And Old Debt

Date: Tue, 04/03/2007 - 19:48

Submitted by anonymous
on Tue, 04/03/2007 - 19:48

Posts: 202330 Credits: [Donate]

Total Replies: 5

More than 7 years ago I took out a loan for $5000.00. Unfortunately I was young and dumb and did not read the fine print. They were charging me 30% interest. I paid $200 a month for over a year but the loan only grew larger. I became dissillusioned and decided to stop paying it. I became delinquint in 1998. It popped up on my credit report about 4 years ago and I contacted the collection agency and tried to settle the debt. I offered to pay $3700 but they declined, yet they insisted I make a payment. But I didn't. Just recently I got a notice that it was sold to another agency and has grown to almost $10,000. I am so confused. What do I do? Do I have to pay it? And how long will this remain on my credit? I had perfect credit before this problem.

If you first became delinquent in 1998,7 1/2 years later it woul

If you first became delinquent in 1998,7 1/2 years later it would have been required to drop from your report.A debt that old should be out of statute.What that would mean is you cannot be legally sued for it. Paying on a debt this old is a moral decision you will have to decide for yourself, but it definately should not be on your credit report.

lrhall41

Submitted by cajunbulldog on Tue, 04/03/2007 - 19:56

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OP stated that he/she attempted a settlement approx four years a

OP stated that he/she attempted a settlement approx four years ago, so it is possible that the SOL has been renewed.

To OP: the SOL I'm referring to is not the credit reporting time, but the amount of time a creditor has to file a lawsuit against you.

lrhall41

Submitted by Morningstar on Tue, 04/03/2007 - 22:15

( Posts: 1633 | Credits: )

SOL is possibly renewed if the collection agency has proof of th

SOL is possibly renewed if the collection agency has proof of the offer in writing or a voice recording. You may dispute the debt to be out of the SOL but if they can prove that the SOL was renewed with the settlement offer, you will lose the dispute.

Since the debt is now with another collection agency, you may try disputing the SOL and not to be reported in your credit report.

lrhall41

Submitted by aciotsf on Wed, 04/04/2007 - 12:01

( Posts: 511 | Credits: )

Sol may not have been renewed since no payment was made.Did you

Sol may not have been renewed since no payment was made.Did you make your offer in writing and did you state that it was your debt or did you just state that it was a disputed debt that you would settle without acknowledgement of debt.

lrhall41

Submitted by cajunbulldog on Wed, 04/04/2007 - 12:08

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Confused, you need to clear some of the questions we have in min

Confused, you need to clear some of the questions we have in mind. This will clear up the SOL part.

SOL is surely renewed on any proof of agreement to pay the debt or with the latest payment.

lrhall41

Submitted by aciotsf on Wed, 04/04/2007 - 12:19

( Posts: 511 | Credits: )