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TryingToUnderstand

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Is this legal? Collection Agency/Debt Buyer category.
I received a letter from a debt collector/debt buyer with a settlement offer on my 6+ year account (end of year it will fall off). At the bottom of the letter it reads "because of the age of your debt we will not sue you and we will not report it to any credit reporting agency"

They state in the letter that they are not reporting me to any agencies, but they are reporting me. I have an open collection account with them showing on both equifax and transunion. From all of my research, I believe that it is the law that they must notify you if they are going to report negatives to the credit bureaus. Perhaps they did notify me a long time ago, I am not sure, but this recent letter saying that they are not reporting me when in fact they are seems to be illegal to me. If I was not here on credit karma I would not know the difference that what they were telling me is a lie.

Is this illegal? How should I proceed? Do I have leverage to get this account off of my report? As I said it will fall off at the end of the year anyway, but the sooner the better. Also the remarks that they have on Transunion and Equifax do not match. One says Placed for Collections and the remark on the other one says Collections Account.

Thank you in advance for any advice here.

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you have to dispute them on transunion as "too old to report" option online (though calling worked faster for me.. within minutes.) and experian you need to call and tell them obsolete, too old to report (they were nice enough to sit with me for 20 mina  go over all my accounts and tell me which ones I could have removed and when to call back on the other ones).  equifax on the other hand you may have try online, calling, and mail.  it takes a few times for most people with them.. thay are kind of a pain hope that helps.

also I had several accounts with midland as the debt buyer and they folded immediatly upon my contesting them and sent me letters telling me they have closed my accounts and I have no further financial obligations to pay them as well.  they just don;t want to bother on SOL accounts..

if you still have problems look up the terms DV, and cease communications.  as DV will make them prove the debt which they probably wont be able to and if they do send them the cease communications letter to get the stop emailing you and they will prob just close you out if they can't sue you.

I wouldn't bother threatening them though.. they don't care.  they do this all day.  just send a basic letter.

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Thank you for the advice creditgeek88, I appreciate it and will definitely give it a shot. Thanks again.

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Thank you again very much creditgeek88 your advice was of extreme value, it took some disputing and requesting on top of more disputing and requesting and a little time, but since your advice on Mar 7, I have made some dramatic changes to my credit reports, I never knew of early exclusions until you told me about this and while I still have a couple of negatives to go, most of them are now removed. In only 13 days with your advice I have made leaps and bounds. Thank you again so much. Keep doing what you are doing, your time on here answering questions is greatly appreciated, whether you know it or not, you have made a huge difference in my life and I am sure that you have helped many others as well.

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what save me says.. but in practice its 7 years.  every CRA says 7 years and every disclaimer Ive seen says 7 years.  Experian will remove 3 mo prior to 7 years.  transunion 6 months prior to 7 years and equifax anywhere for 1-6 months before the 7 years depending on the mood or where the reps from..

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Thank you for your response creditgeek88, but for me it doesn't appear so. The 7 year mark from last payment made on 2 chare offs I have on my report, is May and the other in June (this year) and both charge offs are still appearing on both transunion and equifax at least according to credit karma.

You gave me some hope though, I will keep my fingers crossed and hope to see them disappear sooner than later. Thanks again.

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Hi TryingtoUnderstand,

I ran into something similar about a year ago.

Step 1.   Double check that this indeed is due to fall off.  They are able to report the debt for 7 1/2 years from date of first deliquency.  If it's within the 7 1/2 years, don't worry yet.

Step 2.   Double check what the statute of limitations is in your state.  In my state of Colorado, the statute is 6 years.   For me this means that a debt can be reported on my credit report beyond the time that it can be collected on.

Step 3.  Assuming that this debt is past the statute of limitations OR past the 7 1/2 year point you will want to write the debt colllector.    I will include a copy of a recent letter that I sent.  Obviously, you'll want to write your own letter, more closely catered to your specific experience.

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To Whom It May Concern:

I am sending this letter to you in response to receiving a letter from your office dated 2/18/2015.  This letter that you sent is a pre-approval of a discount on a debt that you allege that I have. 

After first noticing this alleged debt on my credit reports in February 2014 (yes, over a year ago), I disputed this debt (included).  Over a year ago, this dispute I sent to you resulted in the prompt removal of this listing from my credit reports.

In any event, I consider the matter closed.  In your letter to me, you acknowledge that you will not sue me for this debt or report it to any credit reporting agency.  The chance for your company to validate this debt was over a year ago when I initially requested it.  To be clear, you will not be receiving any money from me.

I would also like to RENEW my request, in writing, that no telephone or written contact be made by your offices to my home, my cell phone, any of my friends or family, or to my place of employment. If your offices attempt telephone communication with me, including but not limited to computer generated calls or any correspondence sent to any third parties, it will be considered harassment and I will have no choice but to file suit. All future communications with me MUST be done in writing and sent ONLY to the address noted in this letter.  With the lone exception of me receiving a summons to appear in court, I will ignore any future letters that your company sends to me.  I recommend that your company save on the costs of postage going forward as after this letter, I will be doing the same.  This is the LAST letter that you will get from me regarding this.

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Step 4.   Write to the credit reporting agencies.  You will want to reference a copy of the letter that the debt collector sent to you.  You'll highlight the important portion of the letter that states (paraphrasing)  "Do to age, we will not sue or report this to any credit reporting agency".  Again, I will include a copy of a letter that I have written.  

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​Dear Experian (or whoever you are writing to),

This letter is a formal complaint that you are reporting inaccurate credit information.  I submitted a request with you to validate this debt. 

I have no doubt that you have a desire to correct and ensure that my credit report shows only accurate information.  I am confident that any mistakes in my credit report are due to debt being incorrectly reported to you.

The following information therefore needs to be verified and deleted from the report as soon as possible:

(Debt collector listed here - Any account #'s here)

(Original Creditor – Name of orginal creditor)

I disputed the validity of this debt, as well as the Statute of Limitations (6 years in my state of Colorado) with (debt collector you've just mailed) and their only reply as of now has been a settlement offer of 90% off.  In their own letter to me (received on March 7th), they acknowledge that I will not be sued, nor will it be reported to any credit reporting agency.   Obviously, this is still on the credit report.

Please delete and permanently remove the above information as quickly as possible.  In addition, please send me an updated copy of my credit report that reflects this change.  (I have found the Experian is happy to resend a complete credit report, while EQ and TU will just send a page reflecting an update)

---------------

I hope that helps you!   Let me know if I helped or if you have anything further.

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Thank you very much SaveMefromDebt's for your response, it was helpful and I do really appreciate your time. The only thing is, I don't believe that I have ever disputed the charge with the debt buyer. From what you are saying, it sounds like I may have to do that as a first step. If so, do you think I should or could do that now? I am wary of kicking the hornets nest when it is close to falling off. 

The debt is beyond my stated statute to sue, however the 7 1/2 year mark is only about 9 months away.

I am considering sending a Cease and Desist letter to this company as well as one other company that I have been harassed by for years, then if that doesn't fix the constant phone calls I will call an attorney.

Thank you again for your advice, it's appreciated.

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FRAUD

THATS WHAT IT IS. FRAUD AND WE HAVE NO PROTECTION.  WHY SETTLE AT THIS STAGE LET TIME

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