@Anonymous wrote:
I have a $3000 bill going into collections soon. When the bill goes into collections can the collection agency report it to the credit bureau immediately once they recieve or do they have to send me a letter first and confirm the debt is mine? just wanted to know so I can get on a payment plan once it goes to collections before it goes on my credit report.
The last thing you want is a fresh collection hitting your credit report.
Since it is a medical debt (with the new CRA agreements) you do have a couple of months before it starts reporting. You could drop 50 or more points and have to endure this derogatory holding down your credit score for upwards of 7.5 years. A blemish that other creditors will see and could consider when it comes to extending credit and determining your risk factors.
Now is the time to connect with the creditor and come to some type of agreement that is doable for you and acceptable to them.
Some creditors will work with you when you provide extenuating and or mitigating circumstances and you demonstrate a strong desire to settle the debt. Hopefully this is one of them.
Time is of the essence and always realize if one customer rep is not helpful another might be or try to escalate to a higher authority who may have more power in resolving the issue.
Perserverance generally wins out.
Good luck!
