In California, can a debtor sell the debt and still report negatively while the new debtor does the same?
Posted in Credit on 10/08/2008 01:49 pm by admin
li x asked:
, so that even though the account was sold , they are both reporting the debt as a negative mark on a consumers credit report at the same time, thanks ?
JOSEF
, so that even though the account was sold , they are both reporting the debt as a negative mark on a consumers credit report at the same time, thanks ?
JOSEF
10/11/2008 at 2:33 pm
Yes. It becomes a charge-off to the original creditor. (A debtor is the party that owes the money).
10/12/2008 at 12:41 pm
If they sell the debt to a collection company, then you only owe that money.
This does not change the fact that you had an account with the original creditor. The account should be marked as transferred and this will not affect your capacity negatively, because the account is not open. However, you did have an account, which was not paid on time and your history will show it.
Remember, there are two parts: current status (what you owe now) and history (what you did in the last seven years).