Old Collections Added To TransUnion Credit Report, What Can I Do?

[FreakyFreak87]

Okay, I have a collections that is almost 6 years old, it's off of Experian and Equifax and was not on my TransUnion.

Well I guess in the past month some new debt collector has acquired my almost 6 year old debt and reported it to TransUnion as NEW, not an aged collections.

So TransUnion shows a new collections that was created in February of this year and not like July of 2017, so it's not just an old account that's just now being added, this debt collector lied and said it's a new debt.  It tanked my TransUnion score by 22 points.

Needless to say I'm irate, because it's reporting as new and highly affecting my credit score, when it's less than a year and a half from being outside of the statute of limitations.

So what can I do to try and fight this and get the correct reporting that it's at least an old debt?  I'm not about to pay a debt collector for something that still won't likely be reported as paid and is less than 2 years from the SoL.

[bass_playr]

Hiya, 

Without actually seeing the data that's being reported, I'd still bet that they are not reaging the account as a new debt.  The debt collector most likely listed the February date as when it came to them, not when it was first delinquent.  This is actually common.  That's the date that the file was opened in their agency, not when you first opened the debt or when it first became past due.  

Can you share with us who is reporting?  Each debt collector is different and there are several possible ways to address this, but because debt collectors each do things differently it would help us to better answer your questions to know who you're dealing with.  Some offer pay for delete, some do not, and some just act illegally to the point where if you question it they may remove it just to avoid further conflict.   Also, what state do you live in and what kind of amount are they reporting?  Your individual state laws play a part in this as well, as they are limited by time as to how long they have to sue you to try to collect.

[FreakyFreak87]

I'm in Illinois and the debt collector is credence resource manage.  And the debt is for $521, I took a look back at old disputes and I disputed the original charge 2 years ago and after awhile it was removed from my account successfully, so it hasn't switched hands until recently I guess?   On my TransUnion information it states date first reported was back in February.

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@bass_playr wrote:

Hiya, 

Without actually seeing the data that's being reported, I'd still bet that they are not reaging the account as a new debt.  The debt collector most likely listed the February date as when it came to them, not when it was first delinquent.  This is actually common.  That's the date that the file was opened in their agency, not when you first opened the debt or when it first became past due.  

Can you share with us who is reporting?  Each debt collector is different and there are several possible ways to address this, but because debt collectors each do things differently it would help us to better answer your questions to know who you're dealing with.  Some offer pay for delete, some do not, and some just act illegally to the point where if you question it they may remove it just to avoid further conflict.   Also, what state do you live in and what kind of amount are they reporting?  Your individual state laws play a part in this as well, as they are limited by time as to how long they have to sue you to try to collect.

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[Legally_Speaking2512]

So under 15 U.S.C. § 1681(c) of the Fair Credit Reporting Act is the reporting time limits for bad debts. It states:

"The 7-year period referred to in paragraphs (4) and (6)6 of subsection (a) shall begin, with respect to any delinquent account that is placed for collection (internally or by referral to a third party, whichever is earlier), charged to profit and loss, or subjected to any similar action, upon the expiration of the 180-day period beginning on the date of the commencement of the delinquency which immediately preceded the collection activity".

[OmarGB9]

I also believe the February date refers to when their "file" was opened/when they acquired it. Not when the original account was opened. The reason your score dropped is cause FICO unfortunately does "see" it as a new account, so it dings you. But regardless, it'll still fall off 7 years from when the ORIGINAL account first went delinquent. 

[FireMedic1]

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@FreakyFreak87 wrote:

Okay, I have a collections that is almost 6 years old, it's off of Experian and Equifax and was not on my TransUnion.

Well I guess in the past month some new debt collector has acquired my almost 6 year old debt and reported it to TransUnion as NEW, not an aged collections.

So TransUnion shows a new collections that was created in February of this year and not like July of 2017, so it's not just an old account that's just now being added, this debt collector lied and said it's a new debt.  It tanked my TransUnion score by 22 points.

Needless to say I'm irate, because it's reporting as new and highly affecting my credit score, when it's less than a year and a half from being outside of the statute of limitations.

So what can I do to try and fight this and get the correct reporting that it's at least an old debt?  I'm not about to pay a debt collector for something that still won't likely be reported as paid and is less than 2 years from the SoL.

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Its 7 yrs from when the account went bad. If its a charge off collection. Its the first late that led to the charge off or DoFD. The SOL you've probably past in your state to sue. Look it up. So look for when the first late occured that led to the CO. Thats the date it will be gone after 7 yrs. And collections will cease. Exclusion of a collection from your credit report is not based on when the collection is reported.

It is based ONLY on the date that you first became delinquent of the account with the original creditor, and thereafter remained delinquent until the collection was reported. That is referred to as the DOFD.

[FreakyFreak87]

It was first reported in August of 2017 to my credit report from debt collectors, so it's nearing 7 years in length since my debt was charged off and sold to a debt collector

[OmarGB9]

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@FreakyFreak87 wrote:

It was first reported in August of 2017 to my credit report from debt collectors, so it's nearing 7 years in length since my debt was charged off and sold to a debt collector

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You should try to find out the exact date though. Check your full reports on annualcreditreport.com. 

[7774x]

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@OmarGB9 wrote:

I also believe the February date refers to when their "file" was opened/when they acquired it. Not when the original account was opened. The reason your score dropped is cause FICO unfortunately does "see" it as a new account, so it dings you. But regardless, it'll still fall off 7 years from when the ORIGINAL account first went delinquent. 

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Correct.. The debt buyer bought  the SOL debt  pennies on dollar. It's new debt ,  with new date. .but ...still falls off from date of  original default..

Applying for credit  will be much more difficult with a collection on CR.. Debt buyer will hold firm .. sizing you up  to get max dollar

[FreakyFreak87]

I'm just going to dispute them on the two reports they reported on, TransUnion and Experian and try u luck there, I'm not budging either way and not paying them when my debt is 15 months from falling off, still unfortunately have 3 years left before my bankruptcy falls off tho.