If you’ve been contacted by a debt collection agency, you might be wondering—can they report my debt to the credit bureaus? The short answer is yes, but only under certain conditions. At The Wood Firm PLLC, we help consumers understand their rights and fight back against unfair debt collection practices.
If a collection agency has wrongfully reported a debt on your credit report, you may be able to dispute it and seek legal action.
When Can a Collection Agency Report Your Debt?
A debt collection agency can report your debt to the three major credit bureaus—Experian, Equifax, and TransUnion—but they must follow strict rules under the Fair Debt Collection Practices Act (FDCPA) and the Fair Credit Reporting Act (FCRA).
Debt Collectors CAN Report Your Debt If:
✔️ The debt is legitimate and belongs to you.
✔️ They have verified the debt and provided details upon request.
✔️ The debt is past due and has been charged off by the original creditor.
Debt Collectors CANNOT Report Your Debt If:
❌ The debt is not yours or was reported in error.
❌ You have disputed the debt, and they have not provided verification.
❌ The debt is past the statute of limitations in your state.
❌ The debt collector fails to notify you before reporting.
❌ The debt was discharged in bankruptcy.
🚨 If a debt collector reports a debt that does not meet these criteria, they may be violating federal law.
What Happens When a Debt Is Reported to the Credit Bureaus?
Once a collection agency reports a debt:
🔹 The debt appears as a “collection account” on your credit report.
🔹 Your credit score may drop, depending on the amount and age of the debt.
🔹 The collection stays on your credit report for up to 7 years from the original delinquency date.
➡️ Even if you pay off a collection account, it may still remain on your report unless you negotiate a “pay-for-delete” agreement.
How to Dispute an Incorrect or Unverified Debt on Your Credit Report
If a debt collector has wrongfully reported a debt, you have the right to dispute it. Here’s how:
Step 1: Request Debt Validation
✔️ Send a written request to the collection agency asking them to verify the debt.
✔️ They must provide proof that the debt is valid before continuing collection efforts.
Step 2: File a Dispute with the Credit Bureaus
✔️ Contact Experian, Equifax, and TransUnion to formally dispute the debt.
✔️ The credit bureaus must investigate within 30 days.
Step 3: Contact a Consumer Protection Attorney
✔️ If the debt collector refuses to remove an inaccurate or unverifiable debt, you may be able to sue them for damages under the FDCPA and FCRA.
Need Help Fighting an Unfair Debt Collection Report?
If a debt collector has wrongfully reported a debt on your credit report, The Wood Firm PLLC can help you dispute the entry and take legal action.
📞 Call us at 844-638-1122
📧 Email us at help@protectionforconsumers.com
Your credit matters—don’t let debt collectors damage it unfairly!
