This community has been incredibly helpful in searching out information.
I know it isn't a black and white issue but I'm curious about people's experience and/or knowledge about the SOL and collectin agencies.
There is 1 collection on my credit report. It is high ($12k, started as $7k). It was origianally a bank loan. It's a long story but it was bad business debt of $45k that was refinanced (by my partner) and I am still paying, but for some reason, $7k of it was left which i didn't know about until I received the collection notice. My partner says that he doesn't know anything about it. I tried figuring it out years ago but didn't really get anywhere.
Anyway...... annualcreditreport.com indicates that it will be reporting until 4/2019 (which I assume is the 7 years). I live in WI which appears the SOL is 10 years. It is a local collection company that is primarily in the midwest. How likely, in your opinion, is it that they will file a law suit after the 7 years is up in April?
I hope that gives all the info.
Thank you for any insight!
I would first check out the refinance documents if you can obtain them.
It is usual that the refinance typically requires discharge of the old loan.
What was only a portion of the debt included in the new financing?
Second, as a business loan, why is it reporting to your consumer credit report?
Third, does the bank still own the old debt, or did they sell it to the debt collector?
My assumption was the entire loan was refinanced. I do not know why there was some remaining, it doesn't make sense. Especially $7k and some change.
I may be able to get the refinance docs but would be tricky/difficult. If I end up getting sued, I would have to do more digging and see if I could get them.
I'm assuming it's reported to the credit bureau because we had personal guarantees for the business....
How do I find out if they sold it to the debt collector?