Confusing Verizon collection - next step?

[Anonymous]

Hi everyone!

I'm trying to get a Verizon collection off of my report as soon as possible so I can apply for a mortgage.  I called the executive office at Verizon to find out my options and was told they no longer own the debt.  It was sold to CBE group and to contact them.   CBE group is not reporting, Verizon is reporting it as an Open Revolving account with a note that says collection account.

I called CBE group and they told me Verizon does still own the debt and CBE group doesn't do any credit reporting.  Verizon contracted them to collect on the account for 180 days.  They can't do anything other than settle or take payment.  Verizon also said they can't do anything because they don't own it so...

What should I do with this one?  I think Verizon didn't give me accurate info and they do actually own it, but not sure.  Can I dispute based on this?  I have an email from Verizon saying they don't own it.

I also don't want to make things worse for my mortgage app, but need my score to be a little higher.  Should I send Verizon a dispute directly?

Thanks!

[RobertEG]

If the OC no longer owns the debt, then they are required under FCRA 623(a)(2) to promptly update their reporting to indicate $0 balance.

Have they done so?

If not, then their reporting is contradictory to the confirmation that they no longer own the debt that was sent to you.

You could thus use the dispute process to force the issue of ownership by disputing the accuracy of their reported current balance, as that reporting is also theri statement as to current ownership or sale of the debt.

However, that will not result in any requirment to delete their derogs, it will only result in either veriification that they still own the debt, or correction of the current balance to read $0.  It will also not address the real issue of getting the debt satisfied. 

I presume that you are not considering simply paying the debt, as that can be done via the debt collector, as you apparently need no pay for not reporting agreement with them if they dont report to the CRAs.

If your goal is deletion of the reported derogs by the OC, you can send them a formal pay for deletion request.  Howver, in view of their statement to you and also their reputation expressed by others posting here in the forum, they are highly unlikely to grant a PFD.

You dont actually have a reported collection,, you have derogs reported by the OC, with an indication that they have referred for collection.

If satisfaction of the debt is the requirment for mortgage underwriting, I would pay the debt collector and then begin a good-will campaign with Verizon regarding the deltieon of hteir derogs.  I dont see the advantage to pushing for determination of currernt ownership unless they would accept a PFD, so I would not recommend the dispute route, as it is more likely to have negative down-the-road implications in any future quest for a good-will deletion of their reported derogs.

[Anonymous]

Ok thank you!  Appreciate the feedback. 

So I did pay this off and asked for a goodwill deletion, but was denied.  I have a question about how this is reporting though.

On all 3 CRAs, it shows up as a revolving account with a past due balance of $747.  All 3 have statuses that indicate a collection.  On Experian only though, the payment history also shows several 90 day lates.  The account is pulling my score down more on Experian because it shows I have more recent late payments thanks to how this is reporting.  The other 2 CRAs don't show lates, just the collection status.

Questions:

1. I paid this about a month ago, but still shows past due.  Do you know how often Verizon updates?  Just left a message with the executive office and waiting to hear back.

2. Can Verizon report lates if the status is collection?  I think the answer is yes, but just getting desperate for something to fight on this one lol

3. I'm tempted to ask them to remove the lates on Experian and leave as a collection, but I'm afraid they might update the others to match and hurt me worse.  Should I even go down that road?

4. Do you think my score will increase when it's updated to paid?  Right now, the credit report "Credit at a Glance" section says Total Past Due Balance: $747.

Thanks again!

[Anonymous]

Verizon is a pain....

I also am trying to clean up my credit to buy a house. I had a Verizon charge-off from 06/2014. When I settled with CBE on 02/2016, Verizon updated to zero balance, paid for less than balance owed... And added string of late payments up to and including the paid month of 02/2016. Verizon will not budge when I ask for good will. In addition, they keep adding a comment of "customer disputes this account" that I can't get removed.

[RobertEG]

Yes, a creditor can report delinquencies in addition to a collection.

You always take a chance when you begin to dispute lack of consistency in reporting between the CRAs.

Lack of consistency, or even inaccuracy in reporting, is not basis for deletion of the account itself or of any other accurate reporting.

A furnishe always has the opportunity to correct any asserted inaccuracies.  They are not required to report each and every derog with each CRA.

When a consumer disputes lack of consistency in reporting between the CRAs, the easiest way for the creditor to address that dispute is to give the consumer what they request... consistent reporting with each CRA by adding all derogs to each CRA.  That is not likely what you seek, but it may be what you reap.

They are required, oncle paid, to promtply update their reporting to show paid, $0 balance.  Lack of prompt update may be a violation, but is not per se basis to requre deletion of accurate reporting of their account or other derogs.

[RonM21]

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@RobertEG wrote:

If the OC no longer owns the debt, then they are required under FCRA 623(a)(2) to promptly update their reporting to indicate $0 balance.

Have they done so?

If not, then their reporting is contradictory to the confirmation that they no longer own the debt that was sent to you.

You could thus use the dispute process to force the issue of ownership by disputing the accuracy of their reported current balance, as that reporting is also theri statement as to current ownership or sale of the debt.

However, that will not result in any requirment to delete their derogs, it will only result in either veriification that they still own the debt, or correction of the current balance to read $0.  It will also not address the real issue of getting the debt satisfied. 

I presume that you are not considering simply paying the debt, as that can be done via the debt collector, as you apparently need no pay for not reporting agreement with them if they dont report to the CRAs.

If your goal is deletion of the reported derogs by the OC, you can send them a formal pay for deletion request.  Howver, in view of their statement to you and also their reputation expressed by others posting here in the forum, they are highly unlikely to grant a PFD.

You dont actually have a reported collection,, you have derogs reported by the OC, with an indication that they have referred for collection.

If satisfaction of the debt is the requirment for mortgage underwriting, I would pay the debt collector and then begin a good-will campaign with Verizon regarding the deltieon of hteir derogs.  I dont see the advantage to pushing for determination of currernt ownership unless they would accept a PFD, so I would not recommend the dispute route, as it is more likely to have negative down-the-road implications in any future quest for a good-will deletion of their reported derogs.

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I'm with this thought process.  It is a good option to not having something backfire on you.