Will paypal settle on a past due amount?

[gottabeaway]

I owe paypal approx 3 grand from like 2007 from a charge back from a buyer. Obviously my account is now limited with PP. Ebay lets me sell but obviously takes any $$ i get towards the debt.
My ? is will PP let me settle this amount I owe them since it has been like 5yrs now? (They do have my social sec # as I was verified with this account.) Does anybody have any suggestions I would appreciate it.

[AmazonStealth]

If it has been 3+ years then this is DEFINITELY affecting your credit every month. I would pay it IMMEDIATELY.

[Sandy D]

If you cannot pay them right away I would sell on some stealth accounts and toss some items on it to pay down your bill.

This is effecting your credit, have you pulled a free credit report recently to see how they are reporting? If not you need to.

And if you settle you credit will still take a hit and be noted

"Settle debt for less then amount owed" and on any manual review for credit it will be seen as you still owe the debt.

Most likely the statute of limitations had past but when you make any type of payment the new SOL starts from the first day you made or they took a payment from you.

SOL is 4 years in most states and they cannot collect it, and will drop off your credit report in 7 years.

But since you made payments it changed the SOL.

Get them paid and do not settle.

[rsot]

Originally Posted by AmazonStealth

If it has been 3+ years then this is DEFINITELY affecting your credit every month. I would pay it IMMEDIATELY.

@OP, check your credit history first - has pp reported you to the Credit Bureau? Problems?

[gottabeaway]

Not sure if it has been reported but I did get my credit report like 3 months ago and it wasn't on there. But then like 2 weeks later I received a bill from ACI (?) credit telling me they were trying to collect a debt from PP. I disputed it and haven't heard anything from them in a month or so. It is probably on there now.

[Roscoe]

Paying off a debt does NOT raise your FICO score.

Removing the info from your credit report does raise your score.

Statue of Limitations is infinite. Most states are 7 to 10 years, some as high as 20.

But debt companies know how to keep debt files open forever.

Under normal circumstances a credit item can be removed after 7 years. It is NOT automatic. You need to contact the Bureaus and have them remove it.

I personally would not pay the debt, it will do nothing to help your credit score. Many think it will but that is a Myth.

[Sandy D]

Originally Posted by gottabeaway

Not sure if it has been reported but I did get my credit report like 3 months ago and it wasn't on there. But then like 2 weeks later I received a bill from ACI (?) credit telling me they were trying to collect a debt from PP. I disputed it and haven't heard anything from them in a month or so. It is probably on there now.

If you disputed it then you need to check the report to see if it is there.

[stanislav]

Lol at anyone thinking owening Paypal money is going to affect your credit score.

[Sandy D]

Originally Posted by stanislav

Lol at anyone thinking owening Paypal money is going to affect your credit score.

It does Stan, if you are using your real info and not stealth.

Pp sends any owed money on a real account to IC Systems, NCO or one of the other heavy hitting collectors who hound you to death.

Then IC trys to collect and if they cannot they send it back to pp who then sells it to another bottom feeder collector who buys it and owns the debt.

Then you have pp, the second collector and the new debt owner all reporting negatives on your report.

Most people dont check their credit and would not even know that one debt just turned into three negatives.

This is solely based on if they have your proper info such as SSN, name, address and other personal info.

Many will report without knowing the SSN as well.

[stanislav]

Actually I have to disagree with you. Many years ago , about 7 or so I used my friends PayPal account and generated too much money and ha a lot I refunds. Basically I owed PayPal about 4.5k. I never returned this money and yes he did get letter from NCO but his credit score was not damaged. I mean there is no mentioning of it anywhere on his credit score.

[slim jim]

This is just a game you are playing. You can see items on your credit report years after . They can claim they contacted you and that extends the statue of limitations . Its all a game, all depends if its worth screwing up your credit over . I don't care how bad the country is doing or how rich you are, credit is very very important

[Sandy D]

Originally Posted by stanislav

Actually I have to disagree with you. Many years ago , about 7 or so I used my friends PayPal account and generated too much money and ha a lot I refunds. Basically I owed PayPal about 4.5k. I never returned this money and yes he did get letter from NCO but his credit score was not damaged. I mean there is no mentioning of it anywhere on his credit score.

He got lucky.

They dont report every single time but in most cases they will and do.

NCO will usually report if the person does not answer the dunning letter then send out.

[Sandy D]

Originally Posted by slim jim

This is just a game you are playing. You can see items on your credit report years after . They can claim they contacted u and that extends the statue of limitations . Its all a game, all depends if its worth screwing up ur credit over . I don't care how bad the country is doing or how rich u r, credit is very very important

Agree.

Just a few--

You pay higher car, house etc insurance.

