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     | Friday, March 03, 2000 - 03:30 pm  Hello, let me start by saying I have a big problem bigger than any I’ve read. I was a successful 2 million-dollar business owner from 1986 till 1994 I had a $400.000 house 2 cars (change every 2 years) 36 years old man married and no children. With the nature of my business, travel, staying in expensive hotels, and car rentals, I accumulated credit cards, dep. stores, in my name close to $250.000 any credit card you name it I had it.All were gold and platinum. During this period I had an excellent credit not one single late payment for 17 years. In 1995 I got hooked on drugs sold my house fired all my employees left my wife my 2 cars repossessed spent all my money, plus the credit cards money (cash advances, buying stuff and selling it at half price to get money to buy drugs) in six month I had nothing with credit cards loans 200.000 or more, I don’t know, because I ‘ve never checked, to a point that I became a homeless on the streets of LA. in 1996 I was awakened one day on the street by one man giving me change, it happen to be one of my old customers. That day I left LA and end up in Mexico till 1998. When I was in Mexico i learned Spanish, quit drugs, smoking and alcohol for good. Made some money $ 16000.00 came back to USA rented a back house from an old friend and got a job from the same guy. I have never ordered my credit report fear of giving them my address and then collection agent start hunting me. How can I rebuild my credit again? What do I do wait the 7 years period and take the do nothing approach? And what about after the 7 years do I still owe any body (credit cards, car repo., dep.stores) any thing? With the money I make all I am saving is $300 a month hoping that one day I will save enough to reopen my old business again, it does not need a lot of money to restart. Please help any suggestion is appreciated.
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| | Saturday, March 04, 2000 - 02:32 pm Depending on how long ago these charge offs occurred you might get a jump on your credit recovery process by filing bankruptcy. You should request your credit profile to see the damage. If you get contacted by collection agencies after that you should be prepared to file bankruptcy.
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| | Sunday, March 05, 2000 - 09:23 am With any unpaid debts there are 2 different time lines to be concerned about: the time late payments (which include charge offs, collections, foreclosures, BK's and judgements, not just 30 or 60 days late pays) can stay on your credit report and the time creditors have to sue you for your unpaid debts. Late pays can be reported on your credit report for 7 years, with the exception of Ch 7 BKs, which can stay on for 10 years. This is the general rule of thumb. The time a creditor has to sue you is called the statute of limitations, and varies from state to state and by the type of debt it is. With that all said, I tend to agree with Sean, BK may be the way to go, since it may be quite awhile still until this is all off your credit report, let alone the statute of limitations expiring. Yes, by giving your address to the CRA's, they may be able to find you and go after you. Again, Sean is right, the first step is to pull your credit report. Best of luck to you, Kristy
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| | Tuesday, March 07, 2000 - 10:34 am On my credit report, I have 3 state tax leins, 2 are paid and one will be satisfied by the end of the month once the tax office finishes processing my return, also I have a utility bill for 585 dollars, that is 6 years old. Two of my old credit cards that fell off of my report several years ago have been sold to a new firm, they are threatening to put it back on my credit report. In October, I purchased a 1996 auto, my payments have not been late. I need to buy a house. What shall I do?
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| | Tuesday, March 07, 2000 - 05:03 pm If they try to threaten you with placing it back on your credit tell them this: The ORIGINAL date of delinquency or charge off by the original lender-creditor is the date that MUST be used when reporting an item to the Credit bureaus. If you try to put it back on my credit by changing the dates to the date you bought it, you will be in violation of the FCRA. (big fat period!) Any attempts to collect the debt will be met by proof of said expired debts. (Cease & Desist) They bought the debt for pennies on the dollar and are hoping for a return on their investment by unsuspecting consumers who may not be aware of how it can report and how long it is collectable. Good Luck!! Kristi Feathers CarreonandAssociates.com Not legal advice,just an opinion.
