Question about dealing with a debt collection agency

[Tommy2000GT]

don't pay it. It goes away in 7 years.

 

[Safeway]

don't pay it. It goes away in 7 years.

I hope that you're joking.

 

[CountZero]

IME most debt collectors are a huge pain in the ass if you are disputing the debt. If you are willing to pay though most are relatively easy to work with, especially if it is debt that was bought for pennies on the dollar.

 

[Charmonium]

That is kind of weird they just dropped it. Most of these are in small claims court. They dont need to send a lawyer to represent them. Usually it is an agent of the company that will schedule to have dozens of cases on the same day. The guy\gal will literally be in court all day arguing for the debt. Most of the time default judgements are issued because the defendants never show up.

True. So you have to know who you're dealing with. In the case of Tivo, it was a pretty good guess that they couldn't be bothered for a couple hundred bucks. But it could be a different story for local merchant.

Also remember that in order to sue you, they have to be able to serve you. In my state, you can serve someone by mail but it has to be registered with a return receipt. If you "live" in a po box, that can be tough to do, especially if don't sign for anything w/o first checking the return address.

 

[Tommy2000GT]

I hope that you're joking.

No. The statute of limitation is 7 years typically for most states but for California it's 4 years. :thumbsup:

My wife had an emergency operation 2 years ago (before we were married and she had no health insurance). The medical bill was $70k. 6 months after the payment was past due, a collection agency called a few times but stopped. We haven't heard anything since. Another 2 more years to go and it will be completely gone.

The debt collectors / hospital can't come after me since it happened before we were married.

The most important thing is don't pay anything, not even a penny. Once you make any payments the statue of limitation will reset.

 

[CountZero]

No. The statute of limitation is 7 years typically for most states but for California it's 4 years. :thumbsup:

My wife had an emergency operation 2 years ago (before we were married and she had no health insurance). The medical bill was $70k. 6 months after the payment was past due, a collection agency called a few times but stopped. We haven't heard anything since. Another 2 more years to go and it will be completely gone.

The debt collectors / hospital can't come after me since it happened before we were married.

The most important thing is don't pay anything, not even a penny. Once you make any payments the statue of limitation will reset.

To clarify as this isn't 100% correct.

The statute of limitations on collecting debt varies from state to state and depends on the type of original debt. It can range anywhere from 3 years to 10 years. It does not mean they can't keep trying to collect but it does mean if they try to sue you can use SoL as a defense. It also has nothing to do with reporting the debt. Not sure what happens if outside the SoL and they sue and get a default judgment. Also it is muddy on if it is where you live now or where the debt originated, apparently both have been used successfully before in separate instances.

Also, as you noted, the clock is from the date of last activity on the account. This is why collection companies will push very hard to get a small payment and reset the clock.

The 7 years is how long it can stay on your report. After 7 years it drops from your credit report (other negatives, for example Ch 7 bankruptcy, can stay on longer). If you have negatives on your report (legitimate or otherwise) you need to watch out for re-ups where they keep upping the date of last activity so that it doesn't drop off. Also some collection agency will try to use you admitting the debt is yours as an excuse to re-up, as far as I am aware they can't legally do this but I haven't personally dealt with it so YMMV.

 

[s0me0nesmind1]

don't pay it. It goes away in 7 years.

Waiting 7 years is all fun, especially when they garnish your wages because you lost the court case you didn't go to. Dumbass.

 

[foghorn67]

No. The statute of limitation is 7 years typically for most states but for California it's 4 years.

My wife had an emergency operation 2 years ago (before we were married and she had no health insurance). The medical bill was $70k. 6 months after the payment was past due, a collection agency called a few times but stopped. We haven't heard anything since. Another 2 more years to go and it will be completely gone.

The debt collectors / hospital can't come after me since it happened before we were married.

The most important thing is don't pay anything, not even a penny. Once you make any payments the statue of limitation will reset.

Holy crap. Was your lawyer wearing suspenders? Who gave you that advice?

 

[highland145]

I hope that you're joking.

Not.

IME most debt collectors are a huge pain in the ass if you are disputing the debt. If you are willing to pay though most are relatively easy to work with, especially if it is debt that was bought for pennies on the dollar.

Nope. Just do it online via the 3 bureaus.

To clarify as this isn't 100% correct.

The statute of limitations on collecting debt varies from state to state and depends on the type of original debt. It can range anywhere from 3 years to 10 years. It does not mean they can't keep trying to collect but it does mean if they try to sue you can use SoL as a defense. It also has nothing to do with reporting the debt. Not sure what happens if outside the SoL and they sue and get a default judgment. Also it is muddy on if it is where you live now or where the debt originated, apparently both have been used successfully before in separate instances.

