HELP!!!! . . . collection agencies

[Titalian]

This is literally the only debt I ever encured that I didn't pay (cause I didn't feel it was right) How bad does this effect my credit rating?

Well it is a blemish on your credit status. Not much you can do about it now, but let it run out,
There is an option for you to put a side note in your record, with an explanation, as indicated in the enclosed.
How far that goes, will depend on a new creditor, evaluating your history.

https://help-en.equifax.ca/app/answ...sion/L3RpbWUvMTQxMjEyMTk5MC9zaWQvckV5eTZLM20=

 

[black booty lover]

, but let it run out,


https://help-en.equifax.ca/app/answ...sion/L3RpbWUvMTQxMjEyMTk5MC9zaWQvckV5eTZLM20=

Thanks for the info. I'm not 100% sure entails in letting run out, but it's been around 5 or 6 years now since this happened.

 

[love exotics]

Just for clarity, even if you pay your outstanding debt/s, it will still show-up on your credit report correct? Let's say you have $1,000 owning to Roger's + $2,500 to Sears, is it worth paying them off if they're still gonna show-up on transunion, equafax etc. Even if they are marked as 'paid' vs 'unpaid', it sounds like marks on your report are gonna stay around to haunt you.

Curious how much of an effect it will have 1-2 years down the road when trying to acquire a new credit card, line-of-credit, car loan etc.

 

[interactive]

Yeah Love - it will always be there. But old disputes hanging around with no new ones paints a better picture.

It is suppose to be a history of how you have interacted with companies. If I see you had problems with a known dipshit company I won't really care. It also shows who you DON'T have problems with. So one or two bad marks that are old can be over looked by many GOOD marks before, during and after. It is meant to paint a picture and usually does. Also remember the credit score sets your rate of interest. So although it will not cause you to be turned down for a loan, it may cost you a % point or so.

I guess in summary - unless someone tells you that the old unpaid debt IS a problem, I wouldn't bother paying it off. But if you have an old one with say a bank - I would likely turn you down.
(unless you stayed at a Holiday Inn last night)

 

[one.of.a.kind]

This is totally incorrect. There is no "obligation" to remove it from his record whatsoever. Once it's paid, the collection item will be amended to show as "paid" as opposed to "unpaid" with a collection agency. Being able to have items removed from one's credit file would defeat the purpose of tracking credit histories to begin with.

That being said, there are ways to accomplish this. But it's next to impossible.

The credit report is suppose to provide a history. It has been my understanding that a record can be removed only if there is an error in reporting. But probably best to check the laws to see what the obligations are of equifax and others.
http://www.consumerinformation.ca/eic/site/032.nsf/eng/00038.html
http://www.consumerhandbook.ca/en/topics/financial/credit-reporting

Unfortunately this is true and beyond that what they fail to tell you is that it will remain on your credit report from the date of last activity. So, if you have say a 2000.00 debt from 2010 and you'd like to pay it off now that your circumstances are better, it will stay on your credit report until 2021.... Not 2017.

I don't believe thats true, He can request that Equifax or whom ever, have the delinquent lone, removed from his record.
Equifax, by law have to follow through, by sending a letter to the creditor for proof, If they don't hear back from the creditor within two weeks.
Then they are obligded, to remove it from your record. You following up on this, is very important. Always remember its your word against the creditor.
You have as much rights as they do.

For those of you who have a hard time understanding. I am not talking about a true delinquent statement, but errors that arise in their system, such as,was my case.
I don't know if many of you have checked your status on equifax. You'd be surprised what shows up sometimes.

We have no problem understanding if you explained things properly. I wouldn't apply to the diplomatic corp if I were you.

 

[black booty lover]

What is your credit score? How much debt are you carrying right now? What's your salary? Have you apply for new credit I. The last 2-3 years? Are you paying your obligations in time? All these can affect t your credit, not just one collection mark

Carrying zero debt, never make a late payment. Always pay the whole bill off before the due date and been doing this for like 15 years. I have no idea what my credit score is. I'll my salary out of it but I don't do all that well.

 

[Bobzilla]

Just for clarity, even if you pay your outstanding debt/s, it will still show-up on your credit report correct? Let's say you have $1,000 owning to Roger's + $2,500 to Sears, is it worth paying them off if they're still gonna show-up on transunion, equafax etc. Even if they are marked as 'paid' vs 'unpaid', it sounds like marks on your report are gonna stay around to haunt you.

Curious how much of an effect it will have 1-2 years down the road when trying to acquire a new credit card, line-of-credit, car loan etc.

That's going to vary from creditor to creditor, but your chances of getting new credit are much higher with a paid item on your bureau as opposed to an unpaid item. The major chartered banks likely wouldn't extend credit though if there are any collection items, paid or unpaid showing on someone's credit file.

 

[Titalian]

That's going to vary from creditor to creditor, but your chances of getting new credit are much higher with a paid item on your bureau as opposed to an unpaid item. The major chartered banks likely wouldn't extend credit though if there are any collection items, paid or unpaid showing on someone's credit file.

That is right, the creditor does factor in dept load, especially banks, and this always in conjunction with your income. This is all part of your credit score.

 

[Euro Male]

Many thanks to all the responses, much appreciated!!!

I've heard one way to counter a mark on your report is to take out a tiny personal loan from your bank for let's say $500 or $1,000. Something super easy to pay-off, yet will upgrade your overall credit score.

 

[needinit]

I got copies of my credit report from both Equifax and TransUnion after I received some weird notices after getting divorced - seems my ex had kept some card numbers and used the for purchases that were not paid (as I cancelled the card , however my info was attached to them)....the report from each company were completely different and the trnsnion was full of errors that needed correcting.