Need help with a question

[Anonymous]

I had an account with Penn Foster online school it was for the GED program and I didnt pay the bill and it went to collections and they sold it to someone else. Well they sold it to someone else and now its reporting that is only 3 months old. This happened about 4 years ago. Will this ever drop off if it keeps being reported as new every time they sell it? I had my score up to 700 and because they sold it and it reported as a new degrotory account I took a hit of 25 points. Please help? Thank you advance. 

[Girlzilla88]

@Anonymous        The person/Collector that gets it 9 out of 10 will report it so it is possible for it to restart the clock upon receiving it if it is switching hands.   Can you see about PIF for a PFD?!     Otherwise it looks like it will be another 7ish years on your report

[Anonymous]

Now if this new creditor who bought it sells it to someone else will it start over? I thought things could only stay on your credit report for 7 years? They can just sell it so it starts he 7 years over for the same bill? 

[OmarGB9]

---

@Girlzilla88 wrote:

@Anonymous        The person/Collector that gets it 9 out of 10 will report it so it is possible for it to restart the clock upon receiving it if it is switching hands.   Can you see about PIF for a PFD?!     Otherwise it looks like it will be another 7ish years on your report

---

No, that's not correct. Regardless of how many times it is sold and switches hands, the DOFD is what starts the 7 year clock. Once that elapses, it can no longer be reported on a CR. However, that does not mean the debt is no longer owed, and, depending on the whether the consumer made contact with one of the CAs and admitted to the debt/made a payment/made a payment arrangement, the SOL, which is not the same as the reporting period, may have been reset and therefore the consumer could still be sued.

OP, the date you're seeing on your report is the open date of the collection account, not the original charge off. The original account may or may not be still reporting on your credit report. Pull a 3bureau report from annualcreditreport.com and find the original Penn Foster account, and find out when the first missed payment leading up to the chargeoff happened. That will be your DOFD. Then, add 7 years to that, and that'll tell you when it's scheduled to fall off.

[Anonymous]

---

@OmarGB9 wrote:

---

@Girlzilla88 wrote:

@Anonymous        The person/Collector that gets it 9 out of 10 will report it so it is possible for it to restart the clock upon receiving it if it is switching hands.   Can you see about PIF for a PFD?!     Otherwise it looks like it will be another 7ish years on your report

---

No, that's not correct. Regardless of how many times it is sold and switches hands, the DOFD is what starts the 7 year clock. Once that elapses, it can no longer be reported on a CR. However, that does not mean the debt is no longer owed, and, depending on the whether the consumer made contact with one of the CAs and admitted to the debt/made a payment/made a payment arrangement, the SOL, which is not the same as the reporting period, may have been reset and therefore the consumer could still be sued.

OP, the date you're seeing on your report is the open date of the collection account, not the original charge off. The original account may or may not be still reporting on your credit report. Pull a 3bureau report from annualcreditreport.com and find the original Penn Foster account, and find out when the first missed payment leading up to the chargeoff happened. That will be your DOFD. Then, add 7 years to that, and that'll tell you when it's scheduled to fall off.

---

+1

The 7 year reporting period is 100% never reset no matter how many hands it passes through.

SOL to be sued can be reset by confirming the debt is yours, agreeing to a payment arrangement, and/or making a partial payment.

As mentioned abive, just because it falls off your CRs does not mean it disappears and you no longer owe it. It will keep passing hands and you will likely keep being contacted by it.

When a new CA reports after it had not for awhile, it is a new update and will bring your scores down. This will be cyclical until it finally ages off. CAs generally report monthly, so it will keep those scores supressed. The OC had not updated in a while, but once in the hands of a CA, they will usually maintain reporting monthly.

Again as mentioned abive, pull all 3 CRs for free from annual credit report (no scores).

TU will list "estimated date of removal"

EX will list "on record until"

EQ will list "date of first delinquency" (*not* date delinquency was reported) and add 7 years to that date.

Good luck!