CDIA Credit Reporting Manual: Collectors have to identify the ORIGINAL creditor
As I was hole punching a copy of the 201 page CDIA Manual (eOscar) to send to Judge Wake (re. Cap One attorneys fees), I happened to look at a page stating:
Field Definitions
K1 Segment
Original Creditor Name
The K1 Segment must be present each time the account is reported by collection agencies, debt collectors, factoring companies, check guarantee companies, student loan guaranty agencies, and the U.S. Department of Education. The purpose of reporting the original creditor name is to help consumers identify the source of accounts when they appear on credit reports. Without the original creditor names, consumers may not know what the accounts represent.
[Note that FACTORING COMPANIES such as LVNV are specifically included.]
Some state laws and CDIA policy stipulate that the original client/creditor must be identified. Federal law stipulates that the name of the payee must be identified when reporting returned checks. Only one occurrence of the K1 Segment can be appended to the Base Segment. If not applicable, do not report the K1 Segment.
In the table below it states:
Original Creditor Name
The original creditor name is the name of the company or agent who originally opened the account for the consumer.
This Manual is worth its weight in platinum. When collectors (factoring companies) like Sherman / LVNV report as TRADELINE, they often fail to identify the original creditor, see LVNV Funding “validation” and bizarre credit reporting
Collection Agencies must delete accounts that have been canceled and returned to the creditor.
And so few collection agencies comply. I had the fraudulent Pacific Bell collection reported by *** 4 *** collectors until I disputed.
I hope that some of you with collections reported as tradelines and in violation of the Manual will not only dispute, but include the page from the Manual with the requirements along with your deletion requests AFTER your initial disputes did not result in deletion, you have a paid collection or if a collector actually provided documentation to validate the account.
I wish I had the time actually go through this Manual, there’s so much great stuff in it!
Posted by Christine on 11/19/2006 at 08:32 PM
Credit - Collection - Economic News • (0) Comments • Permalink
