I have a third party collections agency trying to collect on a debt from 2000. The last activity on the account was in 2004. I'm in PA - my understanding is the Sol is 4 years. The account was charged off from the ORIGINAL creditor in 2001. Since they took over the account in 2004... they've begun adding interest and late fees as if they are the original creditor.
I've refused to do business with this company because of the manner in which they handle their customers. Do I have the right to refuse to do business with them? Do they have the right to begin charging interest and late fees 3 years after it's original charge off?... they changed dates on my credit report in order to "retard" the age of the account. I have proof to that fact and since they can't get their numbers and dates straight, I refuse to do any such business with them. They are a collection agency and I don't approve of how they've handled this situation.
Any advise would be greatly appreciated.
* extra info... account was charged off for a total of $1100 in 2001. PRA is claiming I owe nearly $5000 on the account. When I asked to setting the account (in 2004, just after they got it) for $1000.00, the gentleman I spoke to asked me "WHAT I WAS SMOKING' IF I THOUGHT THEY WOULD SETTING A $3000 ACCOUNT FOR $1000.". Since that statement... I refuse to discuss the account with PRA.
Hi Mommea03
As far as I know SOL in PA for open accounts is 4 years. Your debt is past the SOL and this should protect you. If you have the original documents when dealing with the original creditor keep them handy. Send a 'cease and desist' letter to the collection agency trying to contact you. Before you do this make sure through an attorney about the SOL in PA.
Collection agencies can continue to pursue you for a debt for years even after the SOL has expired. They do this to see if anyone would get intimidated by the new pursuit and would pay up. Even if they sue you can contest this by giving in proof to the court that the SOL has expired and the collection agency is pursuing the debt after the expiry of the SOL. The court will dismiss the claim. However, you can still pay the debt. It is your choice, but remember if you make a payment on a debt, the SOL will be reset. And yes, you can ignore this collection agency if the SOL has truly expired. First make sure of this.
By the way, is this debt still showing on your reports?