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| | Thursday, March 09, 2000 - 03:19 am The Fair Credit Reporting Act states: Running of reporting period.http://www.ftc.gov/os/statutes/fcra.htm#605 In one of the FTC's opinions, they state: 2. Section 605(c)(2) states that the section "shall apply only to items of information added to the (CRA) file of a consumer on or after" 455 days after the enactment of those amendments, or December 29, 1997.(2) We read this language to mean that a CRA is not required to use the commencement-of- delinquency date mandated by Section 605(c)(1) on an account where the chargeoff or collection ("item of information") was first reported to the CRA ("added to the ... file") prior to that date. Thus, adverse information such as collections or chargeoffs reported before December 29, 1997, are not subject to the new "commencement of the delinquency" provision.http://www.ftc.gov/os/statutes/fcra/kosmerl.htm http://www.ftc.gov/os/statutes/fcra/index.htm Suppose an account is opened in January, 1991, and becomes a collection in February, 1992. If it is "not subject to the new 'commencement of the delinquency' provision," how long can it stay on the credit report?
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| | Thursday, March 09, 2000 - 06:57 am You know Greg I have yet to see the provisions be an issue. Matter of fact I am surprised at just how "Off" the CRA are on exact dates of reporting. I have many that are a few months sometimes a year away from the actual time allowed to remain, and when the consumers questions them before expiration, the bureaus almost always remove it. It is almost like their attitude is, just as long as it is around the expiring time.
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| | Thursday, March 09, 2000 - 08:47 am K.Feathers: Does the law allow the account that became a collection in 1992 to remain after seven years after becoming a collection?
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| | Thursday, March 09, 2000 - 03:16 pm Well, for specifics on the law, you'll have to ask an attorney:) but if it became a collection account in 1992 and subject to the provisions of the 96 FCRA (not subject to the ammendment in 1997) then I would assume it would remain for 7 years as subject to 1996 rules. I am hoping I interpretated your question right!
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| | Thursday, March 09, 2000 - 06:14 pm Where can I read the 1996 rules? The 1997 amendment?
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| | Thursday, March 09, 2000 - 06:57 pm You asked:Does the law allow the account that became a collection in 1992 to remain after seven years after becoming a collection? This version of the FCRA is complete as of July 1999. It includes the amendments to the FCRA set forth in the Consumer Credit Reporting Reform Act of 1996 (Public Law 104-208, (4) Accounts placed for collection or charged to profit and loss which antedate the report by more than seven years. (The reporting periods have been lengthened for certain adverse information pertaining to U.S. Government insured or guaranteed student loans, or pertaining to national direct student loans. See sections 430A(f) and 463(c)(3) of the Higher Education Act of 1965, 20 U.S.C. 1080a(f) and 20 U.S.C. 1087cc(c)(3), respectively.) I know you know this but I aim to please! Call me silly but was this suppose to be a trick question?
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| | Thursday, March 09, 2000 - 07:58 pm Not a trick question. I'm really not sure what to think. There seems to be an out for creditors and collectors for debts prior to 12/29/97, but that's not what's commonly believed. It is commonly thought that a debt that became a collection in 1992 would be removed in 1999, but, unless I'm mistaken, that's not necessarily so. In the quote of the FTC's letter, above, it says "... adverse information such as collections or chargeoffs reported before December 29, 1997, are not subject to the new "commencement of the delinquency" provision." You deal with this more than anybody. Speaking practically, could you tell us if any creditors insist that they are not subject to the seven-year period because the debt became a collection prior to 12/29/97 ("455 days after the date of enactment of the Consumer Credit Reporting Reform Act of 1996")? Perhaps items that became delinquent prior to 12/29/97 fall under the previous law, but the credit bureaus are ignoring it-- and just going with seven years, not matter when the delinquency started.
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| | Friday, March 10, 2000 - 08:41 am Greg: That seems to be the case. My experience has been that the CRA do not even acknowledge the 180 days or 455 days. They seem to not even care as long as the 7-year has approached or is approaching. As for creditors, they don't even seem to know how to interpretate the FCRA. If you write to them and inform that it has been 7 years, they simply comply. I have not had any even debate the allowed time in regards to 455 days after enactment of the CCRRA of 1996. They simply do not understand it and never seem to engage in battles of the exact date.
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| | Wednesday, March 15, 2000 - 08:23 pm I am just wondering what kind of business Christopher is in? I need to get a piece of that
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