Need helpful advice. In 1997 I let my sister buy on my Sears card. The bills were sent to her, so first found out in 1999 that the account was in Sears collection, with a balance of ca. 1500. Worked a deal with them, my sister sent a cashiers check for the amount due, finish. The years went by. In 2002, after applying for credit on something, I was contacted by RMA saying they'd bought the debt from Sears and I owed double the original amount. This went back and forth - worked with a RMA guy and he finally said, send a letter stating you paid, etc. and he thought it would close the account. Did so. No further contact. In 2005, got a Capital One CC offer, saying they would let me transfer my charged off debt of $3672(!) to their credit line at no interest. Had no idea what they were referring to. Contacted the number on the letter, and found out the Sears debt was BACK! Tried to explain, but no go. New RMA guy said I could pay $1450 by the end of April, or would have now a debt of $4255. I told them I would try to find proof of payment, etc. but the bank that issued the original Cashiers check is sold to 2 different banks, I don't remember the dates, everything is so long ago.. So... what do I do? Should I pay again!? I have been reading on the site here, and see SOL on Open accts. for CALIF is 4 years. Does that mean the debt is too old for them to collect on? Can I just ignore this? Should I send a C&D letter, or a validation letter? My deadline is April 30th for the settlement offer. Just kills me to think I can't prove the payment - and that I might have to pay it again. Any thoughts? Help!
YES YOU don't have to prove anything to them. It is up to them to prove that you owe the debt. Send them the Validation Letter by Certified Mail- Return Receipt Requested. No need to mention anything about the SOL now, just send the validation letter
As you know, it is difficult to obtain bank records years after a transaction. That is one of the reasons there is a statute of limitations. Old "debts" are often erroneous, records are lost, etc. If you paid the debt, you have no legal or moral reason to pay it again. Why would you pay someone to continue to be incompetent or dishonest? You will just get more of the same. Transferring this alleged "debt" to a new credit card will just create a new debt that you do now legally owe. If this first went delinquent in 1997, even though you paid it off in 1999, it should have fallen off your credit reports by now, whether or not you had paid it off. If they insert a new tradeline to try to collect from you, they are re-aging, on top of misrepresenting the amount and status of the debt. If they even pull a credit report, they had no PP since the debt was paid. Is the original account charge-off, or even the tradeline with RMA, still on your credit report? What does the CRA report as the original date of delinquency, as reported by Sears, or RMA when they first contacted you? This may show as the date the negative item is due to remain, 7 years after date it originally went delinquent. Request validation, including in your request that you are disputing this account in its entirety, as it was already paid in full years ago. Request that they provide all statements starting from the last statement with purchases or payments, thru the original delinquent and charge-off dates, including all payments made to date.
Was your original payment settling this debt directly to Sears? Did Sears, in effect, sell this "debt" after you had already paid them? This company appears to have been, shall we say, "legally and ethically challenged", with regard to collecting debts that are not legally due or collectable. See, for example: http://www.bankrate.com/brm/news/bank/19990211.asp
Wow - this has been so helpful. Only advice I had until I found this site was from the CA... I am new at this so was easily scared into believing they had the power. Then, suddenly I thought, I don't even know who these people are! This could be a scam. So, searching on the net - and now help comes. Ok - will send a DV to RMA. I spoke with Sears Recovery trying to find the history, they wouldn't give any info, other than the account was sold to RMA in Nov. 1999. What I found so strange is that I have not had demand letters, or anything letting me know this debt was there except the 3 times - once in 1999, then 2002 then now. I don't know my CR. Any advice where to get the most accurate one?
