Cleaning Up Credit... SOL confusion

[Anonymous]

Ok. Well I've gone through all my reports, and it looks like I'm passed the SOL for almost all of my debts.... Depending on when the SOL starts, that is. Experian doesn't show the date of first delinquency or date of last delinquency. When should I calculate the start of SOL for those accounts?

Also, before I checked this site, I received a letter from a company threatening to "take legal action to resolve the debt." I called the company back in Nov 08, and set up a settlement agreement with them. They auto-deduct payments from my checking account and send me a receipt/statement each month that shows how much I have left to pay on the settlement. I wish I had known the company was outside it's SOL for that debt, but now that I'm making payments monthly, have I reset the SOL? Also, if I continue to make these payments, is there any way to know that the CA will not pursue me in the future?

I have also noticed that accounts and collections I have previously paid, are still showing up on my credit report as paid collections. Some of them erroneously show up with balances still, and I've sent in dispute letters to all three bureaus. First of all, can the OC still report on an account they have charged off that is also being reported on by a CA? Secondly, will the paid collections stay on my report 7 years from the date I paid them or the date I took out the credit?

[guiness56]

I will try to answer all of your questions.  There are 2 different SOLs.  One is for how long a negative item stays on your CR.  This is federally mandated and is 7 - 7.5 years from the DOFD.  It is determined by the OC.  The date you got behind and never caught up causing it to be CO or sent to collections.

The other SOL is state mandated.  This SOL is the timeframe in which you can be sued for a debt.  Each state is different and the CA can use the state you are in or the state the debt occured in for the SOL.  Generally, they will choose the one that helps them.  All states have different laws.  Look them up and see what they say.  Depending on the law, you more than likely reset the SOL by making payments.  And no, just because you are making payments does not mean they can not sue you.

Once a collection is paid it should show paid collection and no longer have a balance.  It is up to the CA reporting to fix this with the CRA.

A paid collection stays on from the DOFD, not the date paid or the date you took the credit.

Yes, the OC can report a CO account along with the CA.  The OC must show a zero balance.

 It would help if you could post your accounts, leaving out personal information.  Seeing how it is actually listed will help in determining the action you should take.