ChristineB

Midland Collection on a JCPenney Account - Help Please

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I received a letter from Midland Credit Management today concerning a JCPenney credit card account I stopped paying after I lost my job in 2010.  The balance on the account is more than $7,000, including Midland's fees.

 

Last summer I sent a letter to Midland asking them to provide verification of the debt after I saw the account on my credit reports.  It took seven months to receive their reply which included a copy of an old statement from 2010 showing when the account was charged off with a balance less than $6,000.

 

I no longer have a copy of my credit card agreement.  I also don't recall if the card was originally issued by MCCBG or GE Money Bank.   (I'm not sure if this matters).  The GE Money Bank agreements I found online for 2012 and 2013 state they're governed by Utah state law.  I couldn't find an old agreement online for MCCBG.

 

I'd like to know what my next step should be.  Should I write back to Midland to say the information they sent wasn't sufficient?  Are there any specific documents I should request? 

 

The last thing I want is for this to turn into a lawsuit.  However, I have no way of paying even half the amount they are demanding.  Moreover, if Utah is the governing state, the statute of limitations is six years.  This leaves more than two years on the meter.  Argh!

 

Any help would be appreciated.

 

Thank you.

 

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I wanted to add another question.

 

Because this account is in collections, and a lawsuit hasn't been filed, would it be premature for me to request a copy of documentation that shows ownership of the account was transferred from GE Money Bank to Midland?

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ChristineB,

 

I would begin disputing this account with the credit bureaus (the ones that are reporting the account) ...by sending them a letter of "not mine".  

 

At this point, all you're doing is re-aging the account with this collection agency.  Stop all communication with the collection agency and direct your disputing efforts directly with the credit bureaus.

 

Good Luck, 

 

A Brice Consult

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I would just leave it alone and not have any contact with Midland.

 

They have so many accounts that many slip through the cracks.  They let a 20K account of mine go past the 6 year SOL last year.

 

Use this time to find the cardmember agreement, if you want to do arbitration, and keep reading up on how to defend yourself if they do happen to sue before the SOL is up.

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@A Brice Consult

 

At this point, all you're doing is re-aging the account with this collection agency.

 

 

 

What do you mean by that statement?    The only way to reage the debt in terms of the SOL for collection is to make a payment.  To reage it on one's CR would require making a large enough payment that the account is brought current again.  That's impossible if an account has been charged off.

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Each and evertime ypu make contact with a collection agency regarding a debt...you re-age that debt... "Date of last activity"..is a very important piece of info that is found on your CR...I suggest you review your CR for that date..simply because each time you make contact that CA can report the "date of last activity" as such...and we all know what that means...re-aging thus another 7yrs...do uour research.

Thankyou!

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Each and evertime ypu make contact with a collection agency regarding a debt...you re-age that debt... "Date of last activity"..is a very important piece of info that is found on your CR...I suggest you review your CR for that date..simply because each time you make contact that CA can report the "date of last activity" as such...and we all know what that means...re-aging thus another 7yrs...do uour research.

Thankyou!

This is not true. Communicating with them absolutely does not reage the debt. Activity is in reference to any charges, payments, or credits to the account. Or if you sign any kind of stipulation.

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@A Brice Consult

 

The 7 year credit reporting period is based upon the original creditor's date of first delinquency (DOFD).  Once an account has been charged off, that date cannot change.   The original creditor's entry and any collection agency and JDB entry will fall of your CR 7 to 7.5 years after the original creditor's DOFD.

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Listen,

Each time you make contact with a collection agency regarding a debt..whether it be to discuss pymnt arrngmnts etc. ..it is the responsibilty of th CA to update you account in their systems...and trust and believe..that any point of contact with a collection agency WILL9 times out of 10 update... Please do your research.

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Listen,

Each time you make contact with a collection agency regarding a debt..whether it be to discuss pymnt arrngmnts etc. ..it is the responsibilty of th CA to update you account in their systems...and trust and believe..that any point of contact with a collection agency WILL9 times out of 10 update... Please do your research.

They may update their records that they spoke/contacted you, but it does NOT reage the debt. Now you need to do your research.

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BV...

I did not say ..a dispute reages a debt... I SAID SPEAKNG WITH A COLL AGNY ...can reage a debt... Ot doesnt matter if its a charge off or in coll...if you make contact..you are looking at 7yrs from date of last activity...accounts fall off 7yrs atfer date of last activity...not when the last pymbt was made... I SAID..to dispute acct with CB...and disputing with CB ..will not reage the acct...geese!

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@A Brice Consult

 

You're still wrong.  Speaking with a CA does NOT reage a debt.

 

The FCRA is specific that the date of first delinquency determines the 7 year reporting period.  It most certainly does not say that a contact with a collection agency will change that date.

 

Show me the support for your claim.

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I rebuild credit for a living...been doing this zince 2003...if you know and study credit reports...you would understand what Im saying...

 

I can claim to be the President of the U.S.  It doesn't make it true.

 

If you do, in fact, "rebuild credit" for a living and have told your clients what you said here, your clients are being cheated.  So shame on you.

 

Again, show me the support for your claims.

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@A Brice Consult

 

You're still wrong.  Speaking with a CA does NOT reage a debt.

 

The FCRA is specific that the date of first delinquency determines the 7 year reporting period.  It most certainly does not say that a contact with a collection agency will change that date.

 

Show me the support for your claim.

 

BV...as I stated before

 

DOFD is totally different from DOLA or DLA....You are correct having contact with a collection agency regarding an debt does not change the DOFD...but it does change the DOLA or DLA...and that account will report on your credit files 7 years from the DOLA or DLA... As I stated before...please do your research. 

 

Im not on here to become combative or confrontational with members....Im only here to offer help and advice...based on experience, research and knowledge.

 

FYI

 

Payment in full does not remove your payment history. The length of time information remains in your credit file is shown below:

Credit Accounts

* Accounts paid as agreed remain on file for up to 10 years from the date of last activity (DLA)

* Accounts not paid as agreed remain on file for seven years from the DLA

Collection Accounts

* Remain on file for seven years from the DLA

Public Records

* Judgments remain on file for seven years from the date filed, whether satisfied (paid) or not

* Paid tax liens remain on file for seven years from the date released (paid)

* Unpaid tax liens remain on file indefinitely

* Bankruptcy

* Chapters 7, 11, and non-discharged or dismissed chapters 12 and 13 remain on file for 10 years from the date filed

* Discharged chapters 12 and 13 remain on file for seven years from the date filed

New York State Residents Only (must be current resident)

* Satisfied judgments remain five years from the date filed

* Paid collections remain five years from the date of last activity

* All other purge rules as noted above apply

California State Residents Only (must be current resident)

* Paid or released tax liens remain on file seven years from the date released or 10 years from the date file

* Unpaid or unreleased tax liens remain 10 years from the file date

* All consumer-initiated inquiries for the purpose of obtaining a loan and/or benefit remain on the file for two years

* All other purge rules as noted above apply

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Brice...debts fall off 7-1/2 years from the "Date of First Delinquency"...not activity.  You're welcome to stay and learn...but until you learn, keep your comments to yourself, please.

 

Admin

I thought this forum is geared toward freedom of expression.  Should you not agree with the information I offer...then dont agree...but I will not advise a member of incorrect information.  The advice and information I give is based on experience, knowledge and research.  So lets keep it respectful and not be rude. And you should too,,,do your reseearch.

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