Account Information Disputed by Consumer

[Anna Belle]

We have been approved for a refinance on our mortgage. From 7% to 4.875%. The ONLY thing preventing the closing are the words appearing on our Equifax (CSC) credit report "ACCOUNT INFORMATION DISPUTED BY CONSUMER." I did not dispute the medical bill. This was the only time I was ever turned in for collections. Debt reported to CRAs in December 2006. I paid the amount in full, $384, in February 2007. I sent the payment to the medical provider without notifying the collection agency, IC System. IC System has told me the verbiage appears on my report because they telephoned me to collect the debt and I told them I had already sent the payment to the medical provider. They obviously verified that information because my reports show paid ... collection ... zero due ... closed. IC System said there is no way they will remove the "disputed" line and Equifax/CSC said they cannot legally remove it without instructions to do so from IC System. Any advice? I've read elsewhere in another thread that this verbiage is not a bad thing. In my case it is a penalty. It is preventing our refinancing. Help!

[breeze]

Yes, there's a letter you can send - this won't get fixed overnight, but don't panic.

 

I'm moving this to a forum that deals with medical bills only - there are extra laws for medical.

[purpleberrywildchild]

I was wondering about the samething. All the medical collections on my report claim to have been disputed by me when I have not disputed any of them. I was thinking this is a CRA tactic by Experian because this is the only report it's done that way.

[Why Chat]

We have been approved for a refinance on our mortgage. From 7% to 4.875%. The ONLY thing preventing the closing are the words appearing on our Equifax (CSC) credit report "ACCOUNT INFORMATION DISPUTED BY CONSUMER." I did not dispute the medical bill. This was the only time I was ever turned in for collections. Debt reported to CRAs in December 2006. I paid the amount in full, $384, in February 2007. I sent the payment to the medical provider without notifying the collection agency, IC System. IC System has told me the verbiage appears on my report because they telephoned me to collect the debt and I told them I had already sent the payment to the medical provider. They obviously verified that information because my reports show paid ... collection ... zero due ... closed. IC System said there is no way they will remove the "disputed" line and Equifax/CSC said they cannot legally remove it without instructions to do so from IC System. Any advice? I've read elsewhere in another thread that this verbiage is not a bad thing. In my case it is a penalty. It is preventing our refinancing. Help!

Try this:

 

Opt out ( If you had done this before starting your refi your reports wouldn't have been poisoned)

http://whychat.5u.com/OPTOUTINST.HTML

Send Eq. this, follow ALL the directions, even if they seem odd.

http://whychat.5u.com/hipaadisp.html

How is the account reporting?? As paid or unpaid?

Edited September 2, 2010 by Why Chat

[Anna Belle]

Breeze (admin) - you said "Yes, there's a letter you can send - this won't get fixed overnight, but don't panic." What letter? What is the process? I've already invested a lot of time in this over the past several weeks. Multiple phone calls, faxes, letters, etc. Thanks!

[Anna Belle]

Why Chat - you asked "How is the account reporting?? As paid or unpaid?": Equifax is reported unpaid and disputed. The other 2 agencies show paid. TransUnion also had it listed as disputed (although paid) but after a phone call and quick investigation they removed the diputed verbiage. The collection agency sent a paid receipt but it is not "sufficient" for Equifax. IC System (collections) said they can't/won't send anything else. The medical provider sent a different paid receipt today and I've faxed it to Equifax but haven't heard back yet. Regardless, the lender says the issue is not the paid status of the account but simply the word "disputed."

 

I'm not familiar with opt out. My credit is good - at least I think. My scores from the big 3 are 767/783/790. I have no delinquent payments and only this one collection issue. I will read the links you posted. Thanks.

[breeze]

Anna Belle, sorry no one approved your posts. You shouldn't have that problem any more.

 

I moved your post here because I'm really not an expert in removing medical debts, but the people in this forum are. Yours should be pretty simple, but try to be patient getting started. Read a little bit when you have to wait, there's lots of info here.

[Anna Belle]

To clarify, I do not need the debt removed from my credit report. I was turned into collections and I did pay the debt in 2007. I know it will stay on my report for "X" number of years. But ... I really need immediate help with the comment the collection agency added "account information disputed by consumer." To get our refinancing, the DISPUTE on my credit report must be removed or else I have to go through manual underwriting and paying $2,400 to get the loan approved.

[Why Chat]

To clarify, I do not need the debt removed from my credit report. I was turned into collections and I did pay the debt in 2007. I know it will stay on my report for "X" number of years. But ... I really need immediate help with the comment the collection agency added "account information disputed by consumer." To get our refinancing, the DISPUTE on my credit report must be removed or else I have to go through manual underwriting and paying $2,400 to get the loan approved.

You do not understand. The ONLY WAY to get the "remark" removed from the entry on your credit report is to get the WHOLE ENTRY deleted.

 

There is NO LEGAL REASON for it to remain on your credit report despite what the reporting CA told you.

 

Follow the instructions given to get the ENTIRE ENTRY deleted.

Opt out ( If you had done this before starting your refi your reports wouldn't have been poisoned)

http://whychat.5u.com/OPTOUTINST.HTML

Send Eq. this, follow ALL the directions, even if they seem odd.

http://whychat.5u.com/hipaadisp.html

 

It is more than likely that this is ALL you need to do to get the entry DELETED, however--

 

If it is ONLY reporting to Eq. and if Eq. does NOT delete the entry with the initial dispute letter, then you send the reporting CA this:

http://whychat.5u.com/ltrcavalhipaa.html ( if it is REPORTING as UNPAID)

or this:

http://whychat.5u.com/ltrcavalhipaa.html#PAID

if it is REPORTING as paid

 

You then send Eq. this as soon as you have proof of receipt of the medical DV by the reporting CA;

http://whychat.5u.com/ltrcavalhipaa.html#DISPUTE

[midwester]

To clarify, I do not need the debt removed from my credit report. I was turned into collections and I did pay the debt in 2007. I know it will stay on my report for "X" number of years. But ... I really need immediate help with the comment the collection agency added "account information disputed by consumer." To get our refinancing, the DISPUTE on my credit report must be removed or else I have to go through manual underwriting and paying $2,400 to get the loan approved.

You do not understand. The ONLY WAY to get the "remark" removed from the entry on your credit report is to get the WHOLE ENTRY deleted.

 

There is NO LEGAL REASON for it to remain on your credit report despite what the reporting CA told you.

 

Follow the instructions given to get the ENTIRE ENTRY deleted.

Opt out ( If you had done this before starting your refi your reports wouldn't have been poisoned)

http://whychat.5u.com/OPTOUTINST.HTML

Send Eq. this, follow ALL the directions, even if they seem odd.

http://whychat.5u.com/hipaadisp.html

 

It is more than likely that this is ALL you need to do to get the entry DELETED, however--

 

If it is ONLY reporting to Eq. and if Eq. does NOT delete the entry with the initial dispute letter, then you send the reporting CA this:

http://whychat.5u.com/ltrcavalhipaa.html ( if it is REPORTING as UNPAID)

or this:

http://whychat.5u.com/ltrcavalhipaa.html#PAID

if it is REPORTING as paid

 

You then send Eq. this as soon as you have proof of receipt of the medical DV by the reporting CA;

http://whychat.5u.com/ltrcavalhipaa.html#DISPUTE

 

Why Chat, in some if not all of the letters you recommend that OP use to deal with removal of this medical collection, the term 'OCR' is used. What does OCR stand for? Thanks!

[Repairerer]

Office for Civil Rights