How to Proceed

[amberlyth]

I owed my former community college tuition (not a student loan) from my last semester there a few years ago. It was assigned to collections agency W&F in 2012, and was returned to the school in February 2013 of this year.

I paid the college in full in June over the phone (after many months of saving) and all holds on my account and transcripts were released within 48 hrs.

The problem is that W&F is still reporting as an open collection on TU (last updated 01/2013). How do I get this account removed from my report? Do I file a dispute with TU, or do I contact the CA directly?

[madmann26]

I would start by talking to someone at your school that deals with non-payment and/or sending accounts to collections. If you paid the school directly, then the school should be able to pull back the collection account from W&F.

You can also send a DV to W&F. This will make them prove that they have a right to collect, which in this case it seems, they do not.

[tfkallday]

I am not sure this is the same scenario but I will offer my .02 cents.  I had a Perkins Loan go in default with my school and was sent to W & F.  Now I know this was a "loan" but  W & F let me rehabilitate the debt fully and said that once I do (I complete it next month), they will notify the school.  The school has agreed with me to, when its all said and done, report the loan as healthy .  I am hoping to just get it deleted and probably will as I have a good relationship with my school.  Keep us posted

[Anonymous]

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@amberlyth wrote:

I owed my former community college tuition (not a student loan) from my last semester there a few years ago. It was assigned to collections agency W&F in 2012, and was returned to the school in February 2013 of this year.

I paid the college in full in June over the phone (after many months of saving) and all holds on my account and transcripts were released within 48 hrs.

The problem is that W&F is still reporting as an open collection on TU (last updated 01/2013). How do I get this account removed from my report? Do I file a dispute with TU, or do I contact the CA directly?

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All collection accounts are reported as open accounts.  Does it show paid?  Is it a 3rd party collection agency?

If it is a 3rd party or JDB, when an account is returned to the OC, that collection must be removed from your CR per the Credit Reporting Resource Guide.  I would write a GW letter asking them to remove it and reference the Reporting Guide.

[amberlyth]

It shows as unpaid, and was last updated on the report a month before it was returned. I think the CA is a third party, but I'm not sure.

I spoke to the A/R department at the college about pulling back the account recently, and they said I had to talk to the CA to get "closure" and gave me a toll-free number. I'd prefer not to talk to the CA on the phone if at all possible.

I'll look into the GW letter a bit more, I think. Thanks for the help.

[RobertEG]

Their obligation under the FCRA once the debt is paid is to report their collection as closed, and the amount under collection as $0.

As suggested by guiness56, I would rely upon the policy of the CRAs, as expressed in their credit reporting manual, for pursuing deletion of the collection.

There is no statutory basis for requiring CR deletion based on satisfaction of the debt, as the fact of there having had collection authority is not negated by the ultimate payment of the debt.

[amberlyth]

I sent a goodwill letter via the company's website a couple of months ago. I checked my TU report today, and the account has been deleted! Thanks again for the advice.