You cannot rent a decent house in most cases.

You pay 15-20% on car loans and 20+ on CC's if you can get them.

In most cases you cannot get credit to help raise your FICO score.

Many jobs are now pulling credit reports as studies have shown that anyone with low credit scores have a problem with managing their life. Although I do not see it this way 100%.

You cannot buy a house at all for at least 3-4 years after foreclosure or bankruptcy. Depending on what state you want to buy in.

[stanislav]

Originally Posted by Sandy D

He got lucky.

They dont report every single time but in most cases they will and do.

NCO will usually report if the person does not answer the dunning letter then send out.

Yeah he got the letter and did not answer. His credit score was not affected. But can you imagine if it was possible then anyone who wanted to damage your credit score could make account on your address, your name, sell on ebay then transfer money to his account and not pay for their fees and ruin your credit. If that was actually possible I think we would have a lot more people in debt.

[Sandy D]

Originally Posted by stanislav

Yeah he got the letter and did not answer. His credit score was not affected. But can you imagine if it was possible then anyone who wanted to damage your credit score could make account on your address, your name, sell on ebay then transfer money to his account and not pay for their fees and ruin your credit. If that was actually possible I think we would have a lot more people in debt.

It is called a Dunning letter and in most cases you have 30 days to send a dispute to the company who sends it. After 30 days they have the right by FCRA to report the debt on your report.

He just got lucky because for 4500 NCO usually would be calling the parents, aunts, uncles, neighbors, work etc for that kind of money.

That is why everyone needs to pull their credit report every so often to make sure nothing is on the report that does not belong.

Many collectors make mistakes with names and put items on reports of people with same or similar names by mistake and do not remove them unless you catch it.

[stanislav]

I agree that everyone should check on their credit score once in a while but I still don't agree that PayPal can ruin your credit score. If someone commits fraud over 5000 than PayPal will involve authorities. But even 5000 is still not enough for them (for PayPal) to go after you. This money is literally peanuts for them.

Also please let's not forget that the real criminal here is PayPal. Their policies are. It's too bad there aren't any real alternatives to PayPal (even many years after) when selling on eBay.

As a buyer I tend to trust PayPal more than other merchants because everyone knows that Paypal usually tends to side with the buyer if they can provide sufficient proof. Because they would rather lose another seller than scare other buyers from not using PayPal again.

[Sandy D]

Actually I have some back ground in credit area and can tell you paypal has dinged many peoples credit report by sending the debt to IC or NCO. Then NCO adding a second negative to the reports and then they sell it off if they cannot collect and a debt buyer adds yet another negative.

In fact, hundreds if not thousands of accounts are purchased by Portfolio Assoc and Kramer & Assoc that were paypal or ebay accounts of past due fees or negative balances.

3 negatives on a 700 FICO score will drop your credit score like a rock.

[igotsuspended]

Your credit score hurts if and only if you gave your ssn to Paypal or anyone else you owe their money. Otherwise, they have nothing to do to your credit.
I have been received a notification of a collection was put on my account from eb and pp collector agencies (I monitor my credit realtime) but it didn't show up.

[Sandy D]

90% true, 10% false.

They can report and has been done many times based on your name, address etc.

They by law are not suppose to do it but most collectors do not follow the law.

Many who have same names or a father and son with the same first name get nailed on this often.

They were trying to scare you but they have depending on what state 7 years to collect and put it on your report.

The company I worked for many years ago reported to the credit bureaus of past due electric bills, gas bills etc and never once had a SSN to verify this was that exact person. They just went by the name on the bill and the address.

Did you know that 95% of all credit reports have ERRORS ON THEM?

I can find an error on your report even if it is clean.

Spend many years looking at credit reports and found one mistake after another, multiple negatives, wrong sir names, aliases, addresses etc.

[Sandy D]

FYI


Can a creditor report you to a credit bureau without your social security number


How Do Collection Agencies Obtain Your Social Security Number? | eHow.com

http://answers.google.com/answers/th...id/749901.html


Just a few.

[stanislav]

I owe $1000s of unpaid dollars to UPS (unpaid customs fees) and it doesn't show up on my credit report.

[BiN4RY]

Originally Posted by stanislav

Actually I have to disagree with you. Many years ago , about 7 or so I used my friends PayPal account and generated too much money and ha a lot I refunds. Basically I owed PayPal about 4.5k. I never returned this money and yes he did get letter from NCO but his credit score was not damaged. I mean there is no mentioning of it anywhere on his credit score.

Different countries have different federal policies, owing money in the united states WILL cause impacts on your credit scores because the government can easily give out your information to corporate and debt collectors. Even if they can't harm your credit score, it doesn't mean they cannot sue you either.