Recourse against paid bad debt reported to the CRA by CA that never been billed for?

Discussion in 'Credit Talk' started by nowenhance, Aug 31, 2015.

  1. nowenhance

    nowenhance New Member

    What recourse do I have against a bad debt reported to the CRA by a CA and the original debtee when no bills had ever been sent to me?

    Here's the situation: I had been living in a rental apartment and moved out a month early. Never heard anything from them except the next month when they emailed asking for my current address to return my security deposit back. My security deposit never came, nor did any bill for the remaining months rent on the lease. I never heard from them again until 4 months later when a CA sent me a notice. I then discovered the CA had 30 days earlier reported the debt to the CRAs and my credit score dropped from 800+ to 650. I paid the outstanding balance.

    I also filed a dispute with the CRAs to try to get the debt removed but they sided against me, leaving the debt on. I asked the CA to remove it given the fact I never received any bill and they refused.

    It doesn't seem right to me that someone could file negative information to the CRA without some sort of prior notice or bill.

    Is there any recourse that I have? Any rules, statutes or regulations that I could utilize to remove the info from the CRAs (as I mentioned, the debt is paid).

    Thanks!
     
  2. jam237

    jam237 Well-Known Member

    Re: Recourse against paid bad debt reported to the CRA by CA that never been billed f

    There unfortunately is no requirement that the OC contact you.

    The CA needs to provide you with a notice of your rights, and that they intend to report.

    First, you dispute the debt with the CA.

    THEN, you dispute the debt with the CRA.

    If you haven't disputed the debt with the CA, and dispute it with the CRA, there is nothing keeping them from verifying the account, and all they need to verify a NOT MINE dispute is (any two) your name, address, dob and ssn. (If they were able to appear on your report, they have at least that information.)
     
  3. JoshuaHeckathorn

    JoshuaHeckathorn Administrator

    Re: Recourse against paid bad debt reported to the CRA by CA that never been billed f

    I know it's been awhile nowenhance, but I stumbled on your post and was wondering if you might come back and give us an update on what happened with the rental apartment debt. Were you ever able to get it removed from your credit reports? Hope to hear from you soon!
     

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