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When the CA refuses to PFD

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Contributor

When the CA refuses to PFD

My first batch of letters were launched only 2 weeks ago and have returned generally good results: 10 baddies removed over the 3 CRA. But before I take my next step I'd like to be clear on a couple of things.

 

One CA I offered 50% on a PFD for two small medical bills I truly feel are invalid. Both are 5+ years old, but I'd love them gone as they're my only major blemish on EQ. Yesterday I got my answer from the CA -- no go. So I called the OC, a radiology outfit, to ask: if they held the debt, or was it sold; if so, would they consider pif for a pfd. The young lady I spoke to checked with her supervisor and said they could recieve the payment and they would then notify the CA the account had been paid. Is this good for me? Does the CA then remove/delete the account from EQ, or mark it PIF? Is there something else I should request of the OC?

 

I have a similar situation with Nationwide. I sent a GW leter for a PIF account that shows as a collection asking them to delete. They called me and said expect a call in a day or two with an answer. Since they are not the actual one reporting to the CRA, what is the best way to word the request?

 

Thanks. 

Starting Score: Started 5/2018 -- FICO 08 EXP: 652; FICO 08 TU: 642; FICO 08 EQ: 677
Current Score (6/19/2018): FICO 08 EXP: 658; TU: 666; EQ: 681
Goal Score: 720 across the board


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Message 1 of 4
3 REPLIES
Regular Contributor

Re: When the CA refuses to PFD


@James_A wrote:

My first batch of letters were launched only 2 weeks ago and have returned generally good results: 10 baddies removed over the 3 CRA. But before I take my next step I'd like to be clear on a couple of things.

 

One CA I offered 50% on a PFD for two small medical bills I truly feel are invalid. Both are 5+ years old, but I'd love them gone as they're my only major blemish on EQ. Yesterday I got my answer from the CA -- no go. So I called the OC, a radiology outfit, to ask: if they held the debt, or was it sold; if so, would they consider pif for a pfd. The young lady I spoke to checked with her supervisor and said they could recieve the payment and they would then notify the CA the account had been paid. Is this good for me? Does the CA then remove/delete the account from EQ, or mark it PIF? Is there something else I should request of the OC?

 

I have a similar situation with Nationwide. I sent a GW leter for a PIF account that shows as a collection asking them to delete. They called me and said expect a call in a day or two with an answer. Since they are not the actual one reporting to the CRA, what is the best way to word the request?

 

Thanks. 


You need to ask the CA or OC if the debt was sold or assigned to the CA. If the debt was sold to the CA then the OC has zero authority over how/if the debt is reported and the debt will likely stay on your report even if you pay it (since the CA does not seem amenable to a PFD - though goodwill letters after payment might help). If the debt was assigned to the CA then you need to request that the OC recall the debt from collections so that you can pay the OC directly. Once the debt has been recalled from collections the CA will have no authority to collect on the account nor the authority to report it to the CRAs. Since they will not have the authority to report to the CRAs, it should be removed and if it's not it is disputable. However, it's important to note that you should not pay the assigned collections until after the debt has been recalled.

TCL: $1,450 | AAoA: 7.8 yrs (I can thank my student loans for this) | Util: 62% (high due to charge-offs) Smiley Sad
Cleaning up and rebuilding after a long hiatus from credit
Message 2 of 4
Contributor

Re: When the CA refuses to PFD

Thanks for the be(a)utiful reply.

 

I sent a letter yesterday to the OC yesterday requesting basically what you said, just not in such precise language. I'd read a ton of threads, here and elsewhere, but couldn't seem to find what exactly to say specifically and methodically addressed. I believe my meaning was clear enough. In fact, let me exerpt it (Note: I've been told by OC billing dept the debt has not been sold to the CA): 

 

"I am hopeful you can help me with this. My (limited) online research suggests if the original creditor (RCI) terminates the collection agreement with the collector (Credit Systems) and instructs the collector to delete any credit reporting about the account prior to receipt of the funds ($103.49), the collector will be legally compelled to do just that. You likely know better than I exactly how this works.

If you feel this is something you are interested in making happen, please, on company stationary, reply with what will be your methodology, appropriate to my request."

 

I 've had some success sending letters so far and got anxious with this one account still standing in my sights. Hopefully my wording is close enough to your example where sending it isn't a setback?  

 

Thanks again for your feedback. 

Starting Score: Started 5/2018 -- FICO 08 EXP: 652; FICO 08 TU: 642; FICO 08 EQ: 677
Current Score (6/19/2018): FICO 08 EXP: 658; TU: 666; EQ: 681
Goal Score: 720 across the board


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Message 3 of 4
New Contributor

Re: When the CA refuses to PFD

Medical collections can be easier to remove from your credit reports due to medical privacy laws (HIPAA).

 

Google "hipaa process credit confusion" and do some reading up for how to do this. Good luck!

Message 4 of 4