(Barbara from South Carolina) I have old accounts that have been transferred to or sold to other lenders. The date of last activity exceeds the 7 year FTC law. Does the new company get an additional 7 years to report on my credit report? If not, what do I do to resolve this?
Barbara, Your question is one that we commonly come across. Any collection account must be removed from your credit report once the date of first delinquency is more than 7 1/2 years ago. It is common for debt collectors to sell old debts to other collection agencies that specialize in outdated debt collection.
This sale or transfer of your debt account does not give them the right to keep the original account or any subsequent collection account on your credit report. Any collector that willfully does this risks fines.
You may dispute any outdated debt with the credit bureaus to remove all items. Additionally, you may file a formal complaint with the Federal Trade Commission in order to notify the regulators.
