Collection efforts can continue after the account is removed from your credit report



Dear Experian,

Can a charged off account on your credit report that was opened in 1999 and closed in 2010 be sold to another collection agency and then be given to an attorney to get payment from me?



Dear LVM,

A charged off account remains on your credit report seven years from the original delinquency date that led to the charge off. If the account is sold to a collection agency, the original account will be updated to show it was transferred, which means it was closed.

The collection agency may report the debt as a separate entry on your credit report. The collection account then represents the active debt, and any payments should be sent to the collection agency.

That collection agency may sell the account to another collection agency and the collection agency may be represented by an attorney.

Although each collection agency account will show the open date as the date it purchased the debt, the accounts will still be removed seven years from the delinquency date on the original account. The collection accounts and the original debt should be removed from your credit report at the same time.

Collection efforts can continue even after the account is removed from your credit report.  So, the collection agency could turn it over to an attorney to sue for recovery of the debt even though it is no longer on your report. In some states there is no statute of limitations on debt collection efforts. Search online for information from your Attorney General’s office about collection laws in your state.

Thanks for asking.

The “Ask Experian” team

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