Random Collections On TransUnion Report

Anonymous · ‎02-19-2015

To start off, thanks for any insight to my problem!

I have been rebuilidng my credit for the last year and my scores have all passed the 700 threshold, that was until yesterday. Looking through my CreditKarma account I noticed a collection has been put on me only in TransUnion! Quickly following that I went to myFICO to check it out there, and there it was. I quickly called the number provided by CK and asked what this collection was all about. It turns out it was from a stupid insurance company I bailed out on 3 years ago, I had no idea that I even owed them money! So I quickly paid the $123 and she then assured me that they will remove the collection from my account and it will disappear in 30 days.

Today comes along and I still feel uneasy about the situation so I call them back. Now I speak to someone else entriely and he tells me that that simply isn't the case. He then says what they do is tell their 'customers' to call TransUnion and report it as unknown, then TU will contact them and they will ignore it forcing TU abide by Federal law and delete the collection after 30 days of no respnses from the collection agency.

My question is, does his statement hold any truth whatsoever? I am confident this isn't a scam, because I did have that insurance, but I just do not understand why they contradicted each other. Also, I never heard from my insurance nor the agency about the money I owe, it simply just appeared one day. What do you all think is my best course of action?

Thanks for the heads up!

- Steeze

gdale6 · ‎02-19-2015

@Anonymous wrote:
To start off, thanks for any insight to my problem!

I have been rebuilidng my credit for the last year and my scores have all passed the 700 threshold, that was until yesterday. Looking through my CreditKarma account I noticed a collection has been put on me only in TransUnion! Quickly following that I went to myFICO to check it out there, and there it was. I quickly called the number provided by CK and asked what this collection was all about. It turns out it was from a stupid insurance company I bailed out on 3 years ago, I had no idea that I even owed them money! So I quickly paid the $123 and she then assured me that they will remove the collection from my account and it will disappear in 30 days. This makes it a binding verbal contract.

Today comes along and I still feel uneasy about the situation so I call them back. Now I speak to someone else entriely and he tells me that that simply isn't the case. He then says what they do is tell their 'customers' to call TransUnion and report it as unknown, then TU will contact them and they will ignore it forcing TU abide by Federal law and delete the collection after 30 days of no respnses from the collection agency. This is totally ridiculous they put the reporting there they can delete the reporting and that is what they should be doing since that is what they said they were going to do,

My question is, does his statement hold any truth whatsoever? I am confident this isn't a scam, because I did have that insurance, but I just do not understand why they contradicted each other. Also, I never heard from my insurance nor the agency about the money I owe, it simply just appeared one day. What do you all think is my best course of action? What I would do is wait and see what happens, if they send in the deletion with the electronic system its 3-5 business days for it to be removed, manual reporting could take as long as 60 days, these times are from the time they put in the deletion request. If they fail to remove the TL then I would send them a letter and remind them of their agreement to remove the TL, if they still dont remove it then you file a complaint with the BBB for shoddy business practices. Welcome to My Fico and good luck this is removed shortly

Thanks for the heads up!

- Steeze

Anonymous · ‎02-19-2015

This seems to be a growing trend - someones brilliant idea to save a nickel on their reporting fees. From what someone posted a awhile back, who worked for a CA, it seems that reporting and deleting items is actually a fee service of the CRA's - basically they have to pay the CRA's to place a report, and to delete a report. Seems the CRA's pretty much charge EVERYONE for EVERYTHING. Frickin vultures....

Uggg.