Judgments by Debt Collectors

In South Dakota can a collection company get a judgment on purchased debt?

Comments for Judgments by Debt Collectors

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Mar 30, 2011
Lawsuit on purchased debt
by: DebtCollectionAnswers.com

Can you clarify your question a bit? Have you been sued for a debt? Or are you being threatened by a lawsuit? How old is the debt? A little more information would be helpful. You can use the comments link below.

May 09, 2011
How can I prevent a Collection Agency from reporting a bill that I wasnt even aware of to the Credit Bureaus?
by: Anonymous

Hi,

I opened an EZPass account in NJ to pay tolls on major highways that I occasionally used. The way it was set up was that if my balance went below a certain amount (like $10), they would automatically transfer $25 into my EZPass account from my checking account which I had provided to them.

Anyway, I just happened to call them today because I hadn't used my EZPass since 2009 as I wasn't going on major highways much back then and I wanted to reactivate my account since I switched jobs and would need to pay toll (since I assumed it wasn't active since I just stopped using it (not knowing that my account was in the negative and that I was owing some money). The EZPass rep told me today that my account closed and that it was bought by a collection agency in October 2009 because I was owing money on it.

I was so shocked because I have never received any letter from EZPass indicating that I was owing money, and definitely never received a letter from the collection agency indicating that they now were handling my account.

So I asked the EZPass rep if he would be able to access my detailed account history with them and he said he couldn't anymore. So I told him that I will be calling the collection agency asap to have them send me all detailed information they had on my account before I can take any action.

My problem is I was told by a co-worker that if I contact the collection agency, they will assume that I know about the account and will report it to my credit report (which they haven't done because I check my credit report every month).

My question to you is that if the collection agency can prove that I am actually owing on My EZPass account, is is there anyway I could pay the bill and have them not report it to my credit report since its not fair that I was even notified of this bill by EZPass as I would have paid it then. My credit is very good and this will look very bad.

Can I argue that I never get correspondence about this bill until I called EZPass myself? Sorry this is long but I wanted to give you the exact scenario for you to answer. Thank you so much for your help!

May 09, 2011
Credit Reports and Accounts Placed for Collection
by: DebtCollectionAnswers.com

Unfortunately, there is no way to guarantee that this item will not appear on your credit reports. There is no requirement under federal law, for example, that the collector give you the opportunity to pay before reporting you to a credit reporting agency. And there is no requirement that they first send you a written notification of the debt before they report to a credit reporting agency. (Kind of crazy, no?)

Our best suggestion is for you to bite the bullet and be proactive about it. You can call the collection agency, explain that you just learned about this debt, ask them for details of the debt, and if you think you owe it, try to negotiate so that if you pay it right away so they won't report you. (They may not report any way, depending on their policies or perhaps their agreement with the agency that runs the EZ Pass program.) Of course, there is no guarantee that they won't report it if you reach out to them.

You could also try to ignore it. If it's a small amount, they may not bother trying to collect, but you never know. A new collector could take it over and put it on your credit reports.

The worry of not knowing when something might happen may not be worth it!


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