Paid Prior To Coll?

Discussion in 'Credit Talk' started by Butch, May 30, 2002.

  1. Butch

    Butch Well-Known Member

    Dear Everyone,

    Here's my issue. We had an I. account requiring monthly pmt. of $69 for 10 months.
    Half way through Sandy lost her CC and automatic pmts. stopped in 5/01. In 9/01 it was turned over to a CA. 10/01 we got a notice from the CA and I called immediately.

    The CSR told me that it had not been reported to the CRA as of yet. I agreed to go ahead and pay the balance over the phone with MY CC as long as they don't report it. She said OK - so I paid.

    In 11/01 they reported a pd. collection account. THEY REPORTED AFTER I PAID IT.

    2 months ago I called and got a guy who said he was a manager and I explained the situation. He said just go ahead and dispute through the CRA as "Paid Prior To Collections" and he would allow it to "fall off".

    Here is my Q. The acct. WAS paid prior to reporting but it wasn't paid until it was turned to collection. Does this sound like a paid prior to collection case to you? Or is he trying to bait me into filing a dispute that is not, and he can prove, is not true so I would be stuck with the ding?

    (He did actually seem like a pretty nice guy tho)

    Please advise,
     
  2. QUEEN_BEE

    QUEEN_BEE Well-Known Member

    No.

    I would dispute just as the guy agreed you can do. If they continue to verify with the CRAs, then start the nutcase process and/or ask the OC to make the CA remove their listing from your report.

    I dunno of any other options...

    BUMP (;op)
     
  3. Butch

    Butch Well-Known Member

    That's just it. He said dispute as "Paid Prior To Collections" and that doesn't quite sound right to me.
     
  4. QUEEN_BEE

    QUEEN_BEE Well-Known Member

    I guess 'prior to collections' in this case means prior to sending you a collection letter. Normally it means prior to being turned over to a CA or collections dept.
     
  5. anesthesia

    anesthesia Well-Known Member

    Butch, that is correct, dispute it as paid prior to collections. That makes the account a "placed in error" account. I have had quite a few collections wiped off this way. The best, easiest thing to do is to first dispute through CRA. IF, it is then verified, you have a few options available. The nutcase series, calling your BBB and accuse them of deceptive business practices for lying to you to get you to pay, by the way, there is a section in the FDCPA that specifically addresses the issue of being deceitful in trying to collect an owed amount. Before I learned from Credit net, I paid a collection because the CA said they would have the tradeline deleted. I never got it in writing. Instead, they reported as paid in full. This was before nutcase, so I sent the Lizardking validation letter. I figured eventhough I paid it, I would still make them validate by law. What the heck, I figured after it was all said and done, they may actually OWE ME money. I got no reponse, then I sent the After 30 Days Validation letter and told them I was taking them to court for not validating and continuing to report inaccurate info, and for being lying and deceitful in promising deletion when if fact they had no intention. They very quickly wiped it off all credit reports. This CA was in my city, only a couple of miles from my house, but you can be sure I was ready to go to court and make a sworn statement about their deceptive practices.
     
  6. Butch

    Butch Well-Known Member

    Thanx Anesthesia,

    EVERYBODY must agree???

    I'm following up on this tomorrow. Anybody else wanna weigh in?

    Thanx,

    :)
     
  7. Marie

    Marie Well-Known Member

    I've actually never heard of that way to dispute. However, saying that does 2 things:
    1. admits the debt is yours to each cra
    2. admits you paid it

    You would, in essence, self verify. The only issue would then be if the ca should be there or if the original creditor should be dinging your credit...

    If the debt had been paid prior to collection then the collection account on its face would be invalid. Hence, the collection account would be a "not mine".

    Since the account was paid after collection placement, then technically you just have a paid collection account unless the ca agrees to removal.

    If he's really being nice, he's stating that they won't respond to a dispute and thus it will drop.

    this leaves you several possibilities.
    1. The bureaus really attempt a reinvestigation, the ca doesn't respond, and the item is removed.
    2. The bureaus fake an investigation and no matter what the ca will or won't do, it won't matter because the whole thing is moot...

