Any suggestion on the next course of action to take would be appreciated.
On my credit reports I have a collections company named Phoenix Recovery listing two debts which originated from Chase bank. The problem there is I only had one account with Chase so can't explain why they show two accounts in collection. Also, the original date of delinquency with Chase was in 2002 and Chase did appear but I disputed and they were removed but not Phoenix. I've tried disputing since it's only logical if Chase was removed due to the date of delinquency, so would Phoenix but they always "verify." As far as what they verify, I don't know. I believe they have reaged the debt.
The second issue would be a collection account under a Sarma collections for an Orthodontist just appeared three months ago on my reports. This keeps coming back as verified yet, the last time I saw an Orthodontist was back in 1994 which was paid via a car accident settlement. I just can't understand how collection companies can do things like this and it be legal.
I am currently am a client of Lexington Law but have not been impressed with their customer service so thinking of doing it myself. Omega credit repair seems promising though.
Since these accounts keep coming back as verified, what actions would you take next?
I thank you in advance for your responses.
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Hi Haveinmind,
First get hold of the last payment receipt with The Phoenix recovery. Ask Phoenix Recovery to show you the copy of your last payment receipt. Discuss with them the fact that you have a single account. So they should remove the second one from your report. You can also contact Chase Bank regarding this matter. However if they don't co-operate you can directly dispute the wrong listing with the credit bureaus. You need to send them copies of your account details, including you last payment receipt.
As for your second question, as far as i understand from your question, if your debt has been verified you need to pay the debt. However you can ask for a debt validation. Hopefully, they won't be able to provide you with all the debt validation details.
You should also check the statute of limitation (SOL) of your state. If the SOL has expired, the collection agency (CA) won't be able to sue you, otherwise they can. However this doesn't mean that the CA will stop the collection process. If you really owe the debt, it is your duty to pay it off.
1. all credit repair is a rip-off. even if the company is not a scam, they don't do anything that you can't do yourself. Apparently, Lex can't even remove zombie debt!
2. What state do you live in? this will tell us SOL.
3. Aaron, just because a CRA verifies a tradeline doesn't mean that it is a valid debt. all it means is that the tradeline furnisher is sending that info and the CRA has copied it accurately. it does not make the information accurate. I also think that it is not helpful to instruct a consumer that the payment receipt for an 8 year old debt is needed to fix this problem.
4. Have you sent a DV letter to Phoenix? If not do so immediately. send a DV to Sarma. Focus your attacks on the collection agencies for the moment.
5. Why are debt older than 7 years making it to your report? Are they being reaged. Does the CRA show the DOFD as 94 and 02?
Look, you can pay any bill that someone sends but if a bill is beyond the SOL you can instruct the company to cease and desist all collection attempts with a letter CMRRR.
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Hi cinnamngrl,
Thanks that you pointed this out to me, that verification does not always validate a debt. I had a little doubt regarding this, :) therefore I also added that Haveinmind should go for validation too.