I have a Capital One charge-off on my credit report that is mine and is correct, but I'm trying to get it removed because I think Capital One is screwing me over since the original amount charged-off was $1100 and now in the past two years, it has escalated to almost $1700 and I refuse to pay this amount. (By the way, is this legal? I thought charge-offs were for tax reasons to report a loss, but how can they inflate this amount with interest and make a profit off of me?) Anyway, I've been disputing it online on Experian for the last two months and it stays. But, now that it's a new month, I thought I'd try again but when I did, I received this message: "We have already investigated this information, and the creditor has verified that it is correct." What does this mean? Does it mean I can never dispute it again or that I have to wait awhile before I try again? Thanks.
Charge off's do provide tax benefits for companies as they are written off as profit and loss. If it is the original company, and they collect the charged off balance directly from you, it again becomes income which they are taxed again on. If the original company sells it to a collection agency, it is usually for pennies on the dollar and they don't really gain much if anything from writing off the loss. In most states collections accounts are subject to interest, in some states fees as well. I suspect the additional fees could be negotiated down signifigantly, especially with a collection agency. If the agency purchased this account for $400.00 any thing they net above this they will work with you as they are still making money on the account. The older it is, the more negotiating clout you have.
I would recommend contacting Cap One through Planet Feedback. The normally respond within a few business days and Mr. Cooke is VERY helpful. I negotiated to pay my two charge-offs in exchange for an R1 rating. -lb
I have contacted Mr. Miller/Mr. Cooke with this and they are adamant in refusing to help me. They offered me to pay $800 and for this they would only give me an R5 rating. With this paying of $800, I would be subject to income tax, because the creditor woule be forgiving more than half the debt. It's ridiculous. Even if I paid in full, they would only give me an R5 rating. I don't want to pay in full, because I feel this amount has been inflated to astronomical proportions. But my question still wasn't answered, though thank you for your feedback all those who did respond. Must I wait awhile with Experian to dispute once again or am I disallowed forever?
You can continue to dispute with Experian or any other credit reporting agency. There are differing opinions on how quickly you should dispute again, but I usually wait 45 days before redisputing an account listed, if you dispute it too quickly or too often they will often consider the dispute "frivolous" and refuse to investigate.
I am just beginning to work on a possible answer that should put an end to all that kind of nonsense in a hurry. Before it even starts as a matter of fact. Hopefully it will work, but it may take as much as maybe 60 days to find out if it works at all and how well so I'm not anxious to reveal any details as of yet. I'd hate to tell people to do something and then they use it and it backfires on them. I thought I would mention it so that we can at least hope that something new and better might be in the works
I have contacted Mr. Miller/Mr. Cooke with this and they are adamant in refusing to help me. They offered me to pay $800 and for this they would only give me an R5 rating. With this paying of $800, I would be subject to income tax, because the creditor woule be forgiving more than half the debt. It's ridiculous. Even if I paid in full, they would only give me an R5 rating. I don't want to pay in full, because I feel this amount has been inflated to astronomical proportions. But my question still wasn't answered, though thank you for your feedback all those who did respond. Must I wait awhile with Experian to dispute once again or am I disallowed forever? ****************************************** FYI: When I spoke with Mr. Cooke he initially told me R5. I insisted that I would be losing employment soon (not true, but hey you gotta negotiate somehow) and needed to use my money wisely. Once he realize he would get nothing if he didn't agree, he told me he could do the R1 and he sent me the letter finalizing the deal.
No, you could dispute again in maybe 45 days unless new information becomes available to you. And the letter he sent to you would be the new information you needed to redispute using a copy of the letter they sent you for your dispute. Point out that this is new information and the old information must be updated to conform to the new information immediately. That is your out. Good Luck
