I found a collections account on my credit report and disputed with the credit agency (Equifax). The investigation came back as it being verified so I filed a fraud alert with the same credit agency. ( Long story short - the account was opened by an ex after we broke up. He used the BMG account for 2 years and then let it default. When he opened it I had not lived at that address for over a year and by the time it had gone into default I hadn't even lived in that state for over a year. This was not the first account he opened in my name but I caught and paid off many of them before I left him.)
So what is the best way to proceed? Do I dispute the debt? Or pay it off with the requirement that it is removed from my credit report immediately? Will disputing the debt remove the option of paying it off and having it removed? My main goal is to get this thing off my credit history, but I don't really have the $163 they're claiming I owe. Also, on the credit report it said I owed $43 and now it has almost quadrupled. Is that legal?
collection accounts
Hi Guest,
Please let me know if the collection agency contacted you for the debt? If they did, over the phone or by sending a dunning letter, you can send a debt validation letter within 30 days from the time of first collection attempt.
If you have the 30 days time send the validation letter through certified mail requesting a return receipt. You can then try disputing it with the bureaus with the address proof.
Thanks,
Aaron
Hi Aaron.
I was notified by the collections agency after I disputed the debt with Equifax. (This account was opened in 2002 and went into default in 2004.) Prior to that the only address they had on file was the address where the account was opened. I will be sending them a debt validation letter and I'm hoping they will send me a copy of the signed agreement because it will not be my signature on the contract.
Do you know what kind if info is provided as proof of debt? If I demand the signed contract and they can't provide it, is that reason enough to say they failed to prove the debt was mine (particularly since I can provide proof I did not live at that address)?
proof of debt
Hi Guest,
As proof of your debt the collection agency is supposed to provide you copy of your original signed contract with the creditor, monthly statements as proof of the outstanding debt amount and the proof that the collection agency has the authority to collect the debt from you.
However, not all collection agencies serve you with all the proffs.
Thanks,
Aaron