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Statue of limitation on a debt

dbenzy
New Contributor

Statue of limitation on a debt

I have two unpaid Midland collection accounts that have just gone past the seven year mark, and have been removed from the three reports.  I received a letter in the mail today that I was part of a class action lawsuit with Midland, and that I was getting a pro rate credit of $54.  It then states that since I never paid the accounts, the money will go to the money owed from the defendants, Midland Credit toward the original debts. 

 

My question is that if Midland receives the $54, will this cause these two accounts to reappear on my credit reports, and start a new date for reporting the old debts? 

FICO TU 721,, EX 705, EQ 715 Cap1 QS 11.3K, NFCU Sig GoRewards 17.5K,, NFCU Sig cash rewards 18.5k, NFCU Navchek 15K, Chase Disney 3K, Chase Amazon Sig 3K, PayPal Extras MC 6K, Bloomingdales 16K, Macy's Amex 19K, , Marvel MC 6K, Lowes 17K, Penfed 36K. Utilization 16%. Inquires 18 on each
Message 1 of 6
5 REPLIES 5
dbenzy
New Contributor

Re: Statue of limitation on a debt

Bump

FICO TU 721,, EX 705, EQ 715 Cap1 QS 11.3K, NFCU Sig GoRewards 17.5K,, NFCU Sig cash rewards 18.5k, NFCU Navchek 15K, Chase Disney 3K, Chase Amazon Sig 3K, PayPal Extras MC 6K, Bloomingdales 16K, Macy's Amex 19K, , Marvel MC 6K, Lowes 17K, Penfed 36K. Utilization 16%. Inquires 18 on each
Message 2 of 6
gdale6
Moderator

Re: Statue of limitation on a debt


@dbenzy wrote:

I have two unpaid Midland collection accounts that have just gone past the seven year mark, and have been removed from the three reports.  I received a letter in the mail today that I was part of a class action lawsuit with Midland, and that I was getting a pro rate credit of $54.  It then states that since I never paid the accounts, the money will go to the money owed from the defendants, Midland Credit toward the original debts. 

 

My question is that if Midland receives the $54, will this cause these two accounts to reappear on my credit reports, and start a new date for reporting the old debts? 


If the debt is excluded due to its age its gone for good. 

Message 3 of 6
RobertEG
Legendary Contributor

Re: Statue of limitation on a debt

The only permissible inclusion of information that has been excluded under any of the credit report exclusion provisinos of FCRA 605(a) are set forth under FCRA 605(b).

They are extremely limited, as follows:

"FCRA 605(b) Exempted
The provisions of paragraphs (1) through (5) of sub-section (a) of this section are not applicable in the case of any consumer credit report to be used in connection with

 (1) a credit transaction involving, or which may reasonably be expected to involve, a principal amount of $150,000 or more;

 (2) the underwriting of life insurance involving, or which may reason-ably be expected to involve, a face amount of $150,000 or more; or

 (3) the employment of any individual at an annual salary which equals, or which may reasonably be expected to equal $75,000, or more."

Message 4 of 6
RonM21
Valued Contributor

Re: Statue of limitation on a debt

You should not have to worry about this OP. Like gdale said, once it is removed, it is gone. This is assuming that it aged off. If so you should be fine.

                

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Message 5 of 6
dbenzy
New Contributor

Re: Statue of limitation on a debt

Thanks all!!

FICO TU 721,, EX 705, EQ 715 Cap1 QS 11.3K, NFCU Sig GoRewards 17.5K,, NFCU Sig cash rewards 18.5k, NFCU Navchek 15K, Chase Disney 3K, Chase Amazon Sig 3K, PayPal Extras MC 6K, Bloomingdales 16K, Macy's Amex 19K, , Marvel MC 6K, Lowes 17K, Penfed 36K. Utilization 16%. Inquires 18 on each
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