I originally posted about this back in January. I noticed that in early January a collection account was placed on my EQ and TU credit reports by Cavalry Portfolio Services. Sprint PCS was the original creditor. Anyway, I sent Cavalry a CRRR letter demanding validation, they signed for it on 1/25. I also did an online dispute with EQ and TU on 1/25. As of today, I have not received validation from Cavalry, and when I checked online with EQ, the account is still in dispute. I am thinking that Cavalry can't validate. In the meantime, about two weeks ago, Cavalary sent me a letter stating that if I believe the account has been paid in full, to forward any proof to them and that they would update the account. I ignored the letter, because once I sent them the demand for validation, I thought that the burden of proof was on them. Anyway, tomorrow will be 30 days from the date I did the online disputes with EQ and TU. Hopefully, both EQ and TU will delete the collection account. In the meantime, as I checked my EXP report online this morning, I see that Cavalary just reported the same account to EXP. I check EXP almost everyday, and it was not there yesterday. My question is, what should I do? If Cavalry has not sent me validation by tomorrow (30 days will be up), should I send another letter to them regarding them putting it on EXP. I have already started the online dispute with EXP, but in the meantime, is there any other course of action I should take. Any suggestions, please?
Without an accounting of what the CA claims is owed on the account, how can you produce "proof" that the account is paid? They have deflected your request for validation, instead of providing it. Have the CRAs verified the amounts they are reporting? Was the account actually yours, do you think the amount is correct, or have they added additional charges, when was the date of first delinquency, and what is the SOL?
Ontrack - thanks for your reply . . . To provide a little more history, I had a Sprint account about five years ago, closed the account and switched to another provider. The account had a balance of $106, which went into collections. About two years ago, Sprint sold the account to Cavalry Portfolio Services. Cavalry sent me a settlement offer, which I paid around April, 2004. By the way, I do have a letter from Cavalry confirming that the $106 debt had been settled and now has a $0 balance. Fast forward to last month, I am checking my EQ report one day and see that another Calvary collection has just been added. The balance listed is for $111, but there is a different account number listed from the previous account that I settled with Cavalry in April of 2004. The thing is, I did have two different Sprint phone numbers, over the course of my Sprint account. However, although I am not 100% certain, I do believe that when I got the new phone number, I had to pay the balance on the first in order for the new number to be connected. Obviously, I don't have proof of this though. Anyway - once I sent the CRRR in January to Cavalry demanding validation of the debt, I got a letter from them stating that they'd recently purchased the debt from Sprint, with the balance of $111, and an offer to settle about 70% of the balance. To make a long story short - the Sprint accounts were mine, of which I paid the $106 balance in April, 2004. The $111 balance is the older Sprint account, and I really don't think Sprint allowed me to get another cell phone number without paying the outstanding balance, but as I mentioned, I don't have proof. EQ and TU have not yet verified. Tomorrow is the 30-day mark for me to get a response from them as a result of my online dispute last month. The SOL is far from now, as Cavalry just reported it to the CRs in 1/2005, and to EXP as of 2/2005.
You need to know the SOL for legal action to collect the debt. If this has passed, you can raise it as an affirmative defense if they sue. The 7 year limit for posting to your credit report starts on the date of first delinquency, or when Sprint alleges the payment was NOT made, not when they got the account. You could just send a copy of your settlement letter with Cavalry to them indicating the account was paid, and let them prove there is another account, and substantiate what amount is due and from when. This may not even be your account, and without records from Sprint, you can't be sure. You could also contact Sprint, since they may still have a record of your account, and the transition between numbers. If they claim they have no record, get it in writing. You could put more pressure on Cavalry to validate, or delete, and if they verify with the CRA, dispute again with the CRA providing the letter from Sprint.
Ontrack - thanks so much for the advice. This is so helpful. I will contact Sprint to see what information I can get regarding the account and go from there.
First get from Sprint what you can voluntarily. You may also find that when you switched numbers, Sprint kept your old number and account active, continuing to add charges until a couple statements were not paid, even though you had a new account and number. Cell phone companies have been known to do this, whether by accident or not. You may need to file complaints against Sprint (and Cavalry) with your public utilities commission, and FCC and FTC, to get them to correct this, since your new account supports the fact that you requested the old one closed. Sloppiness and incompetance abound, and is often blamed on deadbeat consumers. Without your objection, all parties will be happy to take your money, and still ding your credit.
