Expert: Jason Barnette, Esq. - 1/12/2010

Question
Hello Jason,
   Ok, I sent a VOD to a collection agency and all they sent me was copy of my statements from Citibank. So, now that I have them what do I do? The statements show that the original creditor is still charging late fees, insurance fees, and over the limit fees even though the account shows charged off over a year ago. Therefore, do they have to tell me how much they purchased the debt for and do I negotiate that balance? Or do I negotiate the balance that is still being charged monthly?

Also, can they keep charging fees if they show it as charged off on my credit report?

Thank you, TB

Answer
Tammy:

Well, they have complied with the validation requirements pursuant to the FDCPA.  They need only send you verification; i.e., something from the original creditor, to comport with the FDCPA.  I would take a look at how they're reporting in on your credit disclosures in an effort to accrue FCRA violations.  For one, they cannot report a past due balance or that the account status is past due.  Look at the data fields insofar as inaccurate or misleading reporting is a FDCPA violation.  Moreover, dispute the tradeline through the credit reporting agencies and see if they verify the accuracy and completeness of the tradeline.  Look at the date of status and date of last activity and dispute these fields as well.  If they verify these and they're wrong, you'll have both FDCPA and FCRA violations for leverage for deletion, a counter-claim should the sue, or you own causes of action if you wish to sue them.

Jason Barnette, Esq.
Barnette Law Offices, LLC
1800 Hayes Street; Suite 122
Nashville, TN 37203
615-585-2245
http://www.barnettelawoffices.com