Selling of Accounts
Date: Thu, 02/23/2006 - 11:31
Hi all. Great forum you guys have! I have a question. If you dispute an item on your credit report and they remove it because the collection agency cannot validate it. Can this company then sell that account again to another CA and then they put it back on your report. If they can, how so? If the company they bought it from could not prove it was legit how can a new company with the same infor or lack there or, put it back on your repot. Do these credit bureaus not require some kind of proof before putting it on your credit report?
Thanks!!
Thanks!!
No, when a collection agency is unable to validate the debt, it
No, when a collection agency is unable to validate the debt, it must be reported as 'disputed' in the credit report. More often, that account should not remain in the file. No other company should attempt collections on it because they can view the status in the credit file of the consumer. However, if they have legitimate details of the account, the credit bureau can re-insert the item in the file. But the person has to be notified 5 days before taking the bureau takes this action. This is according to the Consumer protection afforded by the FCRA Part (A)(5)(B)(ii). Any violation can bring up a lawsuit and the extent of damages can be recovered.
