About John Hall Expertise Law school graduate, Juris Doctorate (J.D.) Degree; Over 25 years of
experience throughout the United States in bankruptcy law matters (Chapters 7, 11, and
13 of the United States Bankruptcy Code) primarily representing individual
debtors with consumer debt or small businesses; Experience has included all
aspects of debtor/creditor relations.
Experience FREE BANKRUPTCY HELP. If you are being sued, if your home is being foreclosed, or if you are being harassed by bill collectors, filing for bankruptcy may be a quick and inexpensive solution.. The mere filing of a bankruptcy will operate as a federal court order (it is called an automatic stay) to stop all bill collection efforts, including lawsuits that are pending or ongoing. Bankruptcy is a legitimate way to meet your problems with debt head-on. The bankruptcy law is designed to give you a second chance to make a new start without the psychological and financial burden of pressing debts that you are unable to pay. Depending on what state you live in and what your assets are, it is very unlikely that you are going to have to lose anything if you file for bankruptcy, and this is something that you can do immediately without having to pay the $500 to $1,500 attorney fees that most attorneys charge. Also, you might be surprised that you can file for bankruptcy and that it will not have the devastating effect on your credit that most bill collectors describe. Life is too short to have all this anxiety over losing your car through repossession, getting evicted from your home, or losing your home through foreclosure. Bankruptcy law was designed to give you a second chance. I will not charge you just to talk on the phone. Call me at 432 853-5711, or send me an email at j_h14@hotmail.com with your telephone number, and I will call you back.
Collections Law - Creditor responsibilities for reporting to credit agencies
Expert: John Hall - 4/6/2006
Question Hi John,
My husband and I are working on clearing up some collections on our credit reports so we can buy a home. My husband wants documentation from the agencies regarding their reporting policies. (i.e. when they report, and how they will report the paid account) However, when I contact these companies and tell them I am prepared to pay the account in full providing I get this information in writing, they have told me that they don't have time and won't do it because it is our responsibility to follow up and check the credit report ourselves. We just want some assurance that once we pay the account it will be reported in a timely manner and with a "paid in full" status. Are there any laws governing this or should we just pay the bill and follow up in a month with credit disputes? Thanks for any help you can provide us!
Answer You are right to be suspicious. They sure aren't giving you a whole lot of motivation to get them paid.
Even if you pay them, they will no doubt mark it down as a paid collection account, which is a negative - plus any payment will restart the timing of the time left on the credit report (it will restart the seven year clock) and will also restart any statute of limitations issues.
I think if I were in your shoes, I would NOT pay them anything. From an overall perspective, that option is probably best in terms of your credit.
You might still try to get the entries corrected by challenging them under the FCRA, as apparently you are already doing, but paying this off without an assurance in writing that they will completely remove the entry would not be the most productive course of action you could take. If they still bother you on the phone, call me and I can show you how to stop that too.
