Question: Letter from CA

[domsrs]

Hi...I started the the process of cleaning up my Credit Reports about 2 1/2 weeks ago. I sent out my first round of DV letters and almost immediately received a letter back from one of the CA's that quotes FDCPA 95-109 (no paragraph) stating that they don't have to provide me with proof that the debt is mine because:

"The time period allowance for requesting an itemized statement has expired; and therefore we are not required by law to provide you with this information. Please refer to Federal Law P.L. 95-109 that appeared on your collection letter as stated below.

"FEDERAL LAW 95-109
Unless you notify this office within 30 days after receiving this notice that you dispute the validity of this debt or any portion thereof, this office will assume that this debt is valid. If you notify this office in writing within 30 days from receiving this notice that you dispute the validity of this debt or any portion thereof, this office will obtain verification of the debt or obtain a copy of a judgment and mail you a copy of such judgment or verification. If you request of this office in writing within 30 days after receiving this notice this office will provide you with the name and address of the original creditor, if different from the current creditor."

I am not familiar with this creditor (other than their entry on my credit report) and I am sure that I have never received any communication from them, how should I go about continuing my dispute? Thanks,

[soonguynetworks]

The Collection Agency is wrong, you ALWAYS have right to validate the debt regardless of SOL. If you were to challenge it within 30 days they would have to remove it from your report while they investigated.

I would send them one more DV w/CMRRR and if they send the same reply you can sue them. Just make sure you document all the contact you have with them, such as...

• Date/Time
• What you did
• Who you talked to (if applicable)

[Trish]

Originally Posted by soonguynetworks

The Collection Agency is wrong, you ALWAYS have right to validate the debt regardless of SOL. If you were to challenge it within 30 days they would have to remove it from your report while they investigated.

I would send them one more DV w/CMRRR and if they send the same reply you can sue them. Just make sure you document all the contact you have with them, such as...

• Date/Time
• What you did
• Who you talked to (if applicable)

They above in red is incorrect. They have to stop collection activity until they validate the debt..... but they do not have to remove it from your report.

[soonguynetworks]

While you are technically correct... per court rulings reporting a collection account on someones credit IS considered a collection activity; hence during the 30 day window if you request validation from the CA they must cease collection activity, which includes reporting it on a persons credit report.

I cannot post URL yet so I cannot provide the link to the FTC website where this is explicity outlined, see the following excerpt... there have been court rulings confirming this is true; see... TWYLA BOATLEY, Plaintiff, vs. DIEM CORPORATION,

"Is it permissible under the FDCPA for a debt collector to report, or continue to report, a consumer's charged-off debt to a consumer reporting agency after the debt collector has received, but not responded to, a consumer's written dispute during the 30-day validation period detailed in § 1692g?"

As you know, Section 1692g(b) requires the debt collector to cease collection of the debt at issue if a written dispute is received within the 30-day validation period until verification is obtained. Because we believe that reporting a charged-off debt to a consumer reporting agency, particularly at this stage of the collection process, constitutes "collection activity" on the part of the collector, our answer to your question is No. Although the FDCPA is unclear on this point, we believe the reality is that debt collectors use the reporting mechanism as a tool to persuade consumers to pay, just like dunning letters and telephone calls. Of course, if a dispute is received after a debt has been reported to a consumer reporting agency, the debt collector is obligated by Section 1692e(8) to inform the consumer reporting agency of the dispute.

[Trish]

Yes, I have heard this argument but have yet to see it work (consistently). You would have to take the FOI to court..

I agree. I think that reporting on your CRs should be considered collection activity.... but it would be very difficult to enforce.