as "no recollection of account." They verified quite a bit of information to prove this is my account. I originally disputed through the cra. I also included this account in my BK7, and the way the letter came back from the OC they are asking me to pay and they will "report as paid in full" they also gave me a self addressed envelope to send the payment along with. What should I do from this point? Thanks! Missi
I'm surprised nobody can help me with this one. I've searched on what to do next and haven't found anything once info is verified - and really not too sure if about "violations?"
Here's a thought, and a courtesy bump-- If it was discharged in BK, you do not owe it-period. Could this be considered collection activity after the BK stay. I would search on that, maybe you can "scare" them into deleting it.
The settlement the OC sent you is awful vague. Remember an account can be marked as paid in full and still have lates on it. I'd only settle for full deletion, or the account being reported as paid and never late with no other derogatory information. Use the SASE to send them your settlement offer, and get them to send you a confirmation letter with their letterhead on top agreeing to your terms. Whatever you do be careful. Lots of ppl have gotten screwed after they settled.
As Dixi stated, a creditor will always use language that is intended to sound like they are upgrading your tradeline to a positive status, even though they are only updating the balance due. You have to get them to state in writing that they will not only update the account to "paid in full" but "paid in full/never late". They don't usually come across consumers who know the difference, so when you call them on it or request full deletion they might balk. Be sure you and the creditor have an absolute understanding, in writing, of the terms of the settlement. I also agree that if the debt was discharged in BK, then that debt no longer exists. The creditor can't ask you to pay it. If you still want to use the debt as a carrot to get the tradeline upgraded or deleted, that is one thing. But otherwise, tell them to go jump in a lake as far as that debt is concerned.
Have you verified through your own documents that this OC was indeed included in your bk7? If so, have you told the OC this?
Yes, I have my paperwork that verifies they were "included in BK" since I included everything on my report in the BK. But I haven't talked directly to the OC, just recieved letter, verifying all info.
I could be wrong on this, but here are my thoughts: If you have already disputed this with the CRA and the OC verified the tradeline without showing it as being included in BK, then the OC may have verified incorrect information and you may already have them on a violation (depending on how you initially disputed with the CRA). The FCRA provides a cause of action for such cases where a furnisher of information knowingly fails to provide correct information to the CRA. Remember that the OC was notified of your BK at the time you filed it and also at the time of your discharge. They cannot reasonably claim that they have no knowledge of your BK and therefore this represents a willful violation. I would also check to see how the OC is reporting the tradeline to the other two CRAs. If the OC corrects and updates information to one CRA, then I believe they are obligated to also report that updated information to all three CRAs. If they fail to do that, then you have another FCRA violation. Finally, their blatant attempt to collect this debt is a direct violation of the federal bankruptcy laws. The debt was legally discharged and no longer exists! It is gone forever and can never be collected by anyone!!! Do not pay them one thin dime on a debt that does not exist anymore. It is a serious violation when a former creditor attempts to collect on a debt that was legally discharged in BK. You would need to research the BK laws or contact your BK attorney to find out what recourse you have for this. Frankly, I think you should sue them for the FCRA violation of failing to report the account as being included in BK following your dispute with the CRA (depending on how you initially disputed this with the CRA). If you also threaten to report them to the Federal Bankruptcy Court for trying to collect on a discharged debt, then you should be able to settle for both cash and deletions. You would have little to lose in such a case because the worst that could happen is that the account would simply be reported as included in BK, but if you win then you gain both cash and deletions. Again, this is just my late-night opinion, and hopefully the vets will correct me if I am wrong.
