Beezman

Company Out of Business

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I have a default judgement and the debt is valid. The judgement was turned over to Transworld systems for collection. I was making payments but one day I received a letter that said that transworld has closed the  account and payments should be made to the original company. Unfortunately the company has gone out of business. I would like to pay the debt so that it shows satisfied on my credit report. How do I find someone to pay? I contacted Transworld and they were not able to give me any information about who owns the debt at this point.

Any help would be appreciated.  

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Howdy,

is this being reported on your credit reports?  If so, check to see if the original creditor still has an entry there.  If the OC sold the account, as opposed to contracting with Transworld, it would say this on the credit report.  It is possible that the OC does not own the account anymore.  If you find that the OC marked it as sold on the credit reports, then Transworld would not have sent it back to the OC.  You might also have some luck searching out the name of that company on the internet, like this  "______________ closed".  You might find something about the OC closing and someone else buying them up.  Worth a shot.

Wheels up,

Stick

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I believe if it was me, I'd go into CreditKarma, & dispute it, if it's listed on either Equifax or Transunion or both then depending on the answer from one you will probably get the same results on the other.  Won't cost anything other than your time.  Might give you some answers, or you may have dodged the bullet so to speak.

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This does show on my credit report. There is very little information on the credit report concerning this debt. It shows that it was a civil judgement and it has the OC as the plaintiff. There is no information about the debt being sold. I have searched the internet looking for information for the now closed business. Google shows nothing more than the store is closed. This was  a           local business so there does not appear to be a corporate office that I can contact. 

If I dispute this, won't the credit agency just validate with the court that the judgement is valid? Do they have to actually validate it through the original creditor?

I really appreciate the help. I'm trying everything possible to find someone to contact to resolve this.

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If the OC had an attorney for this case, I would call the attorney and ask them who to pay. If not, consider calling the courts and seeing if they can figure it out. Worst case scenario, file for a satisfaction yourself and see who shows up to fight it. If no one does, then this might be the end of this nightmare.

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Guest usctrojanalum

Agree with WhoCares, start with the attorney for the judgment creditor (if there was one).  Then, if that fails - I'd see if there was some mechanism where you could deposit the money into Court, have the clerk issue the satisfaction and then it gets taken care of that way.  I know depositing money into Court can be done in NY, but not sure how common it is in other areas. 

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