Handling problem CA listings

[gorillacredit]

If you are fighting a CA and the bureaus keep telling you they verified it it is probably time to start gathering violations on the CRA for their MOV. It is a near certainty that the CRA has never even contacted the CA about the accounts, relying instead on a third party database. The collection agency may not be totally at fault so you must attack the other half of the conspiracy.

Call the CRA on this by telling them you have called the number listed on the file and the CA (give a first name and number) said they have no records of the account or the CRA ever contacting them about it. It is not neccessary to actually call because the CRA will never check. Even if they did they could never prove or disprove what you have told them.

Include in your letter the certified numbers and dates received for each DV mailing to the CA, the dates disputed with the CRA and the cert numbers for those as well. Give them complaint numbers and contacts for the BBB, AG, etc. (you did file complaints, right?). Leave no doubt in the mind of the CRA monkey that if the account was verified it was done so illegally.

Tell the CRA that since it would be illegal for the CA to have verified the account you now believe that they never even investigated your dispute and never contacted the CA in the first place.

Make them tell you the who, where, and when that they contacted the furnisher, and that since the furnisher has claimed to have never verified the account to the CRA that they must now prove to you they did by furnishing copies of the documents sent to and by the furnisher. Remind them that this information is not proprietary and they are required to furnish it to you upon request.

Allow them 15 days to send this information and tell them that failure to send the requested information in its entirety will be considered as proof that they in fact never did contact the furnisher.

Remind the CRA that it is their job to reach an impartial and independant conclusion based upon the evidence, and if they decide to continue reporting the account they will be in violation of the law by reporting an account that they now know (because of all the evidence you have presented to them) is not legally reportable or verifiable.

Close your letter by telling them that this is your final attempt to resolve this problem through their dispute process. Say you have tried to work with them nicely but your patience is wearing thin.

As an added touch, include a CC line at the bottom of your letter naming an attorney in your area, or just a name you made up, like cc: John Doe, Esq.

Too many people on this board seem content to advise people to rack up violations on CAs and sue them. Most people will never sue a CA even though it is quite easy to get violations on them for their misdeeds. They just want a clean file.

The bottom line is that the CRA is the one who is selling the reports to creditors and it is their responsibility to see to their accuracy. Once you let the CRA know you know they are as guilty as the one who is giving them the bogus information for reporting it, they seem much more willing to bend a little.

Fight the CAs to be sure, and keep good records of everything illegal they do to furnish to the bureaus. Give the CRA the option of following the law or parroting the CA. Make it clear that they cannot do both.

If after presenting all of your evidence they insist on reporting the unvalidated and legally unreportable account, just go to the courthouse and get some small claim papers. Send them a copy of the filled out papers and give them ten days to delete and notify you of the deletion or you will file them. Then do it.

You have proven to them with your records that the account is being reported or verified illegally by the CA. Therefore it is illegal for the CRA to have it on your file. Any judge would be able to see that. Even a dimwitted small claims judge who knows nothing but what you lay in front of him about the FCRA and FDCPA.

If they don't delete, they deserve what they have coming.

And so do you $$$$$$$

[divemedic]

I know some have luck with this method and I certainly won't say it doesn't work. Just understand that this also can result in a locked file. That is, from now on, when you apply for credit, the requesting lender can't see your CR. The CRA is now safe from litigation, but you can no longer get credit.

Not saying that the above method won't work, just understand what CAN happen.

[gorillacredit]

I know some have luck with this method and I certainly won't say it doesn't work. Just understand that this also can result in a locked file. That is, from now on, when you apply for credit, the requesting lender can't see your CR. The CRA is now safe from litigation, but you can no longer get credit.

Not saying that the above method won't work, just understand what CAN happen.

What part of the law gives them that right, and what is the creditor told when they request the report? That it doesn't exist or that the bureau just chooses to not furnish the info?

It would seem to me that they would certainly not be safe from litigation if they choose not to divulge someones good credit history, that they verifiably have on record, just as retaliation for forcing that person to play hardball with them to get them to follow the law.

Depending on exactly what they tell the inquiring creditor it could quite easily be considered harrassment of defamation of character and could result in substantial actual damages for them doing so. Either they are a credit reporting agency or they are not. I seriously doubt the legality of them being selective about who they report on when their reasoning for not furnishing the report is retaliation against a specific individual.

I have had great success with the bureaus on some really pesky collection agencies using the above tactic, but I wasn't aware of a CRA being able to lock a file and have never heard of it happening.

Anybody have any first hand experience with this?

[Methuss]

What part of the law gives them that right, and what is the creditor told when they request the report? That it doesn't exist or that the bureau just chooses to not furnish the info?

I think a better question for you is what law says they have to give out your report to anyone who asks for it, authorized by you or not?

The entire credit reporting system is voluntary. There is no compulsion under law for a CRA to provide reports, for a furnisher to report anything (positive or negative), or for a CRA to include certain items in scoring.

The only compulsion in the law I see, is that the CRA must give you a report 1 time per year or when you are denied credit based on a report they provided; that they must tell you the names of everyone who has gotten a copy of your report over the last two years; and that, upon request from you, they must furnish new reports to people who already obtained one over the past year from them after a correction has been made.

If the CRA was to black-list your file so that it is not available for purchase by a lender, there is no law preventing it.

[gorillacredit]

If the CRA was to black-list your file so that it is not available for purchase by a lender, there is no law preventing it.

On the other hand, I think the courts would take an interest in why they are putting out reports on everyone but the specific person whose file they lock.

The FCRA notwithstanding, it would certainly have to be considered as an intentional and malicious act against an individual with the specific intent to harm that person.

I think that actual and punitive damages would be in order unless the CRA could show that the person was actually a threat to their survival or way of business.

Couple that with the obviously reataliatory nature of their actions and one could probably make more than the FCRA could give them.

OOPS....accidentally hit the wrong button excuse me