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Need Help in Disputing Collection Record

xecutioner
Established Member

Re: Need Help in Disputing Collection Record

I just want to share with you all from my past experience when I tried to dispute collection accounts, charge-offs, late payments, etc. in 2009 using online template. Most of my disputes came back unsucessfully. I continued to dispute with the credit bureaus for over 3 months hoping they would at least delete something, but nothing happened. I received letters from Experian informed me that they will not re-investigate on verified items. It was very hopeless to continue, so I began to seek some help with Lexington Law firm. I called Lex Law, and have a free consultation with them. They tried to convince me to sign up with $99 down in addition to monthly fees between $50-100, and promised most of my collections and charge-offs will be deleted within 3-6 months. I wasn't convinced, so I told them I would pay up to $1000 up-front with a written contract if they successfuly remove all negatives in my reports.....Lex Law refused....they're pretty much a scammer. Don't think because they're law firm means they can do better than you can. In fact, anything they can do, you can do better....that's my believe. ( I learned that the hard way in real life...with Orthodontics. The ones who do the job right the first time, ones with experience will most likely won't charge you a consultation fee at all).

 

For the last two months, I decided to give it a try again. This time, I wrote my own unique template. Just make the template as short as possible so that it takes less than 20 seconds for the reader to get the detail. Dispute 1-2 accounts or negative marks at a time. Don't try to be greedy to save time by disputing multiple items at a time. [Just remember the concept of a female wearing her skirt: long enough to cover the detail, and short enough to make it looks interesting].

 

OP: if I were you, since you didn't recognize the chargeoff account is mine. I would purchase the credit reports from all 3 credit bureaus, and then dispute any inaccurate items using the traditional $0.44 stamp and send it to all 3 credit bureaus. You don't need to waste money using certified mail. There is also the fourth credit bureau called Innovis (innovis.com). You might want to make sure they report your info accurate too.

 

Good luck to you

Message 11 of 19
RobertEG
Legendary Contributor

Re: Need Help in Disputing Collection Record

Suggested DV letter (send,of course, only to the CA, and not the CRAs), tailored to your facts:

 

"This is a request, under FDCPA 809(b), for debt validation.  This is not a dispute under FCRCA 611(a) or 623(a)(8).

 

"As a preliminary identification of the debt and of your reporting of collection therof, it relates to a collection account that you reported to the credit bureaus back in March, 2008, witth the following identifying information:

                                 (account no, etc, as identified in your credit report)

 

"I am at a distinct disadvantage in filing of this debt validation request due to your failiure to have ever provided me proper collection (dunning) notice under FDCPA 809(a), as was your requirement to have done within 5-days of posting this collection to my credit file more than two years ago. 

 

"Notwithstanding your apparent violation of FDCPA 809(a), I have now obtained your correspondence address, and thus forward this timely debt validation notice to you. I will leave the issue of your FDCPA violation for separate complaints on my part to the FTC and my state attorney general. 

 

"I request, under FDCPA 809(b), verification of the debt, along with the name and address of the original creditor.

 

"Under the provisions of FDCPA 809(b)., you are required to cease all further collection activiies related to this alleged debt until such time as you have provided me the requested validation."

 

 

 

 

Message 12 of 19
AndySoCal
Valued Contributor

Re: Need Help in Disputing Collection Record

This is definitaly a medical collection account. The  way it is reporting of it because of the FACT Act. T=You should be able to cal lEquifax and get the original creditor and collection agency from them.

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Message 13 of 19
zoro
Visitor

Re: Need Help in Disputing Collection Record

Yes, I called the buro and it turned out it is a medical collection for $150. It was from a hospital we went from time to time for emergencies. The thing is that they always collect the co-payments on the spot - you can't leave without aranging the payments due. We have never got a bill from them either and the buro said the service occured Ma 1 2008. I am disputing it with Equifax now and I guess I should call Experian and Trans Union too.

Message 14 of 19
zoro
Visitor

Re: Need Help in Disputing Collection Record

I am furious! I just got the results of the dispute saying: "This creditor has verified to Equifax that the balance is being reported correctly." I guess they are saying the collection stays as it is on my report. But I have not disputed the correctness of the reporting - I can't say if it is right or wrong, since I have never received a bulling statement telling me what is it for. Never got a call, letter or anything... We've probably went after that for other services and no one said anything!!! What can I do from this point on? In the letter the bureau also says:

 

"If you still disagree with an item after it has been verified, you may send to us a brief statement, not to exceed one hundred words (two hundred words for Maine
residents), explaining the nature of your dispute. Your statement will become part of your credit file and will be disclosed each time that your credit file is accessed.
If the reinvestigation results in a change to or deletion of the information you are concerned about, or you submit a statement in accordance with the preceding
paragraph, you have the right to request that we send your revised credit file to any company that received your credit file in the past six months (twelve months for
California, Colorado, Maryland, New Jersey and New York residents) for any purpose or in the past two years for employment purposes."

 

Obviously, I can request re-investigation, but this time I should be more careful how I approach that I guess. Is there something else I can\should do? It does not make sense this to be lawful and not fare at all. How does one know he owes something if noone tells him that?

 

Please help!

Message 15 of 19
O6
Senior Contributor

Re: Need Help in Disputing Collection Record


@zoro wrote:

I am furious! I just got the results of the dispute saying: "This creditor has verified to Equifax that the balance is being reported correctly." I guess they are saying the collection stays as it is on my report. But I have not disputed the correctness of the reporting - I can't say if it is right or wrong, since I have never received a bulling statement telling me what is it for. Never got a call, letter or anything... We've probably went after that for other services and no one said anything!!! What can I do from this point on? In the letter the bureau also says:

 

"If you still disagree with an item after it has been verified, you may send to us a brief statement, not to exceed one hundred words (two hundred words for Maine
residents), explaining the nature of your dispute. Your statement will become part of your credit file and will be disclosed each time that your credit file is accessed.
If the reinvestigation results in a change to or deletion of the information you are concerned about, or you submit a statement in accordance with the preceding
paragraph, you have the right to request that we send your revised credit file to any company that received your credit file in the past six months (twelve months for
California, Colorado, Maryland, New Jersey and New York residents) for any purpose or in the past two years for employment purposes."

