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Debt Validation question

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Anonymous
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Debt Validation question

I sent DV letters to my last 2 collections and have been very persistent in trying to remove them.

 

Well ERC sent me a bill back after DV letter - Going to try and send PFD letter.

 

IC Systems - To which I had (2) banfield collections. I sent them one over a  month ago and heard nothing back. Well today the collections were deleted from my Experian! 15 point boost.. yes!!

Question is.. will they also delete from TU? Or maybe TU is delayed in reporting? I originally disputed it.. Equifax deleted it but stayed on TU and EX. I'm just wondering if I'm getting excited for nothing. I need to keep my TU score in good shape! Really hoping they will.

 

Also.. has anyone had any luck in a PFD with ERC? I hear they are pretty tough to beat on that end.

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1 REPLY 1
RobertEG
Legendary Contributor

Re: Debt Validation question

A timely DV request does not set any period for response, and in fact, the debt collector can never respond.

It imposes a cease collection bar, which remains in effect until such time as they provide validation.

 

If a debt collector obtains a timely DV, they can then do an internal review to determine whether they have adequate basis for verification of the debt.  If they cannot make reasonable validation, they can choose to simply cease collection activities and hope for the consumer to then give in and pay, or they can terminate their collection agreement with the creditor by terminating their collection assignment (if they dont own the debt), or sell the debt to another debt collector (if they own the debt).

 

CRA policy instructs debt collectors to delete their reported collection if their collection authority is terminated and the debt remains unpaid.

Once a debt collector has had their collection authority terminated, a new debt collector can then acquire authority and immediate report their collection to the CRAs.  If the terminated collection were to remain, then two collections would simultaneously be included in the consumer's credit report on the same debt.  The CRA deletion policy is intended to avoid that double inclusion of collections by instructing a first debt collector to delete their collection upon termination of their collection authority if the deb remains unpaid.

 

Thus, deletion of a collection after sending a DV is often done when the debt collector has decided to bale on continued pursuit of the debt.

A new collection by a new debt collector can follow.

You are likely correct in expecting that a new collection may soon follow......

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