Re: Capital One Reage and Hard Inquiry!

Posted by Drew (24.59.27.46) on December 17, 2003 at 12:07:24:

In Reply to: Capital One Reage and Hard Inquiry! posted by anon on December 17, 2003 at 09:44:13:

First thing. Did you opt out?

Collection agencies subscribe to the credit bureau services for accounts with social security numbers. Whenever you apply for a mortgage or a job, they insert the new data and an email message gets sent to the subscriber notifying them of the new activity. They then reinsert their tradeline in your file.

It is past the statute of limitations probably for them to sue you and collect on it (you didn't say which state), so they are going to force you to pay by holding your mortgage up and your credit history.

Since this is a credit reporting issue, it falls under FCRA and you can legally sue them for $1000 each violation. Can you prove your case?

Do you have old reports showing the charge off dates (you would use the new FCRA rules since they are amended)? The rule is this. A creditor can have one TRADELINE for each ACCOUNT. If that one account went into default, the reporting dates go from the day of original default, not on the dates that Capital ONE got the account. CITIBANK was your original creditor and from the way I read your post, you defaulted before Citi sold it to Capital One or before Capital One bought the account from whoever. If Citi had reported the tradeline on your account as a default and a chargeoff, Capital One does not have the right to report it after the statute of limitations have passed on credit reporting. They were not your original creditor. If you have old credit reports showing the actual charge off date then you have grounds for removing this. You can dispute it with the credit bureaus.

I would recommend you opt out for the future to keep other collectors from getting your information and trying to spoil your chances and then trying to get the tradelines removed.

One thing to consider when paying on this. These collection agencies do this so they can force you to pay the full amount. If you decide to do so, you should insist on full deletion of their tradeline. They might do that if they recieve full payment. They know that you are applying for a mortgage because the credit bureaus informed them from their service, so they know that they have the upperhand and they will use it to force you to pay them in full. If you pay in full and don't get a complete deletion of their tradeline, your chances of getting a mortgage this year are really low. The ones that do will if you pay it in full and you can prove that you paid it in full and there are no other derogs but you will pay a higher interest rate.

The other alternative is to sue Cap One for FCRA violations as they apply and have their tradeline removed from your report, and wait another couple of years before buying your house.

Good luck.

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