I have a question. I have just discovered that an account from LADCO Leasing is showing up on my credit report. I need advice on what to do with it. The account has been closed for years but they are still reporting on it as an active account - every month (Last checked as of Feb 09). Is that legal? The past due and the account balance show $68. However when I spoke to the collection agancy with the account, I was told the amount was $368. In addition, I asked for a "letter of deletion" to which they responded they do not provide letters of deletion, but instead they will tell me how to file a document with the reporting bureas that will in turn send to the company. He said that the company will not challenge the deletion and it would totally be removed as if it was never there. is this real?
Forums
Jefferson, If you closed an account and pwed nothing then they can not legally report this account. It soun ds as if you still have a balance on this account and there fore it can be reported. Did you offer to pay off the account? If so have them send you a letter stating what they said to you over the phone about not challenging the deletion.
If you are not sure you owe this amount or no amount at all I would ask the collection agency for debt validation. Is this account from the original creditor or a collection agency hired by them?
If the original creditor has marked the account as past due and sold it to a collection agency then the original creditor may not remove this mark. Look on your report and see if the origianl creditor is still on there and then list what they say about the account.
requested info
Account Name: LADCO LEASING
Account Number: 222XXXX
Acct Type: Lease
Acct Status: Closed
Monthly Payment:
Date Open: 1/1/2003
Balance: $68.00
Terms: 48 Months
High Balance:
Limit:
Past Due: $68.00
Payment Status: Charge-off
Pay for deletion is only an option to remove the negative item from your credit report once you pay of the debt in full. But the creditor or the collection agency is not bound to agree to pay for deletion as per the fair credit reporting act. Moreover, if the account is sold off to a collection agency, it cannot be removed because the account has already been charged off. Charge off can be removed only by the OC.
Even if your account is charged off, you need to pay off the debt if the statute of limitation on the debt has not expired because the creditor can bring judgment against you to recover the debt. Once you pay off the debt, it will show as "paid charge off" in your report. I can help you out if you can tell me the state from where you have taken the loan and the date of last payment towards the debt.
DORsVvjkNjpDUsM
Credit card companies will evaeutnlly turn you over to a credit agency who will hound you for months to come. Eventually you might get away without paying but it does go on your credit report and effect your rating making it hard to get new cards, buy cars, and a home. Don't be a deadbeat, pay your bills.