Ontrack, You bring up a good point that maybe Sprint continued to add charges to the original account after I'd gotten the new number. I will see what I can get from Sprint's records. It'll be interesting to see if they still have anything. Ideally, EQ and TU will delete the Cavalry collection by tomorrow since the 30 days will be up. Then I'll just wait out the time for it to delete on EXP. However, in the meantime, I will go ahead and contact Sprint so that I can have the information I need just in case Cavalry tries to continue to collect and resubmit the collection to the CR's. I've done a search on this board of Cavalry, and it seems they've done this before. Thanks, Ontrack
Okay, I may need to change my strategy. I got home this evening and found in the mailbox from Equifax a one pager indicating that they have verified with Cavalry that this is my debt. I still have not received validation from Cavalry. Which letter should I send to Cavalry as well as to Equifax?
Give Cavalry some time to fail to validate following their verification. (They have already failed by saying you need to prove its paid.) Is the letter you have from them, acknowledging your payment, in regard to your payment of the last account and number you had with Sprint, or do you think it is the earlier account and number?
The settlement letter is for the last account I had with Sprint. I think waiting a little bit of time is a good idea, especially now since I did an online dispute of this account on EXP this morning. This gives at least 30 days for Cavalry to validate with EXP; meanwhile, I'll be waiting to see if I get proof of validation over the next couple of weeks. Thanks.
Was the TL on your credit report the first notification you received from them of the debt? If so, did their letter to you, in response to your request for validation, include the legally required notice? (Yes you are already requesting validation, but their first communication to you must disclose to you your right to do that.) Did your request for validation include that you had found a trade line from them on your credit report, but had received no communication from them? You are building the case that they are failing to validate, yet verifying to the CRA, which is continued collection, and that under FDCPA they cannot collect until they have validated if you request validation within 30 days of their initial communication. Each CRA verification, or TL posting to any of your CRs, is continued collection activity.
Since there is some question whether this is an account you have already settled with them, a different account, or even your account, include in your request for validation a specific request for the information appropriate to determine this: The original opening date, original Sprint account number, original cell phone number, date of original delinquency, original amount due when delinquent, name and original billing address of account holder at time of delinquency, copy of final Sprint statement at first delinquency, etc. One or more of these should show whether this is your account or not, whether it is the new or old account, whether the old account was kept open after opening the new account, whether this is the settled account, etc. If they continue to bluff and delay, while still reporting, it will be clearer they have not provided appropriate validation, and the resulting damages are more likely due to FDCPA violations. (i.e. not a bona fide error) If they provide BS, such as a phony date of delinquency, which might differ from what you separately obtain from Sprint or your own records, or an altered but similar account number, you may also catch them on use of deception to collect a debt, or misrepresenting the status of a debt, which would include attempting to collect a debt that was already paid or settled. You may also get sufficient information to indicate the account is not yours, or was openned fraudulently in your name. You may still want sufficient leverage to force their correction of your reports permanently, with payment of damages if they break the law. If fraud is involved, or they are not cooperating, you may need to file additional complaints.
If they reply like they have, don't drop it. Send a follow-up request for specific validation, noting in your letter that their reply provided no information as required by law, and that they were continuing to collect in violation of law.
thanks, ontrack. This is an excellent strategy. I will begin working on immediately - obviously creditnet is the best! Thanks, ontrack.
You may also find information here of value. I don't know whether it applies in your case. http://www.artofcredit.com/phpBB2/about15555.html
Oh my god, after reading the above link, I can't believe that this company is repetitively doing the same thing to so many consumers. As an FYI - I called EQ this morning just to ask the status of my dispute of Cavalry (even though I received the letter from EQ in yesterday's mail). The EQ rep told me that Cavalry verified that the account is mine by providing EQ with my name, SS#, current and previous address, and Sprint Account #. Well if that's verifying? She also mentioned that the CA is not required to show any type of documentation that it is indeed my account. Nonetheless, I will be drafting a letter to Sprint's Legal Department tonight. Thanks again for the information. I'll let you know how it goes.
The CA is not required to provide any documentation to the CRA. But you still dispute with the CRA, so the CA, having verified with the CRA, can't just say the CRA made the mistake. Get your dispute results from the CRA in writing. What does Sprint say about the Sprint account number that Cavalry claims is yours?
You might also want to be aware of the following: http://www.consumeraffairs.com/cell_phones/sprint_pcs.htm
Where were you living when you transitioned from your old Sprint number to your new Sprint number, at your old address, or your current address? In other words, is the old and current address that Cavalry provided to the CRA as "verification" that this account is yours from Sprint's original records, or from Cavalry's own tracing of your address or pulling of your credit report, or perhaps their internal records from their prior collection?
