Is this legal???

Discussion in 'Credit Talk' started by LoFico, May 16, 2001.

  1. LoFico

    LoFico Well-Known Member

    Hi everyone,
    My question is this. I have a charge-off with FNANB. This debt was charged off in 1998. They have me reported as having a charge-off with a zero balance. The creditor's remarks section states "Account sold or transfered to another lender".
    Ok fine, but now I have noticed a second report from this new collection agency and they are reporting this as a charge-off also. And to top it all off, they have a brand new date on their report. So now it looks like I have two charge-offs instead of one and the new one is due to come off in seven years. Can they do this? I mean everytime they sell this debt, I get a fresh charge-off on my report? That's WEAK! Any advice? Thanks
  2. MartysGirl

    MartysGirl Well-Known Member

    Yes, they will do it But.... no it's not legal. Write to them demanding deletion. Tell them you know they are not the Original Creditor nor are they the authorized agent to collect this debt. They are in violation and you will report them to the FDCRA. Send it Certified RR. I hope this helps..

  3. MikeB

    MikeB Banned

    Never pay a collection agency. I have dealed with a CA only once (thankfully). I sent them a cease and desist letter. They sent me a response saying they recommended that the original creditor sue me for the debt. I offered the creditor 70% of the original loan after they charged it off, and they declined. Their loss. I won't deal with them now. If you did not make an agreement with the CA, they cannot report to the CRAs. If you make a payment, they can then report the debt like a new loan. Also, the CA cannot sue you or really do anything but harrass you (until you send them a cease and desist letter). The CA does not own the original debt as you did not promise to pay a debt to them, only to the original creditor. Read the Fair Debt Collection Act for more info about dealing with Collection agencies.
    Good Luck
  4. LoFico

    LoFico Well-Known Member

    thanks, you guys are awesome.

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