I got a furniture bill back in 1997. It was charged off in 2000. and was removed from my report. Now the debt is showing up from a new collector with a new date opened of 06/2007. Is this legal to start me all over again? I thought derogatory items has to be removed after 7 years. Is there anything I can do about this?
2007-10-23 05:02:05 · 5 answers · asked by LuvMyGirls 5 in Business & Finance ➔ Credit
Thanks everyone. Yeah I didn't dare send any money after it was declared a charge off. I new it would reset the date of last activity but this has a new date of 2007 and it doesn't seem right.
2007-10-24 03:15:53 · update #1
Send a dispute letter to all three credit bureaus stating that this entry on your credit report is a re-aging of an old charge-off and that it needs to be removed.
There is no limit to how long a collection agency can go after debt they purchased. Yet, once the statue of limitations is up (varies with each state, but in general is in the 4-6 year range), they can no longer take legal action on the debt. After this time period has passed, they can only annoy you into paying like calling you. You can send what is known as a "cease communications" letter to them to stop contacting you. Once this letter is sent, per federal law they have to stop communicating with you.
If you make the mistake of paying the collection agency, the statue of limitations CAN be reset, so be careful. The seven year reporting cycle on your credit report CANNOT be reset...This is called "re-aging" and it is against the Fair Credit Reporting Act.
Collection agencies are notorious for placing bogus negative entries on credit files...such as changing "date of last activity" dates, as well as posting bogus payments to restart the statue of limitations. Challenge any such activity.
www.budhibbs.com is a great source of information.
2007-10-23 15:07:21 · answer #1 · answered by CatDad 7 · 0⤊ 0⤋
I had a similar situation years ago with a car note that was sold to collection agencies. When it showed up on my credit report, I questioned the account (didn't know what the debt was for)...from there, you can resolve the issue with the "last activity date". You may want to look to someone more wise, but I believe any activity on the account can reset the last activity date, so if you send them money, your date will be reset and the old 7 year counter starts again...be careful with this one!
Nobody is suggesting the account was "re-aged" - the fact is if you have a debt and are paying on it, the bad debt comes off 7 years after the last activity. If someone purchases the debt and you begin paying on it...the debt isn't "re-aged" the debt is still active. 7 years doesn't have anything to do with it at that point...
Good luck!
2007-10-23 12:38:55 · answer #2 · answered by Glenn 2 · 0⤊ 1⤋
After seven years, the debt should fall off your report - no matter what happens to it (i.e. you pay it, it's re-sold, etc.).
It is illegal to re-age an account. You might still owe the money, but it should not show up on your report.
2007-10-23 16:23:03 · answer #3 · answered by YSIC 7 · 2⤊ 0⤋
Just because a debt falls off your credit report history doesn't mean the debt itself goes away. If its a valid debt, you still owe it.
2007-10-23 12:44:08 · answer #4 · answered by Anonymous · 0⤊ 0⤋
it is a junk debt collector (who might say they are a law firm)
you write them a validation letter asking them to prove you
OWE THEM the money or you will sue them.
creditinfocenter com
buddhibbs com
2007-10-23 14:43:40 · answer #5 · answered by Anonymous · 0⤊ 0⤋