JessEA Posted September 18, 2011 Report Share Posted September 18, 2011 My husband's cap 1 health loan defaulted, and was sold to a JDB, but now they're both reporting the same account on his reports, so it's like a double negative for one account. Is that legal? I always thought if the debt was sold, the OC either removed their tradeline or at least reported it as sold/transferred. Link to comment Share on other sites More sharing options...
1stStep Posted September 18, 2011 Report Share Posted September 18, 2011 Cap1 needs to report as a zero balance at the very least. They can also add the remark "Transferred/Sold" and be in compliance with the FCRA.Any other reporting by Cap1 could be a violation of the FCRA. Link to comment Share on other sites More sharing options...
BV80 Posted September 18, 2011 Report Share Posted September 18, 2011 My husband's cap 1 health loan defaulted, and was sold to a JDB, but now they're both reporting the same account on his reports, so it's like a double negative for one account. Is that legal? I always thought if the debt was sold, the OC either removed their tradeline or at least reported it as sold/transferred.Are you sure the debt has been sold? Just because the debt has been charged off doesn't mean it's been sold. Link to comment Share on other sites More sharing options...
JessEA Posted September 24, 2011 Author Report Share Posted September 24, 2011 I'm assuming it's been sold, because they had a lawsuit against him and when we fought it, they dismissed without prejudice...and then a few weeks later I got the collection notice in the mail from Northland Group, statiing the the debt has been assigned to them by Cap 1. But they're both reporting the full balance, and Cap 1 is not reporting as sold/transferred. Link to comment Share on other sites More sharing options...
BV80 Posted September 24, 2011 Report Share Posted September 24, 2011 I'm assuming it's been sold, because they had a lawsuit against him and when we fought it, they dismissed without prejudice...and then a few weeks later I got the collection notice in the mail from Northland Group, statiing the the debt has been assigned to them by Cap 1. But they're both reporting the full balance, and Cap 1 is not reporting as sold/transferred.If Cap1 is not reporting the debt as "sold/transferred", then Cap1 still owns it. Northland is merely collecting for them. To make sure, give Cap1 a call, and ask them if they own the debt or if they've sold it.If they own it, both entities can report a balance. If Cap1 has sold it, they should report a -0- balance or "NA" where it says balance. Link to comment Share on other sites More sharing options...
Seadragon Posted September 25, 2011 Report Share Posted September 25, 2011 If the OC didn't have the paperwork then a collection agency doesn't have it either.That should make it go away. Link to comment Share on other sites More sharing options...
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