first dispute and frustrated!!

[climbing]

Hi everyone! Really glad I found this forum. I'm hoping somebody has some advice for an issue I'm having with my credit report.

My debts were discharged under chapter 7 in Feb., 2004. I recently checked my equifax credit report and found two accounts (same creditor) listed under "Collections", both listing unpaid balances as of 10/2002.

I disputed these accounts and received a response to my dispute today. This is what the accounts have been changed to (they are still under "collections accounts"):

Allied Collection; Collection Reported 02/2008; Assigned 04/2002; Client - Henry County RA; Amount - $37 ; Status as of 02/2008 - In Bankruptcy; Balance as of 02/2008 - $0 ;
Individual Account; Account # - xxxxxxx; ADDITIONAL INFORMATION - Collection Account; Bankruptcy Chapter 7; Address: blah blah blah

Allied Collection; Collection Reported 02/2008; Assigned 08/2002; Client - Henry County RA; Amount - $388 ; Status as of 02/2008 - Unpaid; Balance as of 02/2008 - $0 ; Individual
Account; Account # - xxxxxxx; ADDITIONAL INFORMATION - Collection Account; Address: blah blah blah

The dates have been changed to 2/2008 (when i made the dispute), making them look like new collections accounts. The bankruptcies and balance as of dates are all listed as 2/2008. And the second, although the balance was changed to $0, is still being listed as unpaid and not "in bankruptcy" as they changed the other to.

Am I wrong in thinking this is completely unacceptable? I don't get how they screwed up so badly. And the one still listed as unpaid - they said they "verified" that it was correctly reported. Well, maybe if it WAS a 2008 collections account as they're now listing it as, but it is a 2002 collections account...2 years prior to my chapter 7 discharge. The equifax report I pulled right before disputing has the balance and status dates of the two accounts listed as 10/2002 and 7/2002.

I'm so frustrated. I don't even know where to start. I made the mistake of disputing online (which I see from the little bit I've read here on the forums was a mistake). Do I just dispute it again? And are there any links someone can give me to a sample dispute letter or advice on specifically what to include in it?

Thanks for any help you can give.

[jetset]

I assume since you got the response from equifax that the results of the investigation is in, then the investigation is over. If that's the case, the results are completely unacceptable. Are you absolutely sure these debts were discharged? Did you send in supporting documents to equifax that shows that?

If you have done these things, send a second request, state all problems, (the original errors and the new ones - with the 2/2008). Basically you want to tell them why the accounts shouldn't be listed at all, and why. Back it up with d/c case numbers, dates, etc...


Hope this helps

jetset

PS...do a search in the forum for dispute letter...I know there is a whole thread just for that.

[Flamingo]

If this account was actually discharged in your BK, what you need to do is send in a copy of your discharge together with the creditor matrix showing the creditor and highlight the creditor and both listings on the credit report (copy the page, highlight the information). Send in a cover letter disputing the item and indicate there is a duplicate tradline listing for the same account. Copy the creditor itself on the letter and send a copy to the creditor. It can be a nightmare sometimes to get credit reports cleaned up after filing a BK. We are still at it 1 1/2 years after discharge. It will clear up on one report and then reappear on another.

[climbing]

Thanks jetset and Flamingo!

When I started the first dispute online, there was a place to enter your reasoning for the dispute, but didn't seem to be any way to attach documents (like the discharge, etc.).

The debts were definitely included in the bk. The creditor is listed in my matrix. I'll take both of y'all's advice and do the next dispute by mail.

A related question: assuming the dispute is resolved with the dates corrected and so on...would they still be listed under equifax's "Collections accounts" if they're listed as "in bankruptcy" with $0 balances? Since the one they claim to have fixed (albeit screwing up the dates) is still under the collections accounts category, I'm not sure if that's another mistake I should address in the cover letter or if that's normal.

[CindyLou]

I've had better luck dealing directy with the collection agencies on collection accounts. They usually only want the discharge papers...a couple just wanted my case number.

[Flamingo]

Thanks jetset and Flamingo!

When I started the first dispute online, there was a place to enter your reasoning for the dispute, but didn't seem to be any way to attach documents (like the discharge, etc.).

The debts were definitely included in the bk. The creditor is listed in my matrix. I'll take both of y'all's advice and do the next dispute by mail.

A related question: assuming the dispute is resolved with the dates corrected and so on...would they still be listed under equifax's "Collections accounts" if they're listed as "in bankruptcy" with $0 balances? Since the one they claim to have fixed (albeit screwing up the dates) is still under the collections accounts category, I'm not sure if that's another mistake I should address in the cover letter or if that's normal.

If the debt was discharged in your BK, it should be listed as such on your credit reports with a zero balance. No charge offs or similar information should appear. I would certainly state in your cover letter (make sure you enclose the page of your credit report highlighting the disputed items) that you dispute the way in which the account is listed and to eliminate it from under the "Collections Accounts" status, that the account was included in your BK and discharged on such and such a date. Again, enclose a copy of your discharge and a copy of your credit matrix highlighting the discharged creditor on the matrix. Since it is also being listed twice, advise them that there is a duplicate tradeline and one needs to be eliminated. Just be brief and to the point and not enclose a long explanation. Hopefully that will resolve the situation for you.

[cbass1017]

One thing you have to know is that just because a debt was "discharged" in a banckruptcy does not mean that it went away. It just means that the creditor can not come after you to collect the debt. Although it should be listed as "included in bankruptcy" according the credit bureaurs it can still be under the collections category because legally you still owe the money.

As far as disputing your credit reports I think most will agree with me that doing it the old fashion way(writing a dispute letter and providing proof) is the best way to deal with the credit bureaus.

[CindyLou]

actually, the debt does go away! you no longer owe the debt, period. However, the credit bureau entry is what usuallly doesn't go away. but it is changed to zero balance and IIB.

[rrockinggramma]

It should be IIB/zero balance and then also dispute as duplicated account. Even though they changed the report date to 2/2008 they are NOT allowed by law to change the Date of First Delinq or the Date of Last Activity. Those dates determine the fall off date. Because it was included in BK, the date you filed should be the DOLA or DOFD (if not before you filed) and 7 years from that date, it will be gone from your CRA

[Flamingo]

One thing you have to know is that just because a debt was "discharged" in a banckruptcy does not mean that it went away. It just means that the creditor can not come after you to collect the debt. Although it should be listed as "included in bankruptcy" according the credit bureaurs it can still be under the collections category because legally you still owe the money.

As far as disputing your credit reports I think most will agree with me that doing it the old fashion way(writing a dispute letter and providing proof) is the best way to deal with the credit bureaus.

When a debt is legally discharged in bankruptcy, it is gone and not owed. You do not legally "still owe the money" and what would the purpose of filing bankruptcy accomplish if you still legally owe the debt after discharge? Under the Fair Credit Reporting Act, an account involved in a bankruptcy filing is to be listed as such with a zero balance. That was even on information sent to me by one of the 3 main CRAs in response to a recent dispute. Some creditors try to be slick and get around that hoping you either are not checking, uneducated as to their lingo or do not care. One of our creditors listed in the comment section of an account (this was a credit union), "Legally discharged for less than than original debt"). And the rest was filled out as being in BK 13 with zero balance but they they listed the amount as being written off and the full amount of the debt in the comments section.

You are correct that the best way to get results with the CRAs is to use snail mail with backup and be diligent as to your reports for the first years after discharge cause things can change back after you correct them the first time. We have it happening with us 1 1/2 years after discharge (the credit union situation above is one of them).