    I'd try one of 2 things:

    1. Call the nice manager and simply ask for a faxed letter from him confirming complete removal of the account as promised...

    2. Do a phone dispute with all 3 cras and just do a "not mine". That way it's not on paper and there's less likelihood of it biting you in the assets later.

    the real issue here, and I'm sure you're aware of this, is that if you don't get a full removal agreement in writing before you pay, then it's just dumb luck whether or not it falls off during a dispute.

    You could also try one other thing. You could write an informal letter to the manager (if you don't get the udf or letter from him) confirming that you spoke with x person and then him and that the ca agreed was that the account would be/ should be removed in full. (DO NOT admit b/c of payment).

    this letter would put them in a position of requiring them to place an "in dispute" notation on all 3 cras as per the fcra...

    when/if they don't do that within a timely manner you may politely remind them of their fcra violation... and it could serve as leverage for a removal. However, I'd do the first 2 things first and see what happens ;) Once the dispute concludes and if they're not removed, then send the ca a letter ;)

    Have fun! I actually did the same thing when I first started repairing my credit and I actually had several verbal agreements upheld by the collection agencies (they actually did remove the trade lines) so you never know, they may just be doing the "least effort method" of deletion by getting you to instigate a dispute... I guess you'll see ;) anyway, I'd start the dispute with the least papertrail and with the fastest method (phone dispute).
     
  8. QUEEN_BEE

    QUEEN_BEE Well-Known Member

    Butch,

    Please update us.
     
  9. Butch

    Butch Well-Known Member

    Thanx Love for the bump. :)~

    My update is that I'm sorta stuck. When I'm not sure exactly how to handle something I usually wait awhile until the answer is revealed. (my daddy taught me that)

    I'm concerned that the CA is "baiting" me. They told me to dispute as paid prior to collection. If I dispute that way it would be easy for them to prove that's not the case. If I tell the CRA that I paid the account they will use that against me as self verification that the debt is legit. So:

    1) I will have admitted paying the debt, and ...
    2) They can prove it was turned over to coll. PRIOR to payment

    This one is very importamt to me because it was just listed in 11/01 so it'll be there until 2008 if I'm not real carefull. All my other listings are EASY to handle.

    Though the CA manager did say he'd be happy to "NOT verify" I trust them about as far as I can throw their building.

    I think I'm going to begin by disputing as "not mine".

    I will also call the CA again and see if I can get them to reach up and hit the delete button so they CAN'T verify.

    We shall see.
     
  10. QUEEN_BEE

    QUEEN_BEE Well-Known Member

    Butch, Update please

    Thanks!
     
  11. mitchra

    mitchra Well-Known Member

    Why don't you see if the guy will send you a letter on their letterhead stating it was reported in error? Then send a copy of the letter to CRA along with disputed as "not mine". The error letter does not go into detail. It simply says "account reported in error". If the guy is so helpful, then he shouldn't have a problem supplying you with this letter. If he says no, then I would be more suspicious.
     
  12. Butch

    Butch Well-Known Member

    Thanx Love for askin,

    :)

    I updated on it's own thread. Now I can't find it.

    Anyway I did finally make my decision. I decided to go "not mine" rather than Paid Prior to Collections. If I went PPC I would have admitted to the debt and didn't want to do that, just in case. (As per Marie's excellent advice)

    I sent CRRR to all 3 CRA's (about a week now) and then I called the CA, explained the situation and made the girl put me on hold while she went back and talked to the same mgr. I got the agreement from. She said NO PROBLEM, he remembers you.

    Then I asked "is there a flag in my file that states ya'll should trash the verification? The answer was no.

    MEANING HAD I NOT CALLED THEY WOULD HAVE VERIFIED FOR SURE.

    Well I made her flag the file accordingly right there while I was on the phone. I wanted to hear the clacking of her keyboard. lol

    So they shouldn't verify when it comes in.

    I'm pretty confident this one will fall easily now.

    :)
     

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