Friday, August 22, 2008

Can I Find Out How Much I Owe a Credit Card That Has Gone Into Collections?

Collection agencies are required to disclose the amount owed on a credit card account when asked. Another way to determine the amount owed on a credit card that has gone to collections is by ordering a copy of your credit report. If a creditor has not reported the debt to the credit bureaus, you'll have to refer to your own records or contact the lender for more information regarding the balance of your debt.

Reading Your Credit Reports

    Order credit reports from each of the three major credit bureaus (Transunion, Equifax and Experian) using their websites or their customer service numbers. You are entitled to one free credit report every year from each of the bureaus, but you can also choose to pay a fee at any time to obtain a copy. The vast majority of credit card companies and collection agencies will report your debts to the credit bureaus on a monthly basis. You may compare the balances stated on your credit report with your own records to ensure that there are no discrepancies.

Contact Your Creditors

    Contact the customer service department of the credit card company that owned the account that was charged to collection. Ask the company how much was owed on the account, and cross-reference with your own records (if you have them) and the entry on your credit report. Under the Fair Debt Collection Practices Act, your creditors are obligated to disclose how much you owe and to produce proof that you owe the debts at your request.

Disputing Amounts Owed

    If the amount that the credit card company and the collection agency claim that you owe differ from your records, you may be able to dispute the debt successfully. Your records may not reflect the sale of the account to collections. In some cases, credit card companies will add fees to your balance for the account being charged off. If a credit card company made an agreement with you to reduce your balance in return for a payment, and if you can produce proof of that arrangement, you may be able to get the balance of your current debt lowered. Contact the credit bureaus using their online disputation forms and send copies of your records when requested to attempt to get the debt amounts corrected.

0 comments:

Post a Comment