I haven't been able to find an answer to my question

[Anonymous]

I've been lurking and reading and reading and I am finding the information very informative, however I am confused as to which advice to take regarding the following:

I have an account on my CR from Dyck O'Neal, Inc.  Obviously, he is a debt collector.  The date of last activity is 10/02.  I believe that this company bought a second mortgage on my home that was foreclosed on back in 9/02.  The first mortgage shows "foreclosure" on my CR, but Dyck O'Neal is showing his debt that he bought as an "installment loan" and that I owe him $26,000 odd dollars.  My question is this:  I have disputed this with the CR's 3 times, and they come back with the simple "validated" on this.  I have filed a complaint with the Attorney General just last week.  I don't remember if I got anything from Dyck asking to validate this debt and I was going to send a DV letter.  I am seeing on the threads that you shouldn't send a DV letter unless the SOL has expired?  Is that true?  Should I not request that he must "validate this debt"?  I am just going by my instinct that he bought the second mortgage debt for "pennies on the dollar" and is now trying to collect?  What are my rights for this? Will he have to remove this in 10/09 when the 7 year SOL runs out? 

Thanks to anyone who will give me advice on this, - also wanted to say thanks because I sent a GW letter to one other on my CR and they removed the delinquency notation!  YEAH!

One more question, we have this new company called "Credit Repair" that just opened an office in SC.  Are these companies worth paying to repair your credit?  Just curious, I wasn't thinking of using his services, but wondered what everyone else's thoughts were on this type of company.  Thanks again~!

[Anonymous]

The company's website says they purchase and recover real estate deficiencies. It sounds like when the house was foreclosed on and sold, there wasn't enough money made from the sale to cover both mortgages and you were left with a 26k balance on the second mortgage. Personally, if it was still within SOL, I'd leave it alone unless you're prepared to pay if they sue.

Congrats on the GW success!

As for credit repair companies, my personal opinion is you're better off doing it yourself. It's a lot cheaper. Also CRAs and creditors are aware of these companies and will often refuse to investigate if they believe you're using one. Just read everything you can on these boards (even if the topic doesn't seem like it's for your situation, sometimes there will be a little tidbit of info that can help you) and ask questions if you don't understand.

If you do your homework and stick with it, you will see results. Just be persistent. If one way doesn't work, take a look at it again and try from a different angle. I've went from low 500s with no open tradelines when I started in October to scores in the 600s and 700s with 3 new tradelines in just 6 months.

[Anonymous]

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Scutterbug wrote:

 I am seeing on the threads that you shouldn't send a DV letter unless the SOL has expired?  Is that true?  Should I not request that he must "validate this debt"? 

If you are within SOL, you may wake a sleeping dog. Meaning, you will draw attention to the account, they could realize it is still outstanding and you are within SOL. Then they will probably take the steps to get you in court. You can DV if you want, just be prepared for the outcomes. Check your state laws regarding foreclosures and amounts not covered.

 What are my rights for this? Will he have to remove this in 10/09 when the 7 year SOL runs out? 

I think you are referring to the 7 year CRTP(Credit Reporting Time Period). This goes from the date you went deliquent on the account and is 7-7.5 years and yes it will have to be removed. SOL goes by state and type of account. Check SOL here-

http://www.bankrate.com/brm/news/cc/20040116b2.asp?caret=8

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[Anonymous]

Thanks Sidewinder! On the website you gave me, for North Carolina, there's not a listing for collection accounts, would I go by Promissory Notes?  If so, then that's 5 years and that would be up right?  Since it was a mortgage to begin with but he is reporting as an installment loan?  Let me know that would be awesome if I could get it taken off!

Thank you again!

[Anonymous]

Thanks so much.  I understand about the deficiency and I'll look to see if I can find the foreclosure laws in NC that talks about deficiencies.  I certainly am trying!  Just sent GW letters to all the other ones on my CR. When I was going through the foreclosure I also was having credit card issues and went with Consumer Credit Counseling and I paid off all my debts in full, but those companies were even reporting delinquencies when I was paying  them on time each and every month.  So hopefully, they'll remove those.  I don't know if they can do that or not, but it certainly seems wrong to report something being paid late just because you are with a credit counseling company. 

[Anonymous]

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@Anonymous wrote:

When I was going through the foreclosure I also was having credit card issues and went with Consumer Credit Counseling and I paid off all my debts in full, but those companies were even reporting delinquencies when I was paying them on time each and every month. So hopefully, they'll remove those. I don't know if they can do that or not, but it certainly seems wrong to report something being paid late just because you are with a credit counseling company.

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Unfortunately, that's not atypical. The CCC's version of "on-time" means "regular enough to avoid going into collections," not "regular enough to be reported to the CRAs as on-time."

[Anonymous]

Chapter 45 of the NC General Statutes covers mortgages. I would also try to nail down if this company would be considered a CA. If they are considered a CA, they've already dug themselves a hole because they're not licensed to collect in NC from what I can tell. You'll want to check out Article 70 of Chapter 58 if they are considered a CA. If they're not considered a CA, you'll want to check out Article 2 of Chapter 75 which covers all other debt collectors.

[Anonymous]

Thanks again!  It seems that he is a CA, and by the website they can do business nationwide.  So I'm not sure how else to check if he is licensed in NC.  And something else that is boggling the fool out of me is that every mortgage company that I talk to says that this Dyck O'Neal can keep reporting this debt each month and even if it's after the  years that he can still report it each month!!!!!!  What is the truth on this one?  Is it that after 7 years from the 1st date of delinquency that it has to be removed from my credit?  Why are people telling me that he can report it every month and that it's possible that it'll stay on my credit forever!!!!!!!  WHAT????? 

Thanks for all your help.  I just want a straight answer and there is so much conflicting information out there.  I just want to know about this 7 year time period.  If my first date of delinquency is 10/02, in 10/09 will he have to be removed from my credit report?  and never to return, or is it true that he can report each month and it go on and on forever?

B

[Anonymous]

Thanks again!  This is boggling the fool out of me.  Every mortgage company that I talk to says that this Dyck O'Neal can keep reporting this debt each month and even if it's after the  7-7.5 years that he can still report it each month!!!!!!  What is the truth on this one?  Is it that after 7 years from the 1st date of delinquency that it has to be removed from my credit?  Why are people telling me that he can report it every month and that it's possible that it'll stay on my credit forever!!!!!!!  WHAT????? 

Thanks for all your help.  I just want a straight answer and there is so much conflicting information out there.  I just want to know about this 7 year time period.  If my first date of delinquency is 10/02, in 10/09 will he have to be removed from my credit report?  and never to return, or is it true that he can report each month and it go on and on forever?

[Anonymous]

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Scutterbug wrote:

Thanks Sidewinder! On the website you gave me, for North Carolina, there's not a listing for collection accounts, would I go by Promissory Notes?  If so, then that's 5 years and that would be up right?  Since it was a mortgage to begin with but he is reporting as an installment loan?  Let me know that would be awesome if I could get it taken off!

Thank you again!

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I'm sure it would be promissary note, maybe written. Just b/c SOL is out doesn't mean you can have it removed, it means that if they sue and you appear in court and use "expired SOL" as your defense, they won't win.