Can a creditor refuse to tell you who holds your debt?

[Anonymous]

I've been trying to contact the OC on a debt (who is still the listed creditor on my reports), and they referred me to a Constar Financial-who in turn told me they couldn't deal with me really. Constar is non-reporting and told me they did not buy the debt and don't have authority over the debt. The OC refuses to tell me who to deal with however.

So what do I do? I assume the OC still holds the debt since it wasn't sold, and that I should push to settle with them. They're basically ignoring me though.

There's gotta be some law or rule that says you have a right to be told who holds your debt, and in turn be able to pay or settle with them! I'm rebuilding my credit and it's been going great...would really love to settle this and pay.

Thanks in advance for any and all help!

[Anonymous]

Have you tried disputing it with the credit bureau? 

[RobertEG]

You appear to have two separate issues.  First, determination of who owns the debt, and second, who is willing to negotiate with you.

As for item 1,, the FCRA indirectly requires the creditor, if they have reported,, to keep you apprised of whether they still own the debt.

FCRA 623(a)(2) requires any party who has reported information to a CRA to promplty update that reporting as necessary to maintain its current accuracy.

If they sell the debt, they must promptly update the balance on your account to $0, which indirectly informs you that they no longer own the debt.

There is no federal regulation of which I am aware that additionally requires they provide you the name of the new owner.  The only applicatible federal stattute is that if/when the new owner initiates communication with you regarding the debt,they must provide dunning notice within 5 days thereafter, one requirment of which is to inform the consumer who now owns the debt.

Perhaps your state has regs requiring notice of transfer of ownership upon sale of a debt, as it would thereafter be necesssary for the consumr to continue to meet their payment obligations under the terms of their contract establishing the debt.

As for issue 2, a creditor is within their rights, if they haire a debt collector, to therafter refer all payment related matters to them.

The consumer already knows how to pay under terms of their contract with the creditor, and the creditor is not required to negotiate new terms, such as a settlement or a PFD.  However, I assume state law would similarly require that they advise the consumer of any change in who they must direct payments to.

I would consult an attorney in your state for advice on your state laws and regs relating to your ability to fulfill the terms of your contract.

[Anonymous]

As for item 1,, the FCRA indirectly requires the creditor, if they have reported,, to keep you apprised of whether they still own the debt.

They wouldn't/won't. Keep hemming and hawing-then referred me finally to that Constar who told me they have no real authority over the debt and if I want to discuss terms of settling, to contact the OC. Constar is just a debt collector I'm assuming.

As for issue 2, a creditor is within their rights, if they haire a debt collector, to therafter refer all payment related matters to them.

The consumer already knows how to pay under terms of their contract with the creditor, and the creditor is not required to negotiate new terms, such as a settlement or a PFD.

This is what's frustrating. I have no problem dealing with the debt collector-but they're telling me if I want or need to do this and that, to contact the OC. Unfortunately, I do need this or that-this isn't a straight forward "here's your money." Still doesn't make sense though because he told me several times that they have no authority.

I would consult an attorney in your state for advice on your state laws and regs relating to your ability to fulfill the terms of your contract

I asked him to try to handle this while I have him dealing with another thing. Got a worse run around than I did!

This is so weird. This is the second situation where it seems like no one wants my money.

ETA: Forgot to mention, one of the reasons that it's important to know who currently holds the debt, is because I was going to try and have my attorney resolve this for me.

[Anonymous]

Hi Ericuda,

I haven't done that because it is valid, and I'd rather just settle if they'll let me (can't pay it in full unfortunately).

Thanks!

[Anonymous]

I have had to chase debts before. The OC could tell me who they sold to. I'd call them then the CA would tell me who they sold it to, then the next CA.... I had a few that bounced to 3-4 different companies.