Hi,
I was in the Army 2000-2007. It's now 2010 and I need to try, and clean up my credit. Most of my bills ($8000) are from the 2002-2006 period and are past the SOL so I know I wont get sued. Here are my questions:
1. Should I leave these old bills alone..do they "disappear/fall off credit report at the 7 year mark?
2. If I do want to pay these bills, do I contact the the Collection company who purchased it? Do I need to have them verify that they do own this debt?
3. Some of these bills have collections that show different amounts and dates and account #s. Some of the collections, I can't even tell which bill they belong to.
4. #3 problems sound like a violations...so Do I contact credit bureaus first and see if they will fix the #3 problems and then contact the Collection company, second, and let them know that these are violations and fix it or I'll get a lawyer?
Any suggestions on where to start
paying off old accounts
Hi Heardind,
1. Should I leave these old bills alone..do they "disappear/fall off credit report at the 7 year mark?
The negatives do fall off your credit report after seven years. However this does not mean that the Statute of Limitations (SOL) on this debt have expired. If the SOL have not expired then the creditor may still sue you for not paying the debt. Thus, you will have to check if the SOL on these debts have expired. If the SOL still haven't expired, you should try to pay these off.
2. If I do want to pay these bills, do I contact the Collection company who purchased it? Do I need to have them verify that they do own this debt?
If you are not sure about the debt, then you can send validation letters to the collection agencies.
3. Some of these bills have collections that show different amounts and dates and account #s. Some of the collections, I can't even tell which bill they belong to.
and
4. #3 problems sound like a violations...so Do I contact credit bureaus first and see if they will fix the #3 problems and then contact the Collection company, second, and let them know that these are violations and fix it or I'll get a lawyer?
If there are any vague or wrong listing on your credit report, you can try debt validation. Immediately after sending certified validation letter to the collection agencies, and after you get back the return receipt, send dispute letters to the credit bureaus, This puts the colelction agencies in a time crunch. When you file dispute with the credit bureaus, they notify the collection agencies of this dispute. The collection agency has only 30 days to verify this debt with the credit bureaus. However, before they can verify the debt with credit bureau, they will have to validate it with you, or they are in violation. Now, if they can't verify the debt with the credit bureaus within the 30 day frame, the bureaus will automatically remove the tradeline from your credit report.
Thanks,
Aaron