Can a collection come back on credit report?

[Wovenyarn]

I just received a letter from Midland for a debt that I previu owed to Beneficial. The debt is at least 7 years old and isn't on any of my credit reports. I haven't hea d from them in years. Right now I'm in the process of obtaining a mortgage so I'm wondering what can they do? Can they put the debt back on my credit report?

[Anonymous]

Not legally.

[Cotton_Britches]

No, they can't. The debt is too old.

[Anonymous]

It cant go back on your CRs and you cant be sued (assuming it is past the SOL) but the debt is still 'out there'.

Its a good opportunity to settle for very much less than the debt, as long as the mortgage lender doesnt insist it has to be satisfied immediately.

hth

[Wovenyarn]

My mortgage company doesn't know abt it. I'm already in UW and the letter just came today. The original debt was $6k. The Bill from Midland today was $21k.

[Anonymous]

The worst they can do is file suit, but once you respond that is it past the sol it would be thrown out. If you didn't freeze your reports before you started your mortgage app, be prepared for the bottom feeders to come crawling out of the woodwork. Kinda like cockroaches. They see a pending mortgage and think that if you can afford that, you must be able to afford their bill too.

[Wovenyarn]

Unfortunately I didn't know about that trick until after I applied for the home loan because I didn't know about this great forum. I just got worried because I don't want anything to stop my loan. I don't have a problem with settling with them but it will have to be a heck of a lot less than what they are asking.

[Anonymous]

What do you mean freeze your reports before aping for a mortgage? Do you mean opting out before apping?

I thought if you freeze your reports then it would make it difficult to apply for the mortgage.

[Wovenyarn]

I think he/she means opting out

[Anonymous]

Oops!  Yes, opting out. Sorry a bout the confusion. That's what I get for multitasking.