What happens when a collector is unable to provide validation documentation?
Generally, when a collector cannot validate a debt they will stop their collection efforts and cease reporting the account to the credit bureaus. This is the required behavior and most collectors will comply, but not all. In some cases you will have to get defensive.
When Collectors Ignore Debt Validation
In some cases, collectors will simply ignore your debt validation letter. All you can really do, unless you are ready to take legal action, is to re-send your request. This can be frustrating, but like so many other aspects of credit repair, a little patience is called for.
They May Just Sell the Account
In other cases, the collector will stop reporting and collecting; a seemingly positive outcome. And yet the problem will not be over, as the collector has taken the opportunity to sell the debt to another collector. This means that a number of months later a new collector will surface and try to collect the same debt, necessitating the need for more credit repair.
Do it Again
Remember that a collector, by law, must send you a collection notice before reporting to the credit bureaus. So if a new collector has purchased an old debt, they will make their presence noticed before they report to the credit bureaus. This is your opportunity to stay on the case with another round of debt validation. If you are in our credit repair program we will manage this for you, as long as you provide the new collection letter to us in a timely manner.