Cable company and two different collection companies
So I have a past due account with a cable company. But it shows up on my CR from two different collections companies. One for 526 and another for 249. I have paid these both through the cable company and not the collections company.
When I called the collections company they said they will up date the account to paid. Since I paid the cable company directly, shouldn’t the collections company delete the trade line?
Re: Cable company and two different collection companies
When a first debt collector has their collection authority terminated, they are required per the CRA reporting manual to delete their collection if the debt remains unpaid. That CRA policy is implemented for the express reason of preventing multiple collections from simultaneously reporting on the same debt, as after a first debt collector has their collection authority terminated, the debt can then be referred or sold to a new debt collector, who can then immediately report their own collection.
You can thus file a dispute with the CRA contesting the lack of deletion of the first collection based on established CRA reporting policy.
However, payment of a debt to the original creditor does not create any requirment for a debt collector to delete their collection.
The debt collector is only required to update the collection to closed and the balance remaining under collection to $0.
You must get the creditor to actually terminate assigned collection authority to the debt collector prior to paying the debt in order to put into play the CRA deletion policy.
Pursuit of deletion of the second collection now requires sending a good will deletion request to the debt collector.