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Can a CollectionAgency make an inquiry to the Credit Report Agency to locate me?

Amanda

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Amanda CIC Member

Amanda

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I just received a collection letter for a student loan that has more than 8 years. That account has not been in my credit for many years now. I was wondering how they found me, guess what? There is an inquiry on my credit report from that Collection Agency. Is that legal? THANKS!

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Devildawgjj CIC Member

Devildawgjj

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8yrs and they haven't offset your taxes yet.....You're lucky. I had mine offset for about $3,000.

I strongly suggest you contact them set up a payment plan and begin to rehabilitate you student loan. After 9 monthly ontime payments it goes into a current status and is no longer a neg TL.

If I'd known about student loans never going away and having you taxes offset, I would have payed them along time ago. Then I found CIC!!!!!

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  • 2 weeks later...
Amanda CIC Member

Amanda

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I tried to buy some time and sent a VL. The debt has been validated and yes there is no SOL on student loans. I made a payment like 3 years ago through the University that does no shows in the docs I received from the CA. Should I write to them and ask for time to try get proof of that payment? They sent me a "very nice willing to negotiate" letter before I sent the VL. Now after the VL , they are giving me 10 days only to respond. As of today, they havent report to the Credit Agencies. Should I settle now to avoid the risk of any negative info on my credit report? Or should I take the chance and try to show that I already paid some of the debt? Thanks!!

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isislc 500 posts and hasn't been banned yet....

isislc

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I can guarantee you that if you don't agree to rehab the loan, either way, Arrow will be reporting the loan to the CRAs shortly. Arrow knows where you are and that they have the right person, it's just a matter of days before it hits your CRs.

This is what they require for rehab. It is actually 10 payments, not the 9. When they use the number, it's actually meant over 9 months. The first month you need to make 2 payments then each month after you make another payment on a selected day for the last 8 months. Once your rehab is complete, they WILL delete the defaulted TL that they will report and your loan will be re-assigned to another bank that will deal with it. If you're in a money crunch, you can ask for an income contingent repayment plan but don't blow the agreement. Once you do, they up the amount of the payment the 2nd time. They will also require you have an account that they can automatically withdraw the payments from, I would recommend opening a checking account just for that payment and not use it for anything else.

My DF has an account with Arrow right now and I negotiated with them to get the best payment set up for his account. Try to get Lilly if you can, she is really nice and will work with you.

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isislc 500 posts and hasn't been banned yet....

isislc

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If you owe a debt to a creditor and the owner of the debt, OC/CA is checking your credit report then it is a permissable purpose pull for either a hard or soft inquiry. Some CAs will do a hard inquiry every month to purposely hurt your CR to make you pay. Some are nice, yeah nice, and stick to soft pulls.

If this is your debt and you've already gotten a letter from Arrow then yeah it's a permissable pupose and is fully legal.

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Amanda CIC Member

Amanda

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The loan is for less than 1500. What would be a reasonable offer to start the negotiations for a lump sum? I would like to pay the money and do not deal with this anymore. I am dealing with a Collection Agency, I do not know what is ARROW. Please explain,. this is my first time dealing with this.

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Amerikaner83 500 posts and hasn't been banned yet....

Amerikaner83

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The loan is for less than 1500. What would be a reasonable offer to start the negotiations for a lump sum? I would like to pay the money and do not deal with this anymore. I am dealing with a Collection Agency, I do not know what is ARROW. Please explain,. this is my first time dealing with this.

ARROW is "Arrow Financial" - A collection agency. They buy or are assigned various debts, from student loans to credit cards to you name it.

See my answer to your other Q regarding "reasonable offer" if it's the same collection / student loan you refer to in this thread.

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isislc 500 posts and hasn't been banned yet....

isislc

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ARROW is "Arrow Financial" - A collection agency. They buy or are assigned various debts, from student loans to credit cards to you name it.

See my answer to your other Q regarding "reasonable offer" if it's the same collection / student loan you refer to in this thread.

Now if you guys are dealing with student loans in regards to what they are trying to collect, you can not settle with them for a lower amount. Arrow is one of the collection agencies for the federal government that handles defaulted student loans.

You cannot negotiate a lower payoff amount on a defaulted federal loan assigned to them for collections. You're better off going into rehab like I said before. Even if you settled with them, you still would have a derogatory TL with them being reported. By rehabbing with them, you're closer to paying off the loan in full and they DO remove the negative reporting and get it changed to positive when it is reassigned to another lender for the remainder of the balance.

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Amanda CIC Member

Amanda

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Okay I can not settle. Got it. If I pay the whole amount would that count as a rehab? Even if they havent report anything yet, would any payment be reported? I thought the nice letter was intended to warn me that if I do not respond THEN they will report the account to the Credit Agencies? If they are going to hurt my credit ONE MORE TIME for the same account, (I had that account on my credit for 7 long years) I guess I should not be going crazy hunting for the money and instead pay on my terms then? Sorry, at this point Im just too confused...

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Amanda CIC Member

Amanda

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Thanks I read the article. I guess I can not use this infor for this account since I already acknowledged the debt and started negotiations. But I have another account that is pending validation and I will check if the information you provided can help me on that one.

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flacorps 500 posts and hasn't been banned yet....

flacorps

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Did the OP ever state whether this student loan had a guarantee that was honored by one of the governmental guarantee agencies?

If it wasn't guaranteed or the guarantee wasn't honored, some of the advice here may not be appropriate, and the OP may be in a better position than she thinks.

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