Item removed from credit report

Submitted by Anonymous (not verified) on Tue, 08/31/2010 - 04:53
Forums

Hi,

My credit report was showing a negative with a collection agency. I sent them a debt validation letter although I was outside the 30 day time limit. Within a week of their getting my letter, they deleted the derogatory reporting from my credit reports. What can this mean?

I'm in California. Is the CA supposed to remove the entry during the DV process and can it come back later? It just makes me very curious. This was an old debt and the SOL was up in November 2008. I confirmed with the OC and they verified that this account is with this collection agency.

Any thoughts...?

Hi Felton,

Perhaps the collection agency wasn't able to validate the debt and thus they have removed the item from your credit report. Moreover, during the validation process the collection agency cannot go on reporting the item till they actually validate the debt. This can be a reason too for the removal of the item from your credit report.

As the Statute of Limitations (SOL) on this debt is up, you have the right to dispute this item with the credit bureaus. However, if the debt is valid (as far as I understand from your post the debt is a valid one) the colection agency can go on trying to collect the debt from you though they can't sue you.

If th collection agency validates the debt the listing can come back on your credit report. However, you can dispute the reporting based on the SOL, and the 7 years time for which an item can get reported (if this applies).

Thanks,

Aaron

Tue, 08/31/2010 - 07:53 Permalink