Alrighty, this collection stuff is annoying. Looking over my reports, there are 3 dates:
the date placed for collection
the date of last activity
the date reported. (ugh. I think I have this one wrong. )
Nevertheless, which date am I supposed to use when determining which collections to negotiate/remove from my credit report?
And yes, I already know that paying a collection won’t get it removed from my report. A costly lesson.
Thanks!
Hold on there partner!
There’s other things going on here. If you have your credit in front of you, look to the left to see what the status is. You’ll see a R9 for your revolving collection debt(s). “R” stands for revolving as opposed to an “I” for installment loan or “M” for mortgage… and 9 stands for “bad debt or collection”. This has been stamped on your credit report for the simple reason that you did not pay money back that someone has loaned you. If you believe it to be a false statement, then sure go ahead and negotiate its removal. Be prepared to write one letter to each of the three credit bureaus over several months in order to get this done right.
However, if you did borrow the money and you have a collection then you need to renegotiate for a proper removal. Steps should be taken as you reopening the account in question by paying up to say 50-75% off the negotiable balance over a course of the next few months Provided the creditor is still reporting to the three credit bureaus, this will show activity and thus change your “R9” into something more friendly say “R1” (as an agreed payment plan over the next few months). This will therefore increase your credits rating and provide you with a final payment of say $10-50 buckaroos and leave you with a closed account that was in collection on your credit report in the status of “R1” or revolving paid on time.
The trick is the negotiation. And put it in writing.
…back to your original question: Write a letter explaining in detail the date the account was opened, with whom, what for, and the date it was placed in collection. Never leave out crucial details when dealing with your credit.
Best of luck to you.
Jason,
I read your post. Now, I have a question for you. Am I to negotiate with the original creditor or the collection agency?
I have paid nearly $5,000 between 3 collection accounts, but the collections remain on my report. I appreciate that no one insinuate that am not repaying, or would not repay, money I had borrowed.
I have only recently learned to negotiate the repayment in exchange for the removal. A lesson learned after my $5,000 is already gone, paid in good faith.
You are to negotiate with the collection agency as they have “bought” your account and are reporting your collection activity to the three credit bureaus. If the original debtor is showing up on your credit report negotiate with them to. Get it fixed, but don’t just pay it off because it will “stick” on your credit report as an unpaid collection “R9”. Negotitate payment/activity in order to improve your credit.
Happy Holidays.