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Richard, Lawyer
Category: Real Estate Law
Satisfied Customers: 53710
Experience:  32 years of experience as lawyer in Texas. I'm also a Real Estate developer.
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im closing on a house and my credit was fine i had one thing

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im closing on a house and my credit was fine i had one thing they said i had to pay off and i did now one week before closing i got a alert from credit report .com that i got 3 derogatory things on my report out of no where made my credit score drop like 100 point please help i havent charged anything or done anything new my dept to credit is good it has gotten better
Welcome! My goal is to do my very best to understand your situation and to provide a full and complete answer for you.

Good morning. Do you know who made these derogatory reports? And, are they on all three of the major credit agency reports? Thank you!
Customer: replied 3 years ago.
i dont know if they are on all 3 i just check one and i dont know any of them they say for eg. aCT collection not any store of compay names
Thank you! Just one more your lender refusing to fund your loan due to this report?
Customer: replied 3 years ago.
i havent heard anything yet my loan guy said they check my credit report and the credit number is XXXXX for 90 days then but he said they check my credit again 5 days before closing to see if i have charge my credit up last min so now im afraid i dont even know where this is from and its so last min i might not even have time to clear it up
Thanks for the additional information. It's not likely this will impact your closing since your loan is approved. But, you do want to move to get this removed. It's likely a total scam rather than a mistake...many times fraudulent collection agencies do this to get people to pay to get the report removed. The first thing you want to do is get the information on the collection agency that reported this on your credit report. Once you get that, call them and let them know this is a false report and that if they do not remove it immediately, you will: i) file a defamation suit against them for your actual damages plus punitive damages due to the fraudulent report; and ii) file a formal complaint with the Federal Trade Commission. Their actions have violated the Fair Debt Collection Practices Act and that you will report each and every violation to the Federal Trade Commission. Each violation carries at least a $1,000 fine, so that should be the end of things for you. In the meantime, if this causes a problem with your lender, you could make a deal with your lender to escrow the amount of this claim so that if it's ultimately proven true, they can use the escrowed amount to pay the supposed debt. You can also take immediate proactive action by filing a suit against the collection agency to have the report removed. You can go through a more deliberate process by filing a report with the credit agencies themselves, but the problem is that they have 30 days to respond and that may not be timely enough for you.

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