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Gfinmylife

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2 year old collection removed?
I was just checking my credit score and a two year old collection was randomly removed. It is from an internet provider who sold it to an outside collections agency. It was for under $200. Is it going to come back on my credit? Will I get sent to court? What about it being taken from my tax refund next year? Or will I be fine?

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2 year old collection doesn't say much. Its goes by Date Of First Delinquency and not when collection was opened, in a unlikely scenario, the original creditor for whatever reasons waited for 5 years after DOFD before they send it to collection, then the collection could only last up to 2 1/2 years for total of 7 1/2 years the reportable length. The Credit Bureaus routinely removed collection accounts after 7 years rather than whole 7 1/2 years. So if that debt hasn't reached 7 yesrs? It have potential to come back onto your report, again, just an "scenario" could be that collection is in the process of being sold to another debt buyer, and the new debt holder hasn't gotten around to report it yet, or they might not ever report it. However it doesn't mean that collection agencies can never contact you for that debt once it reaches 7 years, because the unpaid debt can only be discharged by, paid (duh), forgiven or thru Bankruptcy, as long as they do it with-in FDCPA and your State's collection/consumer law, they can attempt to collect even if it 20 years from now.

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Generally, Collection agencies can not proactively or forcefully separates money away from you, unless they have a judgment against you, then they can garnish your wages and or levy your bank accounts, the length the time they can do that is the Statute Of Limitations, it varies from State to States and its independent from the DOFD, meaning that your "legal" obligation aren't going by what's on your credit reports. Government related debts like tax liens/student loans usualy are the ones taking your tax refunds.

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