Next Steps-- HSBC Card- Arrow - Redline

Hi forsety,

"On behalf of" means that Arrow still actually owns the debt but they have hired Redline to collect on it.

Redline is allegedly terrible with debtors, so be careful. (Do a search of "Redline" in the search box above, there are many threads about them.)

They are not supposed to be trying to collect if there is a Dispute through the credit reporting agency. That's an FDCPA violation right there.

Yes, send the DV to Arrow also.

Hope this helps.

chrys

Thanks that confirms the way I was thinking about responding.

Basically I write Redline that

1. They are in violation of (insert appropriate regulation here) by writing to collect this for Arrow while there is a dispute at the credit bureau's

2. That they are in violation of the same by responding to a DV with a request for payment in full

3. Remind them of what a DV includes and that I still expect it within 30 days from when they received and signed for my initial request

4. That I expect them to pass this on to Arrow since their actions place both companies in violation of the law and subject to the possibility of financial claims against them

Then I will DV Arrow but include alert them to the offenses above and tell them that I expect them to comply

Make sense

To add some juice, file a complaint with the Federal Trade Commission and mention that complaint on every FDCPA (or FCRA) count you can find.

Will do But something new happened tonight. I am having trouble reading and interpreting the information on the credit report. The informaton from HSBC and Arrow was "updated " and basically verified. So far the only change I can see is one dollar more on both accounts and a little more of late history on HSBC accouny

I am having trouble understanding the entry in terms of numbers let me cut and past all but the account number here:


"HSBC BANK
Status:
Transferred,closed/Account charged off. $497 written off. "

Ok does that mean my charges when account was closed and written off were only $497

Below I past the rest of their entry followed by Arrows "updated" entry"

Thanks

4 Sety

Date Opened:
02/2007
Date of Status:
04/2008
Reported Since:
03/2007
Last Reported Date:
04/2008


Type:
Revolving
Terms:
N/A
Monthly Payment:
$0
Responsibility:
Individual


Credit Limit:
N/A
High Balance:
$812
Recent Balance:
N/A
Recent Payment:
N/A


Creditor's Statement:
Purchased by another lender.


Account History:
Charge Off as of Apr 2008, Mar 2008
150 days as of Feb 2008
120 days as of Jan 2008
90 days as of Dec 2007
60 days as of Nov 2007
30 days as of Oct 2007

Balance History:
03/2008 $812
02/2008 $794
01/2008 $774
12/2007 $755
11/2007 $736
10/2007 $689
09/2007 $614
08/2007 $570
07/2007 $477
06/2007 $494
05/2007 $491
04/2007 $266


Limit High Balance History:
Between Apr 2007 and Mar 2008, your credit limit/high balance was $500

_==========================================

Here is Arrow's


ARROW FINANCIAL SERVICE

Address:
5996 W TOUHY AVE
NILES, IL 60714
(800) 279-0224 Account Number:
XXXXXXX Original Creditor:
HSBC CARD SERVICES III INC


Address Identification Number: 0025873843


Status:
Collection account. $865 past due as of Nov 2008.
Status Details:
This account is scheduled to continue on record until Jun 2014.
This item was verified and updated on Mar 2009.


Date Opened:
04/2008
Date of Status:
07/2008
Reported Since:
07/2008
Last Reported Date:
11/2008


Type:
Collection
Terms:
1 Months
Monthly Payment:
$0
Responsibility:
Individual


Credit Limit:
$812
High Balance:
N/A
Recent Balance:
$865
Recent Payment:
$0


Account History:
Collection as of Nov 2008, Jul 2008
++++++++++++++++++++++++++++++

Also, the creditor does *not* have 30 days to respond. They can take their own sweet time about it. *But* they are not supposed to make any attempts at collection until they do. It is the Credit Reporting Agency that has 30 days to respond, which can be extended to 45 days. In that case the creditor would send their proof to the CRA, which would then update you and your report(s) accordingly. The CRA will note the black mark as being disputed unless or until the creditor validates. But you have to send in that dispute within 30 days of receiving the dunning letter (debt statement from the debt collector).

Yes, $497 was the amount written off, as stated. But it is common practice to add service fees, interest, etc.

I would say that that letter was an attempt to collect, but since the date is so close, I wonder if they can wiggle out of it if need be. What is the date of the postmark on that letter?

On your Draft letter: 1) That code is: 15USC1692g(b)

What is the date of the postmark on that letter?

I am looking for the envelope for that reason :)

Although they dated the letter March 10th so clearly the investigation which is dated today was in process whether or not the received my request for validation at the time

Household is HSBC, they recalled it. This can actually be good, they would be in a position to settle. So it also means that they didn't sell the debt, so you may have not gotten a good settlement from Arrow anyway. I'd say contact Household and negotiate with them to settle and close it.

What is odd is that according to the credit report they sold it after chargeoff.

Might a combo Validation request/ Offer in compromise seem a good approach?
Does settling for?? 25 -30%?? but absolutely no more than 40% seem possible

Thanks again
4sety

I would call them and offer 25% to close it once and for all, before they send it off to a debt collector with an even worse reputation!