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When it comes to a credit card, I'm curious to know, who is actually "the original creditor? For example, Providian is backed by Citi Bank (I think), but when you sign up for a credit card with Providian, and receive and make payments to Providian, wouldn't that make them the original creditor? Yet, if you default, and they turn it over to collections, the statement has Citi Bank listed as the original creditor. I am just trying to understand how this works. Anyone who may have some input I would appreciate it! Thanks!

Posted: Thu Apr 03, 2008 7:40 am Subject:

Providian is owned by Washington Mutual.

Guest · Posted: Thu Apr 03, 2008 7:51 am Subject:

Credit cards are issued by a small number of companies like Chase and others, the "Issuer". They are issued in the name of a "Merchant", so you can have a Continental Visa, or a Fluffy Bear Mastercard, or whatever. You are the consumer who uses the card.

The person who lends the money is the Issuer, so they would be the "original creditor".

Posted: Thu Apr 03, 2008 7:56 am Subject:

SOAPLADY

Posted: Thu Apr 03, 2008 8:00 am Subject:

Guest:

Posted: Fri Apr 04, 2008 5:12 pm Subject:

Can the original creditor be erased from a credit report if taken over by a collection agency? Why I ask is the original creditor is not on my report. The collection agency is. There is no record of the original creditor.

Posted: Fri Apr 04, 2008 5:19 pm Subject: debt

Same here. However..it wasn't a credit card. The CA is on my CR, NOT the OC. OR...in some cases, BOTH are. GOSH...credit is confusing.

Posted: Sat Apr 05, 2008 4:25 am Subject:

Now it is possible that the original creditor never reported and only the CA is reporting. However for the purposes of the 7 year +180 day reporting period if the OC no longer is reporting due to the fact that their reporting period has expired then all associated collection trade lines must also be removed, per FCRA.

Posted: Sat Apr 05, 2008 8:04 am Subject:

I have seen it plenty of times when a OC and a CA both have a debt listed...now I just assumed it was legal..but now that I think about it...shouldn't it be considered a duplicate listing? If the OC already has it on the report, a CA shouldn't..its the same dang account....I wonder if we could successfully argue that any CA listing is a duplicate?

Posted: Sat Apr 05, 2008 3:27 pm Subject:

Its not a duplicate, if a collection agency reports correctly (legally) on a credit report they can show up on the CR along with the OC, however collection accounts (properly reporting) do not damage your FICO score as much as the delinquent account the OC is reporting. However the CA entry is tied to the OC's so once the reporting period on the OC's trade line expires the CA has to go as well.

Posted: Mon Apr 07, 2008 6:25 pm Subject:

Posted: Tue Apr 08, 2008 2:14 am Subject:

Well, if the original creditor can no longer report as the reporting period has passed then all related collection trade lines must be deleted. If a CA (collection agency) is reporting on your credit report and it gets recalled from them or sold to another CA then their trade line must be removed. It sounds to me that the CA your dealing with may be reporting a later than actual open date (known as re-aging) which is a violation of the Fair Credit Reporting Act.