Poison Ivyy

Portfolio Recovery & Capital One - so close to the finish line

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I opened a Capital One credit card in March 2005. I first became delinquent August 2006 and even though I paid some months here and there after that, I was never able to get out of the late 30 days or more status until they charged it off in January 2008. When I was young(er) and stupid(er) in 2007 I kept getting called at work and threatened to be sued by Global International for my outstanding balance of about $4800. So in December 2007, I sent them a payment of $1500 and they were supposed to set up payment arrangements. Instead, they disappeared. They wouldn't respond to calls and nothing was sent. (Like I said - stupid) The payment date was reported on Capital One's TL entry, but the balance did not change. Fast forward to 2012 and I began getting calls from my old friends Portfolio Recovery demanding payment of $4800 and showing last payment date of December 2007. I checked my CR in April and it showed that the Capital One account was sold to Portfolio Recovery. My Capital One account has since fallen off of my credit report. I don't see the PRA account on my credit reports that I just pulled.
 
My questions are:
It does not appear to be past the Indiana SOL of 6 years even though it no longer appears on my credit report. I can't dispute anything with CRA because it's not there anymore. Do they remove negative TL's when they are going to sue to avoid disputes? PRA sues a lot of people in Indiana...
 
Based on the last payment date of December 2007, the 6 year SOL should apply January 2014. Is this correct?
 
They also own a debt from HSBC which is well within SOL for $562. I'm planning on offering a settlement for PFD. How can I protect myself that if accepted, they don't try to apply payment to the Capital One debt and restart the clock? Also, with PFD, is it better to offer a lower or higher amount?
 
Thanks for any help! You guys have been a huge help to so many people. I've already learned a lot from you. I've been able to get a few false entries removed from my CR already, but these PRA guys engage in guerilla warfare and it's time to consult with the 4-Star Generals!

 

-ivyy

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More than likely, the reason the Cap1 account is not on your CR is that it's too old to report.  The 7 year reporting period starts on the date of your first late or missed payment which is called the date of first delinquency (DOFD).   If you make a late payment or miss a payment, the account is in default, but you can bring it current again by resuming timely payments.  The DOFD will not change, and the negative entry will be deleted in 7 to 7.5 years assumng that you keep the account current.  Any collection and JDB entries for the same account will be deleted with the OC's entry.

 

However, if after bringing the account current with timely payments, you're then late again or miss another payment, a new DOFD is listed, and the reporting period is restarted from that new date. 

 

Once you're late or miss a payment, if you only make small payments that don't bring the account back to a current status, the DOFD remains the same. 

 

It would appear that more than 7 years ago, you were late or missed a payment and never brought the account back to a current status.  Therefore, the 7 year reporting period has passed. 

 

Note that the DOFD and the date you paid for the very last time are not necessarily the same.  The date you were late or missed a payment can be different from the date you last paid on the account.  Your very last payment determines the SOL for collection.

 

You can try a PFD on the smaller account, but most creditors and JDBs want the full amount if they agree to a PFD.  Some just won't agree to it at all.  In the event that they don't agree to a PFD, you can negotiate a settlement, but get every detail in writing.  As long as they put the proper account number on the settlement document and state that the referenced account is settled and paid in full, they can't apply the payment to the Cap1 account.  If they do, you can sue them.

 

Just carefully read every word before agreeing to anything.

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@Poison Ivyy - If the SOL is 6 years, you're definitely pas the SOL, tell Portfolio Recovery to suck it.  If it no longer appears on your report, it's older than 7 Years.  

 

Based on the last payment date of December 2007, the 6 year SOL should apply January 2014. Is this correct?

 

Portfolio Recovery? 

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@BV80 thanks for clarifying. I was never current again after August 2006 so it makes sense that they are gone.

@admin Both Portfolio and Capital One reported the last payment date of December 2007. So that would have reset the SOL. Even though an item is off of my credit report, it could still be collectible, correct?

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I could be wrong as all of this is new to me but if your last payment was dec 2007 and your sol is 6 yrs yes jan 2014 would be when u have passed SOL. If it is jan of 2014 that is very close. Maybe there are ways to stall so that they do not file suit before the SOL expires. I am pretty sure that once they have filed it freezes the time for SOL.

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