623 Process? Please advise...

[Anonymous]

I have a an old debt from Macy's CC reporting on my CRs. Thought it was paid in full but they're reporting an extremely late/neg balance on my closed account of 240ish.

I disputed with with all 3 credit bureaus and macy's verified it.

Today I Called Macy's.  They said I needed to be transferred to Citibank Internal Recovery Unit.

Citibank shared the following:

- Debt is beyond SOL (California) so they couldn't collect (but couldn't remove from credit report?).

- I asked for the info they had on it. She actually had notes on convos I had with Macy's, BUT could only speculate on what it was for (late fees compounded?)

- Said was not able to mail/email records to me (because it's beyond SOL and would technically be attempt to collect debt).

So for the purposes of 623, is there enough for me to send an ITS letter to the legal department?

- They won't give me written proof of debt.

- What she said over the phone wasn't itemized

Thoughts from anyone familiar with 623?

[rmduhon]

I don't know anything about 623, but being beyond the SOL doesn't affect the ability to report it to the CRA's unless the SOL for California is 7 years or more. The Credit Reporting Exclusion Period is 7.5 years from the Date of First Delinquency (DoFD) although the CRA's regularly exclude items at 7 years.

[medicgrrl]

Creditor's can still attempt to collect a debt after the SOL, they just can't bring legal action against you. Her comment makes no sense and she sounds uninformed. I would call back and ask to speak with a supervisor.

[RobertEG]

Are you referring to the requirment under FCRA 623(a)(1) that it is a violation to reporting knowingly incorrect information, the requirement under FCRA 623(a)(2) that a furnisher must promptly update reporting as necessary to maintain its current accuracy, or the direct dispute process under FCRA 623(a)(8) that relates to sending a direct dispute to a furnisher?

If you are referring to intent to sue based on section 623(a)(1) or 623(a)(2), a consumer has no right to bring their own private civil action for violations of 623(a).

Rather, they must first file a dispute, and then bring any civil action for violation of the reasonable investigation requirment made under the dispute.

See FCRA 623(c).