Also, as you noted, the clock is from the date of last activity on the account. This is why collection companies will push very hard to get a small payment and reset the clock.

The 7 years is how long it can stay on your report. After 7 years it drops from your credit report (other negatives, for example Ch 7 bankruptcy, can stay on longer). If you have negatives on your report (legitimate or otherwise) you need to watch out for re-ups where they keep upping the date of last activity so that it doesn't drop off. Also some collection agency will try to use you admitting the debt is yours as an excuse to re-up, as far as I am aware they can't legally do this but I haven't personally dealt with it so YMMV.

Or they sell it and create a new set date. I hope this is the case for tommy's deadbeat SO. I think the amount billed by hospitals is insane but tommy thinks his SO should get a free ride. eff both of them.

Should I bold that last part before he buys her a Coach?

 

[CountZero]

Not.
Nope. Just do it online via the 3 bureaus.

Or they sell it and create a new set date. I hope this is the case for tommy's deadbeat SO. I think the amount billed by hospitals is insane but tommy thinks his SO should get a free ride. eff both of them.

Should I bold that last part before he buys her a Coach?

If you only do it via the 3 bureaus there are a couple issues 1) it doesn't stop the collection and if you are in SoL you can still be sued 2) one of the three (can't remember which, not transunion) will pretty much not remove it if you don't also dispute with the collection agency, they will constantly claim it is out of their control is the collection agency keeps reporting.

Selling the debt should not legally reset the date otherwise every debt collection agency would just run as two umbrella corps that trade debts in a scheme to reup the date.

I've spent a lot of time dealing with legitimate collections from a job loss and medical issue and illegitimate collections from a guy with the same first and last name that lived on the same street as me. I've gotten rid of every negative on my report at this point, I'm fairly well versed on dealing with it.

Your point is spot on though, the worst thing you could do whether the debt is valid or not is ignore it. Once that default judgment happens (and it will be default if you can't be arsed to send some certified mail) then getting rid of it gets much much harder if not impossible.

 

[halik]

the first thing you do when you receive anything from a debt collector is (repeat after me): "i dispute this alleged debt. Please validate."

that's it. Do not reply with anything else until you receive something else other than a bullshit letter.

^^^^^^^^ THIS ^^^^^^^^

You absolutely have to request them to validate the debt.

Also it costs very little money to get a default judgement filed against you and that will torpedo your credit for 7 years, not to mention the creditors having an option to pursue wage garnishment etc.

 

[halik]

No. The statute of limitation is 7 years typically for most states but for California it's 4 years. :thumbsup:

My wife had an emergency operation 2 years ago (before we were married and she had no health insurance). The medical bill was $70k. 6 months after the payment was past due, a collection agency called a few times but stopped. We haven't heard anything since. Another 2 more years to go and it will be completely gone.

The debt collectors / hospital can't come after me since it happened before we were married.

The most important thing is don't pay anything, not even a penny. Once you make any payments the statue of limitation will reset.

The default judgement will remain on your credit for 7 years, regardless of the SoL for collection in your state, per the FCRA

 

[highland145]

CountZero

I may post more in the AM. Collections in S.C. suck. The creditor isn't getting crap unless there are paid for assets (land, titled prop.), sued or not.

Whether it's legal or not, I've seen sold healthcare debts re dated on equifax trade lines. $518 x3 times with a new date each time. Can't imagine they would bother with 2 corps for one noncollectable debt.

Anyway, good for you staying on top of it. Makes all the difference in the world.\

 

[halik]

If you only do it via the 3 bureaus there are a couple issues 1) it doesn't stop the collection and if you are in SoL you can still be sued 2) one of the three (can't remember which, not transunion) will pretty much not remove it if you don't also dispute with the collection agency, they will constantly claim it is out of their control is the collection agency keeps reporting.

Selling the debt should not legally reset the date otherwise every debt collection agency would just run as two umbrella corps that trade debts in a scheme to reup the date.

I've spent a lot of time dealing with legitimate collections from a job loss and medical issue and illegitimate collections from a guy with the same first and last name that lived on the same street as me. I've gotten rid of every negative on my report at this point, I'm fairly well versed on dealing with it.

Your point is spot on though, the worst thing you could do whether the debt is valid or not is ignore it. Once that default judgment happens (and it will be default if you can't be arsed to send some certified mail) then getting rid of it gets much much harder if not impossible.

The 3 agencies actually cannot remove an accurate judgement from your credit, per FCRA. You can try to dispute it, but all they'll do is call up the court house and ask if this and that case is on file. Court will say so and they'll just tell you its verified.

