I pulled my credit report recently after trying to secure an auto loan and found a collection agency having a file on me. After having the credit reporting companies doing investigations on this, I have been contacted by the collection agency in regards to a Student Venture Capital loan in Ontario from 1992. I did default on this loan and made payments through another collection agency a for a few years later. I thought I had paid it off as I had sent them post dated cheques for $500.

I received some communication from another collection agency back in 2000 regarding this loan and when I questioned them on this for documentation and payment history, I never heard from them again! Since it had been many years, I didn't have any records as I had switched banks at least twice since then.

It is now 2008, and I am now receiving some original loan documentation from the collection agency, but again no proof of payments or interest and the amount trying to be collected in lower than the original loan amount.

What can I do to get rid of this? Do I need to take them to small claims court and have the judge release me from this? The original loan was for $2450, the last collection notice from the Ontario government was for $2621 and the collection agency is asking for $1836. What are my options? Any help or advice would be greatly appreciated. I want this off my credit record as I am trying to get an auto loan and would like to get a mortgage next year.

Thanks!

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Originally Posted by Wakko

I pulled my credit report recently after trying to secure an auto loan and found a collection agency having a file on me. After having the credit reporting companies doing investigations on this, I have been contacted by the collection agency in regards to a Student Venture Capital loan in Ontario from 1992. I did default on this loan and made payments through another collection agency a for a few years later. I thought I had paid it off as I had sent them post dated cheques for $500.

I received some communication from another collection agency back in 2000 regarding this loan and when I questioned them on this for documentation and payment history, I never heard from them again! Since it had been many years, I didn't have any records as I had switched banks at least twice since then.

It is now 2008, and I am now receiving some original loan documentation from the collection agency, but again no proof of payments or interest and the amount trying to be collected in lower than the original loan amount.

What can I do to get rid of this? Do I need to take them to small claims court and have the judge release me from this? The original loan was for $2450, the last collection notice from the Ontario government was for $2621 and the collection agency is asking for $1836. What are my options? Any help or advice would be greatly appreciated. I want this off my credit record as I am trying to get an auto loan and would like to get a mortgage next year.

Thanks!

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The only way to get out from under this is to prove you made the payments - but I have no idea how you would do that without cancelled checks, bank statements, statements of account.

It will, of course, stay on your credit report for a number of years. I think it's usually 7 - even if it's paid you are not immediately in the clear.