I have a collection account with Unifund, my last one! I called to try and settle the debt, they told me they are no longer collecting on my account and within 30 days they will no longer report negitive on my report. Does this mean that they are going to remove. They wouldnt take any money, just said they arent collecting on it any longer. Thoughts?
That is what should happen. Of course, its likely been sold so someone else will pop up and want to be paid.
While neither the FCRA nor the FDCPA require a debt collector to delete their reported collection if the debt remains unpaid and their collection authority has been terminated, the CRA reporting manual used by the big-4 CRAs, titled the Credit Reporting REsource Guide, includes such instructions.
The CRAs have that internal policy in order to thereafter preclude the simultaneous showing of multiple collections on the same debt, as after a debt collector 1 has their collection authority rescinded, the owner can then assign or sell to another debt collector 2, who can then immediately report their collection to the CRAs.
If you have clear showing that the debt collector no longer has collection authority, you can dispute the lack of deletion of their collection based on the standard CRA reporting policy, as clearly stated in their common reporting manua.