Collection Agency Wrongfully Added Negative Marks to Credit Score?
I was contacted by a debt collection agency who advised me that I had outstanding past due amounts for charges that I was unaware of. I promptly responded to their correspondence in writing to inquire.
I never received a written reply. I contacted the company by phone and provided my account/reference numbers. I was then transferred to a “supervisor” who refused adamantly to provide his name. His response was simply (and I quote) “your account has been sent back to the original company”. You need to contact them directly. Click. (He hung up on me.) All my subsequent calls are either “misrouted” or hang ups.
Does this sound as shady to you as it does to me? Who should I contact to make sure that this negative debt isn’t put onto my credit report or affect my score?
Tagged with: Credit Score • Hang Ups • Supervisor
Filed under: Credit
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Hold your head up high, because it sounds like you just defeated a junk debt buyer.
I can only assume that this was a debt that is past the SoL and this junk debt buyer bought it in hopes of bullying you into paying, but when you requested validation you called their bluff as they likely did not have your records so they could not collect on it.
It’s also possible this was a scam.
Have you checked your credit report to verify they did infact list this? If so, you need to dispute the listing immediately and they MUST remove it, as they have given up their right to collect on the debt.
Just another prime example of “junk debt” collectors. Here are some links to guide you through the process of protecting yourself.
Information on time barred debts.
Download a pdf file regarding how to dispute with CRA’s
Credit and your consumer rights.
Information on time barred debts.
I invite you to join the following Yahoo group “DontGetRippedOff” dedicated to helping those in financial trouble, Here you will find information to help you with debt collection agencies.
No collection agency would ever sell their debt back to the original creditor unless they were compelled, and I doubt the original creditor would even buy it back.
This collection agency has no clue what they are doing.
I would suggest that you do not call them at all. Have you sent a debt validation letter? Sounds like you have. Make sure you make no promise to pay or settle until you receive validation. I would also suggest that you dispute the negative mark to all three credit reporting agencies as well as resending your debt validation letter – always certified/return receipt. You can find a sample debt validation letter here:
People rarely receive a written reply that is of any use if at all. If you don’t receive a written reply, do not call them. Calling does not preserve your rights and can actually work against you. You may say something that could be construed as a promise to pay, and in many states this could restart the statute of limitations.
By law, they cannot report this debt until it is validated. I bet that if you dispute it with the credit reporting agencies, it will come right off. You can do it online. I disputed a negative mark like yours online, and in 2 days it was deleted. Not saying that it will work that fast for everyone, but if they don’t respond to you, chances are they can’t verify it and are trying to ignore you.
Also, be on the lookout for a lawsuit. Collection agencies sue more than people realize. If you are sued, don’t ignore the court papers. Make the collection agency prove that the debt is yours and that you own it. Chances are, they won’t be able to come up with documents necessary, and if they can’t verify it with the credit reporting agencies, chances are they can’t in court.
Good luck. And yes, it does sound shady and dishonest. Just stay off the phone with them – you’ll get nowhere with them on the phone. Keep writing your letters and monitor your credit report closely.