Can a collection agency continue to report on your credit report if the statute of limitations has expired?
For example, in California the Statute of Limitations on collecting debt is 4 years. So after 4 years, can the collection agency continue to post negative entries in your credit report?
agency, Collection, Continue, Credit, Expired, limitations, Report, statute
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People mix this up all the time.
The time that derogatory accounts can be reported is governed by the Fair Credit Reporting Act and it says 7-years from the date of first delinquency nothing resets this time line.
The statute of limitations is the legal time that creditors have to sue you and get a judgment, this time line varies by State and type of debt, this time line can be reset by making a payment and in some States even by admitting the debt is yours.
One time line has nothing to do with the other.
Yes they can. In fact they can report all the way up to 7 years 6 months from the date of your first delinquency with that account. The state statute of limitations merely hampers their ability to sue you in attempts of collecting the debt.
yes they can