputes for the same reason will not help.  They are not required to re-investigate every time you dispute and you will get comments on your credit report that say something like "Previously Investigated, customer disagrees".  This will not help your credit score.  I don't know if it will hurt but it surely won't help when a credit grantor reads these comments.

The advice given before about sending a Dispute Verification (DV) and then negotiating a Pay For Delete (PFD) is your best choice because the debt is yours, even though you may disagree with the source of the debt, it is still your responsibiliy to either pay it or convince the Original Creditor (OC), to forgive it (doubtfull from what you've written).  Neither the CA nor the CRA can resolve your debt issue.  That responsibility is yours and yours alone.

I hope you get this resolved and get the financing you want on your house but remember, high credit scores are reserved for those that deserve them and avoiding your credit responsibilities does not demonstrate your willingness to pay your debts.

And, I apologize for the rant but finding ways to avoid paying your debts is not what this forum is all about (or so I understand).

[llecs]

Unless I read it wrong, it sounds as if the exterminator went back on their agreement and charged OP for services not rendered. It certainly is disputable, but disputing it with the CRAs was not the way to go. The CRAs will only ask the CA if the debt is valid and the CA will respond with a "of course".

OP, if you are aiming for the lowest rate, then put off the mortgage, send a DV then offer a PFD only if you agree with what the CA says. If this issue recently happened, then contact the BBB and/or your local consumer agency to fight this via a third-party. BTW, some lenders, as mentioned over and over in Mortgages, are denying folks with a "dispute" mention on their CR. Again, disputing an inaccurate charge is the last thing you'd ever want to do.

Message Edited by llecs on 04-25-2009 08:04 AM