How can I remove a paid off collection account from my credit report?

Question

I am 22 years old and I have limited credit history beyond a single revolving credit card account ($4k limit). I just graduated University and accepted a job that required 6 months overseas. When I returned to the United States, there was an outstanding medical bill in my mailbox (from my visit to the dr for immunizations before i left) - that my company would have reimbursed - DOH! Although I realized it may have been sent to collections already, I paid the balance (~$100) immediately. The collections account on my credit report now indicates that it has been paid but due to my limited credit history, I have been getting turned down for certain benefits such as overdraft protection because of it (and how recently it occured). How can I have this collection account removed from my record?

I would be grateful for any advice. I just moved across the country and the cumulative impact of this is significant. Thanks!

Answer 1

You could ask the collection agency to remove the trade line since you had paid it. But your leverage is gone, so they probably won't.

Order your paid reports from the CRA's. Don't use a tri-merge report.

Dispute any old and outdated information in the personal section on the reports. If you live at a different address now than when you had when you incurred the bill, the trade line "might" fall off if the CRA's delete the old address.

If the trade line remains, look it over for "any" inaccurate information. If there is any inaccuracies being reported, dispute them

Since it had been paid, the collection agency may not verify and it may be deleted.

If the collection agency does verify but does not correct the inccurate info, dispute it again.

If they verify again, file complaints with the BBB, FTC, the AG in your and in the collection agency's state.

Then dispute with the CRA's again.

Sometimes things may fall off easy, sometimes it's a hard road and then sometimes you are just stuck with it for the rest of the reporting period. (with medical, the reporting SOL is 7 years from the date of service)

You should do some reading in the FCRA to see what constitutes violations. Also, you should do some reading in the FDCPA. Click on my profile and use the links I have provided.

Answer 2

You're pretty much screwed right now.

BEFORE you paid off the debt you should have negotiated a "pay for deletion" in writing. That means you pay and they delete your tradeline.

Like another poster said, all your leverage is gone. The collection agency will most likely keep reporting it (because they're all pricks) and if you do try and dispute it with the credit reporting agencies they'll just validate it without actually validating it.

Answer 3

You may dispute the account with the 3 major credit reporting
agencies. Give in detail what happened and not to forget
to indicate that the insurance co is responsible for the
balance. Also, you may need to have proof that you were
covered at the time of the delinqency. If the account is
disputed it will be indicated on your credit report which may
help with other creditors viewing and positive decision
making.

Answer 4

You can make a comment about it on your credit report. I don't know if it will do any good, but when companies see your credit report, they will also see the explanation. You would contact each of the 3 credit reporting agencies to do that. Or you could ask the company that is reporting it to change the report.

Good luck.

Answer 5

It stays.

You need to finance a few small purchases and make afew payments to build it up.