Hello all, I'm in a situation, that I've searched for but can't find an answer to. I received a letter from a collection agency about an unpaid student loan/computer which equals about $1500. This account was from 4 years ago, and I have no problem taking care of it. I called the OC and they said it's been sold to a CA and I need to pay them. The weird thing is, this does not show on my credit report? I've looked through all three and it's not on it anywhere. What does that mean? Should I just settle for less with the CA, and not worry about it? Or will it magically appear on my CR?? Any answers or insight is always appreciated. Thanks all Mike
I would probably look into doing more of a restrictive endorsement making sure that it will not be reported after paying the account, or getting the CA to fax you a letter showing that it will not be reported if paid.
Hmmm that's another good idea. I just dont see how it could go on my report. After not being shown for 4 years. What would the CA put on there? One month of oweing 1500 dollars?
Actually the CA can show that it was an account opened up on X date, and it is possible that this CA was assigned the debt 3 1/2 years ago just after it got charged off, and as such could show up. Definitely try to get a signed agreement from the CA that it will not be put on your CR if you pay it in full. Since they likely bought this debt for pennies on the dollar, its major profit for them if you pay. Finally, the debt is from 4 years ago, so *IF* this is paid off and the CA does put something on your CR, you will have a paid charge-off (which is just under an un-paid charge-off as far as damage to your credit) for another 3 years. This is why you will want to get an agreement. Good luck with that. Chris
If you have no concerns about the SOL, which may or may not apply to your case, you could negotiate the amount down to 10%-50% of the original debt and in return for payment the CA must "agree to remove any deragotory reporting to any Credit Reporting Agency". Make no payment until you receive a signed agreement to the specified terms and be sure to file and retain their written acceptence forever.
