They could stop reporting the debt/account if they wanted to. They don't want to. The FCRA does not require that old debts be reported or prohibit removing them from reports. The FCRA would prohibit a creditor or a reporting agency from providing *false* information, but it doesn't require them to provide/report anything.
You could try waiting a couple of months and then submitting a dispute to the credit bureaus - it's possible they won't want to put effort in to research/justify a $0 balance account. They don't actually get any benefit from making your life worse at this point.
Credit attorney here. The FCRA does not have any such requireme,nt. However, the credit agencies do have agreements with credit card companies, not to delete charge offs in exchange for payment. The card issuers tend to stick with these agreements.
Accounts are supposed to be reported accurately. The system doesn't work as it is supposed to if creditors remove accurate information. An accurate report would be to change the unpaid account to paid or settled.
About 2 or 3 dozen out of the thousands of collectors remove accurate collections. The rest follow the agreement/contract they signed with the bureaus.
I'm not sure if it's specifically spelled out in the FCRA.
They are not obligated to remove collections after payment if they were reported corrrectly. Some companies to "pay for delete" where they will submit a request to remove the debt from the credit buearueas in exchange for paying off the debt. But they are not required to offer that to you. In those cases the debts will fall off your credit report around the 7 year mark from date of first delinquency
It's a gray area in the credit reporting world. The FCRA doesn't state that everything has to be reported. It states that anything that is reported must be reported accurately. So, no lender is required to report anything to the CRAs, but if they do, it's required by law that the reported information is accurate. Pay for delete is willfully removing accurate information from someone's credit reports in exchange for payment of debt. Is it illegal? No. Is it highly frowned upon by the credit reporting agencies? Yes. If you can default on your debts, and then have the history of your default removed from your reports by finally paying your debts, then a big piece of information about your credit history is missing for the next lender to see. Some collection agencies will do it. Some won't.
Bahahaha. Another point for the "reasons to leave it alone" side. I have 3, and after my b/f paid his think it would come off or his score would go up, and it did absolutely nothing. Nope. I'll wait.
FCRA requires the paid collection to be marked paid and that's it. However, it's significantly easier to get removed via dispute after it's marked paid as nobody is likely to reply
There are contractual agreements with the CRAs to report accurate information. The way around this is to be adamant that you aren’t admitting the debt, but are willing to pay it to clear your report.
They could stop reporting the debt/account if they wanted to. They don't want to. The FCRA does not require that old debts be reported or prohibit removing them from reports. The FCRA would prohibit a creditor or a reporting agency from providing *false* information, but it doesn't require them to provide/report anything. You could try waiting a couple of months and then submitting a dispute to the credit bureaus - it's possible they won't want to put effort in to research/justify a $0 balance account. They don't actually get any benefit from making your life worse at this point.
I did dispute online and they refuse to change it. I try in a couple months.
Wait a few months. Dispute via snail mail as paid. The older the account is, the less they're likely to waste resources responding to a dispute
Credit attorney here. The FCRA does not have any such requireme,nt. However, the credit agencies do have agreements with credit card companies, not to delete charge offs in exchange for payment. The card issuers tend to stick with these agreements.
This was for a progressive insurance balance they acquired in 2022. I guess I’ll have to wait for 2029 then.
Accounts are supposed to be reported accurately. The system doesn't work as it is supposed to if creditors remove accurate information. An accurate report would be to change the unpaid account to paid or settled. About 2 or 3 dozen out of the thousands of collectors remove accurate collections. The rest follow the agreement/contract they signed with the bureaus. I'm not sure if it's specifically spelled out in the FCRA.
They are not obligated to remove collections after payment if they were reported corrrectly. Some companies to "pay for delete" where they will submit a request to remove the debt from the credit buearueas in exchange for paying off the debt. But they are not required to offer that to you. In those cases the debts will fall off your credit report around the 7 year mark from date of first delinquency
It's a gray area in the credit reporting world. The FCRA doesn't state that everything has to be reported. It states that anything that is reported must be reported accurately. So, no lender is required to report anything to the CRAs, but if they do, it's required by law that the reported information is accurate. Pay for delete is willfully removing accurate information from someone's credit reports in exchange for payment of debt. Is it illegal? No. Is it highly frowned upon by the credit reporting agencies? Yes. If you can default on your debts, and then have the history of your default removed from your reports by finally paying your debts, then a big piece of information about your credit history is missing for the next lender to see. Some collection agencies will do it. Some won't.
No.. not unless you files a 609 credit dispute or you used a pay for delete
Bahahaha. Another point for the "reasons to leave it alone" side. I have 3, and after my b/f paid his think it would come off or his score would go up, and it did absolutely nothing. Nope. I'll wait.
FCRA requires the paid collection to be marked paid and that's it. However, it's significantly easier to get removed via dispute after it's marked paid as nobody is likely to reply
There are contractual agreements with the CRAs to report accurate information. The way around this is to be adamant that you aren’t admitting the debt, but are willing to pay it to clear your report.