Can the collection agencies still come after me?
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I have $20,000 worth of unpaid medical bills that are supposed to come off my credit report in the next two years, according to the DFOD. These are 4 separate collections account that went to collection after my insurance refused to pick them up.
Legally, can the collection agencies still come after me once the debt is removed from my credit report?
Yes. You are confusing SOL with FACT Act reporting time limitations.
Like so many people, you are confusing two completely separate terms.
What determine the time frame for taking legal actions against you and filing a lawsuit is the Statute of Limitations (SOL) that has nothing to do with credit reports. The SOL varies between states and type of debt/contract. Typically, it starts from the date of last activity or last payment, and so even making a single payment can restart it.
The FACT Act is what determines the time frame for showing debts on your credit report. Per the FACT Act, derogatory items age off your credit report after 7-1/2 years from date of first deficiency (default), whether paid or unpaid. Nothing can restart that clock. However, this doesn’t mean that you no longer owe. It only means that it no longer can be reported to your credit report and adversely affect your credit score.
By the way, collection agencies may still try and continue to attempt to collect debts from you even after the SOL has expired. They’re hoping you aren’t aware of the SOL and pay up if they threaten you enough. They might even file lawsuits against you. In the event that they do, you can always use the SOL as an affirmative defense.
See why-pay-off-debts.html and how-to-pay-off-debt.html for more information.
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