Collection Agency and Credit Reports

[haveinmind]

What is the name of your state?What is the name of your state?Texas

I just reviewed my Experian credit report and I have a collection agency named Phoenix Recovery Group reporting two debts which come from one original account. Let me explain, I had a cc with Chase bank which defaulted and was closed. Phoenix is now reporting on the credit report two items for that one debt. I had Experian investigate and they of course came back and said the debts were verified. They always do that. I cant understand how this can be since I only had one card with Chase but Phoenix shows two items they are trying to collect with two different account numbers but both show the original creditor as Chase bank and both items show two different account amounts which only differ by 26 dollars. I know only one is valid but I have to ask is this legal? The other problem is I see Phoenix is reporting that the date the account with them(Phoenix)was opened is 6-2005 but my Chase card was opened in 2001. I never opened an account with Phoenix. I thought they can’t “reset” the clock on the debt?

If anyone has any info I would really appreciate it…

[Debt Guy]

Q. I know only one is valid but I have to ask is this legal?

A. Depends. If they are reporting two debts in error, then they have a bona fide error defense. If they are reporting two debts on purpose, then it is illegal if there was only one debt originallys.

Q. The other problem is I see Phoenix is reporting that the date the account with them(Phoenix)was opened is 6-2005 but my Chase card was opened in 2001. I never opened an account with Phoenix. I thought they can’t “reset” the clock on the debt?

A. This is called reaging and it is not legal.

Now, your real problem is what you are going to do. There are no credit report police to report these guys to. Your only recourse is to file a lawsuit. If you file, you will incur the cost of filing plus the burden of proof will be on you. If you win, you get $1000.