Collection Account debt validation? I checked my credit report yesterday and was surprised to see a charge of 533.00 from 3/09, last entry was KD on 5/09 that was sent to a collection agency. I never received any letter from them or phone calls. I called them to get more info and they couldnt give me anything other than the original creditor. I told them I had no knowledge of the debt. I read on the forum that I should start by sending a debt validation letter...I honestly dont even know what that will accomplish. If they dont respond within 30 days I should send them another letter? Then what? Payment for deletion? Also, back in 2006 I had a chase credit card that I paid off with a settlement and is now closed. What steps should I take to have this removed from my credit report? I paid them directly but It was a considerable amount less that what I owed. Reading on here, I wish I hadnt paid it at all since it looks bad on my CR no matter what. Would a goodwill letter do any good here or would it reopen it? I have another credit card that was late 30 days, only late once, in 2006. Should I write them a letter of goodwill asking if they would delete it?
#1 Sending a DV protects your rights under the FDCPA. If you do actually owe this debt, you need to make sure you're paying the right amount to the party that legally has the right to collect the debt from you. #2 Dispute it with the CRAs, and it may get deleted. In the future, be sure to always negotiate your credit score when making any payment on a debt. Once you pay, you lose any leverage you had and rest assured they won't report in the most favorable way for you. #3 I think a Goodwill letter sounds like a decent plan. If you've been a good customer and have only had one late, they should be willing to work with you.
On the settlement account it says "paid in full for less than amount owed" thats some weird wording to me. So, is there anyway if I dispute the settlement account with the CRA that it will be reopened? They did accept a settlement for about 80% of what I actually owed. I screwed myself there.
Anytime the notation on your report says something about "less than amount owed", it's a negative mark. Also, if the debt has already been settled, I don't see how a dispute with the CRA would cause anything to be reopened. And yes, as JJ said, always send your correspondence CMRRR.
