Information on credit bureau and collection account reporting - The Bills.com Blog

Information on credit bureau and collection account reporting

Question: Can the credit bureau report a collection account with less than a $100 balance on your credit report?

Answer: According to the Fair Credit Reporting Act, all trade lines can be reported on each of the credit bureaus - and there is no limit on the dollar amount of the individual account. However, the reporting agencies must update and keep accurate data in their credit files. If thereis erroneous information (like your collection account, that you believe is inaccurate), you must notify them (typically through a certified letter) and then wait one reporting cycle (90 days) for the errors to be removed.

I'd recommend calling the lender and asking them to "re-age" the account if you pay it off. Request a verification letter from them, and then when you get it, file it with the three major bureaus.

Most credit bureaus update their files every 90 days, or approximately quarterly. This does not necessarily mean that what you are seeking will show up in the next reporting cycle, as there are frequent delays in reporting. Also, all items remain on your credit report for up to