Dispute multiple collection agencies reporting the same debt
It’s not unusual for unpaid debt to change hands but only one debt collector can report on your credit history for the same debt.
Debt Collectors
Can collection agencies keep updating credit reports?
A collection agency can continue to update the account on your credit reports up to the date the reporting time has expired.
Does paying off collections improve credit score
Once a collection account lands on your credit reports it can stay for up to 7 years from the date of the original account’s default regardless payment. Paying a collection account does improve credit scores but only under FICO 9 scoring system.
Steps to take if a credit account has been Re-Aged
Re-aging credit accounts causes older negative accounts to look more recent which can ruin your credit score and is a serious violation.
What Constitutes Proper Debt Validation
The FDCPA does not clearly set standards as to what is proper debt validation but the court’s have made rulings that can be used as guidelines.
Remove accounts that are past the credit reporting time period
Original creditor is no longer reporting an account to the credit bureaus but debt collector is reporting new dates on the account. This action is re-aging an account which is illegal.
Disputing an old account can trigger a new debt collector
Disputing an old collection account can trigger the collection agency to renew their collection efforts or sell the debt to a new debt collector.
Duplicate negative accounts on credit reports will crash a credit score
Credit scores can take a dive if you have duplicate negative information. It appears that you have more DEBT than you actually have.
Can a collection agency report an account 30 days late?
Collection agencies are not original creditors and should not be reporting monthly late payments on your credit report, you have no legal account with a debt collector that requires monthly reporting of late payments.
