Just got a red flag on my credit monitoring that JEFFERSON CAPITAL SYSTEM is trying to collect on an old overdrawn "joint" bank account I had back in 2007 with Wells Fargo. I opened this for an old girlfriend that had bad credit (I learned my lesson) anyway she overdrew it and it was closed. It was like $300 or $400 tops but some other dirt bag JDB bought it a few years ago and jacked up fees on it so that it was $999. I refused to pay that ridiculously dishonest over bloated debt. Well now that 1st JDB gave up and sold it to this JEFFERSON CAPITAL SYSTEM JDB and they are reporting it on my CR as a "Factoring Company Account" to the CRA's What the heck even is that? This was not a loan, credit card or anything else. This a debt is from a closed checking account at Wells Fargo, not CREDIT. How can they even report that on my CR? This checking account was opened when I lived in California and was closed in 2007. They are trying to say it was only closed on 07/01/2011. That's a lie. The SOL on all debts in CA across the board is 4 years. It was closed in 2007, it's 4 years now. and this has nothing to do with credit or "Factoring Company Account"....it was a checking account at a bank. What should I do about this? Since they are lying about everything they are reporting on my report. And I live in Michigan now does that matter to the SOL? Because I never held this account in Michigan…it was opened AND closed in California in 2007.
Re: What the heck is "FACTORING COMPANY ACCOUNT" CA trying to collect on old bank acc "Factoring Company Account" just means that your debt has been purchased by a company that buys old debts and collects them. Basically, they're a JDB- that's all it means. Also, once an overdrawn checking account is ignored and eventually sent to a CA, it will show up on your credit reports like any other unpaid credit card debt, loan, rent, etc. You should keep in mind that the date the account was closed doesn't have any bearing on the SOL. What matters is the DOFD, so make sure you know what that is. If you never brought the account current back back in 2007, the DOFD should be sometime that year. Also, I'm not sure about California, but some states allow the SOL to be tolled when you move out of state and they determine you've been "hiding" from them. It looks like MI has a 6-yr. SOL, so I would recommend looking more into that to make sure the longer SOL wouldn't apply to your situation.