 

[highland145]

The 3 agencies actually cannot remove an accurate judgement from your credit, per FCRA. You can try to dispute it, but all they'll do is call up the court house and ask if this and that case is on file. Court will say so and they'll just tell you its verified.

Or call the creditor. If they don't respond, oh well.

Talking about $$ owed.

Equifax started a service called "e oscar". Cost me $25/m to "belong." I have to reply to disputes in 30 days or they're removed. If I don't pay for the service, I don't get notices to dispute for 30 days....after they're removed form a report. eff you, equifax.

 

[halik]

Or call the creditor. If they don't respond, oh well.

Talking about $$ owed.

Equifax started a service called "e oscar". Cost me $25/m to "belong." I have to reply to disputes in 30 days or they're removed. If I don't pay for the service, I don't get notices to dispute for 30 days....after they're removed form a report. eff you, equifax.

Haven't heard of that one, but if you pursue the debt in court, the judgement is non-disputable.

 

[edro]

No. The statute of limitation is 7 years typically for most states but for California it's 4 years. :thumbsup:

My wife had an emergency operation 2 years ago (before we were married and she had no health insurance). The medical bill was $70k. 6 months after the payment was past due, a collection agency called a few times but stopped. We haven't heard anything since. Another 2 more years to go and it will be completely gone.

The debt collectors / hospital can't come after me since it happened before we were married.

The most important thing is don't pay anything, not even a penny. Once you make any payments the statue of limitation will reset.

Wow, talk about bad karma.
I hope your wife doesn't need another emergency surgery at the same hospital.

I know $70k is a ton of money for someone to take on, but it also doesn't seem right to completely ignore.

 

[Genx87]

True. So you have to know who you're dealing with. In the case of Tivo, it was a pretty good guess that they couldn't be bothered for a couple hundred bucks. But it could be a different story for local merchant.

Also remember that in order to sue you, they have to be able to serve you. In my state, you can serve someone by mail but it has to be registered with a return receipt. If you "live" in a po box, that can be tough to do, especially if don't sign for anything w/o first checking the return address.

TiVo wont collect their own debts. They sell it to a collection agency.

 

[dr150]

I would contact the Hospital and arrange payment with them and have them cancel out the debt collection agency hawk.

 

[Atreus21]

Nope. No shens.

I've done consulting work with them before. I agree, they're not all bad.

I do think that some of them can be overly aggressive. However, consider the alternative. Would you prefer illegal means of debt-recovery?

Their clients have legitimate rights to recover the money they're rightfully owed. It sucks, but it's understandable.

 

[highland145]

I've done consulting work with them before. I agree, they're not all bad.

I do think that some of them can be overly aggressive. However, consider the alternative. Would you prefer illegal means of debt-recovery?

Their clients have legitimate rights to recover the money they're rightfully owed. It sucks, but it's understandable.

Is that bad?

:whiste:

 

[s0me0nesmind1]

I've done consulting work with them before. I agree, they're not all bad.

I do think that some of them can be overly aggressive. However, consider the alternative. Would you prefer illegal means of debt-recovery?

Their clients have legitimate rights to recover the money they're rightfully owed. It sucks, but it's understandable.

Are they truly, "rightfully owed"?

I'm talking of course about the debt collectors. They aren't owed money. They bought up someone else's debt from multiple different companies for pennies on the dollar and are trying to collect it for a profit.

Just playing a little devil's advocate.

 

[s0me0nesmind1]

Nope, I like dogs but the tv was plugged in the same power strip as granny's 02 machine....so may cords....:$

You still haven't told us the story in full... Nor any other juicy collections stories that I asked about! I want to know!!

 

[Tommy2000GT]

Wow, talk about bad karma.
I hope your wife doesn't need another emergency surgery at the same hospital.

I know $70k is a ton of money for someone to take on, but it also doesn't seem right to completely ignore.

It's funny how a lot of people in this thread bitch at me for not paying $70k medical bills. If they were in the similar situation, I would like to see how they can afford to pay off such an enormous bill. Even if they can, I'm pretty sure they wouldn't pay either.

It's not like she didn't try to work out a deal either with the hospital and all of the doctors that were involved. She was denied of charity care after doing all of the paperwork. The only discount was 20% from the hospital if payment was made in 30 days.

She has health insurance now from me now and goes to the same hospital and medical group. They haven't brought it up yet.

 

[Tommy2000GT]

Waiting 7 years is all fun, especially when they garnish your wages because you lost the court case you didn't go to. Dumbass.

There is no wage garnishment for medical bills. Dumbass.