 

Obviously, I can request re-investigation, but this time I should be more careful how I approach that I guess. Is there something else I can\should do? It does not make sense this to be lawful and not fare at all. How does one know he owes something if noone tells him that?

 

Please help!


It's no surprising.  As long as the creditor tells the credit bureau (CRA) the tradeline is accurate, the CRA does not delete it.  Your beef is with the creditor, not the CRA on this one.

 

Have you moved or changed address since the date they say you incurred the debt and now?  Have you sent a DV request to the collection agency? 

 

I would also start looking for proof that you paid the hospital the co-pay.

IAALBNYL
Message 16 of 19
zoro
Visitor

Re: Need Help in Disputing Collection Record

Yes we moved June 2010 to a different state, but the service or whatever it is they say occurred May 2008. For 2 years we have not heard anything from the creditor\hospital. We tried to find out if we made a payment, but can't locate it at this point. It is most probably a co-payment, but we don't think the co-payments ever went to $150 with the insurance we had. What we remember is that for the 10 times or so we've been there they do not discharge you before you pay whatever it is needed to be paid.

 

I am going to write a DV letter using one of the templates provided in this post.

 

Should I call ether the creditor or the CA at this point on the phone? Or I must not.

Message 17 of 19
O6
Senior Contributor

Re: Need Help in Disputing Collection Record


@zoro wrote:

Yes we moved June 2010 to a different state, but the service or whatever it is they say occurred May 2008. For 2 years we have not heard anything from the creditor\hospital. We tried to find out if we made a payment, but can't locate it at this point. It is most probably a co-payment, but we don't think the co-payments ever went to $150 with the insurance we had. What we remember is that for the 10 times or so we've been there they do not discharge you before you pay whatever it is needed to be paid.

 

I am going to write a DV letter using one of the templates provided in this post.

 

Should I call ether the creditor or the CA at this point on the phone? Or I must not.


IMO there are three things to take care of:

 

1.  Is the OC correct in their claim that you owe them this money.

2.  Can the CA try and collect on the debt.

3.  Eliminating the damage to your credit report.

 

There is a chance that the medical service provider has made a billing error.  I would contact the OC and seek documentation on the charges and then look for records showing that you paid them.  If you cannot show that they have been paid and the hospital doesn't admit to a billing error, you may be stuck having to pay.

 

DV the CA.  If you submit a DV within 30 days of first dunning, they must cease collection activities until they respond to your DV request.  At this point sometimes this means the tradeline must be removed from your credit report.

 

If you ultimately are stuck with the debt, negotiate with whomever is reporting a pay-for-delete.  You offer to pay them the debt for their guarantee to remove the tradeline completely from your credit report.

 

There is also a HIPPA process for medical debts, but I am unfamiliar with that process.  Others here can steer you in the right direction regarding HIPPA.

 

 

 

 

IAALBNYL
Message 18 of 19
RobertEG
Legendary Contributor

Re: Need Help in Disputing Collection Record

Another, amongst many reasons, of why I would never, ever, as a consumer, dspute accuracy of credit reporting by going through the CRA dispute process under FCRA 611(a).  Dont dispute through a CRA!

The CRAs reduce your reasons and information supporting your dispute to a three digit code under their automated e-Oscar dispute process before sending anything to the creditor who reported the informatilon, and thus who is the real party at the heart of the disputed information.  The CRA rarely, if ever, includes your supporting documentation when referring it to the credtior through e-Oscar  for their response.  Then they get a coded response back from the creditor under the e-Oscar process, which again, is just a three digit code..  Then the CRA has a right to do their own "reinvetigation."  It is, in my opinion, a totally stupid dspute process.  It will, in well over 90% of disputes, result in a mere rejection of your dispute. And it wll seriously prejudice your rights for a renewed dispute.

 

That is EXACTLY why the new direct dispute process under FCRA 623(a)(8) now exists.  It became fully effective on 7/1/2010.  It allows you to totally bypass the CRAs in any dispute, and directly forward your arguments and documentation to the creditor/CA.  If consumers use it, then it will totally kill both the sanitization of their e-Oscar process, and any other decision making that the CRA previously made under FCRA 611(a).

 

Here is what you have to provide as a notice of direct dispute to the party who has posted to your credit report:

 

This is a Notice of Direct Dispute with you, under the provisions of FCRA 623(a)(8)(D), of the accuracy of information you have posted to my credit file.

 

“In compliance with FCRA 623(a)(8)(D), this Notice includes:

“Identification of the specific information being disputed:

            (specify the account(s) numbers, and the specific information being disputed)

“Basis for the dispute:

            (how the reporting was inaccurate)

“Supporting documentation:

            (all documents that support your dispute; make sure to include,

             as part of your documentation, a copy of the portion of your

             recent credit report showing their reporting of the disputed information

 

“Under the provisions of FCRA 623(a)(8)(E), you have the duty to review all of the information in my notice of dispute, and to complete your investigation, and report back to me within 30-days of my notice of dispute..”

 

DV letters are not dispute letters.  They are collection practice letters.  Sure, send a DV letter, but if the basic information is disputed, DV letters dont address that.

And you cant DV an OC, and thus is not a means to adress the accuracy of their original reporting.

You must also dispute to address the root issue.

 

 

Message 19 of 19
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