I Fought the Law and ... I Won; UPDATED: Post 8

[Anonymous]

I got a Wallet Hub alert a few minutes ago and after logging in: "As of Sep 21, 2018, the collections account from Credit Collection Services was no longer listed on your credit report."

This is no ordinary collections account. This is from a bill that auto insurer Nationwide hit me with -- unbeknownst to me until a few months ago when I joined here and started examining my credit -- after my policy with them had lapsed. For those who do not know, an auto policy, like a term life policy, or medical policy, will lapse (go out of force) without value after the grace period has expired (typically 30 days from premium due date, sans payment). No coverage is provided by the insurer for this grace period unless the past due premium is paid during this extended time period. If no premium is forthcoming, the policy has lapsed and no premium is owed. Yet, Nationwide said I owed them $109 for a policy that went out of force several years back. 

I researched my payments and the policy terms & contacted them, requesting they remove the collection and delete to the CRA. "I owe you nothing," I said. Note: this account is still within SOl, so I treaded carefully. I wrote them, they called me, I wrote them again detailing my argument, they sent me documents and statements that refuted nothing. I wrote to the CRA and the collection account was "verified." 

So on 8/02/18 I wrote the CFPB a detailed argument why this debt was invalid and asked to have it removed from my credit report. Nationwide has yet to respond to them. But apparently today they conceded they have no (honest) leg to stand on and so threw in the towel. 

It feels good to win this. Big insurance companies are money-collecting machines. Nationwide is a huge money-collecting machine. I could've paid them. It was only $109 and the open collection was killing my Fico score, especially with it being neither a PIF nor a medical account. But I didn't owe them. I don't owe them. And now my CR reflects that truth. 

Updated in Post 8

[Anonymous]

Bobby Fuller Four! I love that song.

CONGRATULATIONS! Way to go.

[Pikaboo-icu]

Good on you for fighting the good fight! 

Well Done!

[AverageJoesCredit]

Forget Nationwide, i want James_A on my side

[Anonymous]

---

@AverageJoesCredit wrote:
Forget Nationwide, i want James_A on my side

---

Priceless! (I'm jealous I didn't think of that. Like totally.)

[Cred4All]

You had me hooked from the title, and I can't stop singing the song at this point.  Oh, and you also came out victorious...  you sir rock.

[19eighty5]

Congratulations on your win!

[Anonymous]

UPDATE:

I'm a bit embarrassed to admit what follows but it might serve useful to another member somewhere along the way, so:

Nationwide had pulled the same maneuver (see Post 1) on me two times.  Unbeknownst to me, when I switched auto carriers in 2015 to a Nationwide subsidiary, this new company said I owed a Nationwide balance ($98) from before (which struck me as odd, which I questioned, but only lightly) and which needed to be paid to put my policy in force. I paid it. 

This balace subsequently showed on my credit report as a zero balance collection account from 2014. When I was dealing with Nationwide in Post 1 it was in regards to the lapse of the subsidiary company's policy referenced in the previous paragraph. This charge ($109) was showing as an active collection account and still within the SOL. I placed greater emphasis on dealing with this active account first.

I had thought the removal of the paid collection account would ultimately be a "good will" situation -- the collector got their money after all. What would compel them to remove the zero balance account?

That was wrong thinking.

I called CCS yesterday and spoke to a frontline rep and said, "Hey, I have this old account with you folks that I paid years ago & I'd like to have it deleted from my credit report. BTW, I had another one too, just like this one, and because Nationwide wouldn't play ball with me -- even after I sent them scads of paperwork showing I didn't owe them a nickel -- I had to engage the CFPB to bother them on my behalf and -- guess what? -- they finally acted and removed it. Now, I'm okay with engaging the CFPB on my behalf again but it occurs to me I haven't yet given you folks the courtesy of requesting removal, without all the hassle. So, fine fellow, what say you?"

He said," Let me look here. Give me moment please. Yes, yes. I see. Okay, I will request we remove this for you. Expect it to be gone in 10-14 days but maybe longer. Call back if not gone in 30 days."

He also said, at the end of the call, "Thank you for calling Nationwide." I'd had no idea but it would seem the collection company is a subsidiary of Nationwide. Makes sense. Especially if they plan to routinely overcharge customers and then send it to collections.

This clears my TU entirely of collection accounts & charge offs. 1 30 day late remains (across the board) and a GW letter hit the mailbox yesterday. 

[Anonymous]

James_A ... thank you for the information and how you "fought the law and won" ... makes me feel like such behavior should lead to their loss of right to do business!!! SNAKES ... close them down

[Anonymous]

---

@Anonymous wrote:

James_A ... thank you for the information and how you "fought the law and won" ... makes me feel like such behavior should lead to their loss of right to do business!!! SNAKES ... close them down

---

Thanks, D. Big Business wants to ALWAYS have their hands in our pockets. It's what they do. But some are worse about it than others.