IQ Data International is a large, aggressive, third-party debt collection agency. They were founded in 2003, and are located in Everett, Washington.
They work exclusively servicing property management accounts. And they do business as RentCollect Global. These two companies IQ Data International and RentCollect Global, are the same exact people. Same company.
If you’re getting the constant flood of obnoxious phone calls, threatening letters, or have simply discovered IQ Data International or RentCollect Global on your credit reports, you’re in the right place. And we first must share the Fair Debt Collection Practices Act (FDCPA).
This is federal legislation that is supposed to regulate the debt collection industry. In short, they’re supposed, to be honest, and give you a modicum of respect and dignity, that all human beings deserve.
Will Paying Off Collections Improve Credit?
The first concern for most folks is will paying off collections improve credit? It seems logical, and it would make sense if it did, but no it won’t. FICO says: “The fact that you have collections listed on your credit report will almost certainly lower your FICO score.”
The most effective strategy to improve your credit score is to remove credit report dings, blemishes, and negative items. For some folks, after we first perform the necessary due diligence, and following our tips below, may find that paying off collections is the most effective and efficient way for them to clear credit report dings.
But, when most folks just go paying off debt in collections, the only thing that changes is the status of the item on your credit report. It’s changed to a paid collection. This is still a negative item, and it’s going to damage your credit score.
Anthony Sprauve, a spokesman for FICO, says collections on your credit report can drag your score down by up to 100 points. This is why we need to remove it from your credit report, so it’ll be as if the debt never existed.
Listen, we’re not advising you ignore IQ Data International or RentCollect Global, because if they’re unable to collect payment they have two legal options. First, they can sell the rights to your account to yet another collection agency.
This new debt collector, will start calling you, sending letters, and they’ll report more negative information on your credit reports. And the second option, and it looks like IQ Data International uses this collection method, is they’ll sue you.
As in they’ll file a civil lawsuit against you. You’ll be notified of your court date in a summons. And it’s imperative that you appear to defend yourself. Because most collection agencies lawsuits are won by default.
When the defendant doesn’t appear in court, the judge must award a judgement by default for the plaintiff. This is what the collection agencies want, and they know most people don’t appear.
If they win a judgement, they can potentially garnish your wages, have liens placed against you and or your property, and even asset seizure. For full details, investigate your local legislation, because every state has unique laws.
On July 1st, 2017 all three credit bureaus implemented new data standard requirements, which makes removing judgements from credit report files, and frankly your ability to remove public record from credit report files, far easier than ever before. If possible, let’s try to avoid this, because it’s a much more difficult path.
IQ Data International
DBA: RentCollect Global
1010 SE Everett Mall Way Suite 100
Everett, WA 98208
Phone number: 1-888-248-2509
4 Consumer Tips For IQ Data International
1. Request Debt Validation
The very first action when dealing with debt collectors, is to request debt validation on your account. This is your consumer right, granted by the FDCPA. It’s most effective to make this request in writing with a debt validation letter.
We encourage you to send this certified mail, with return receipt requested. This way you’ll have evidence they received your request. Essentially, we’re saying IQ Data International, you first prove this is a legit account, and then we can potentially discuss repayment.
They’re required to respond within 30 days, by providing you with the evidence, documents, and paperwork that proves this is your debt. Everything’s legit, they own the collection rights. You should also see in this paperwork who the original lender or creditor was, the dates of account activity, the total balance, etc.
If they fail to validate your account, then legally the debt is forgiven. Yes, in compliance with federal legislation, if your account is not validated, then you’re no longer legally responsible for payment.
Moreover, the credit bureaus are supposed to be notified to start getting collections removed from credit report files, regarding this account. If your debt is validated, we next want to examine this paperwork in detail.
2. Statute of Limitations
In this step, we’re looking at the statute of limitations. This is a state law, and it says a maximum legal amount of time, we are responsible for repayment of a debt. This is state legislation and it does vary, so investigate your local legislation for exact details.
Generally, this time window is seven years from the last date of account activity. This last date of account activity, this frequently occurs with the original lender. So we want to find the last date of account activity in the paperwork they sent to validate your debt. This in all likelihood is with the original property management company.
And while the statute of limitations doesn’t apply to every type of consumer debt is does apply to most, and it definitely applies to property management debt, along with charge off debt, credit cards, healthcare, utilities, retail, telecommunications, and more. The few exceptions include federal defaulted student loans, and federal income taxes.
Caution. The debt collection industry is notorious for re-aging consumer accounts. Obviously, this allows them to continue to attempt to collect payment, despite the debt being legally null and void.
3. Negotiate a Settlement Contract
In this third step, we’re discussing how to pay off debt collectors. And the first thing is to only enter into negotiations if your account is valid and within the statute of limitations time window.
If so, then we want to open up negotiations directly with IQ Data International. The first key here is to always negotiate to settle your debt for less than the total balance due.
Often, you’ll be able to settle for just a fraction, such as 15% up to 45%. Somewhere in that ballpark. This is for a variety of reasons, one of which is your balance has probably been inflated due to collection fees, or interest rate fees.
It’s standard operating procedure, for all collection agencies, and IQ Data International will be happy to accept a settlement for less. But wait, this second part of your settlement contract is mission critical.
You must get IQ Data International to agree that in exchange for your payment, they’ll stop reporting your account information to all three credit bureaus. If you overlook this part, then we’ll get slapped with that paid collection on credit report files.
4. Clean Up Credit Report
In this last step, we’re looking at how to clean up credit report dings, blemishes, and specifically, remove this collection item. Because this is what’s lowering our credit score.
To do this, we’ll be looking at how to dispute items on credit report files. And to do this we’re going to have to exercise more of your consumer rights, and specifically those granted by the Fair Credit Reporting Act (FCRA).
This federal legislation enables you to dispute and challenge any item on your credit reports, so long as you believe it’s been made in error, it’s misleading, or incorrect. And there are three ways to dispute credit report items online, over the phone, and by mail.
We’re going to dispute the IQ Data International collection item. Because once the credit bureaus get our dispute, and deem it valid, they’re required to investigate the item. In full disclosure, they call it a re-investigation.
Nevertheless, when they re-investigate, they’ll contact IQ Data International and request they verify your account. As per your settlement agreement, IQ Data International, won’t verify your account when the credit bureaus re-investigate.
The FCRA, very clearly says any item on your credit report that can’t be verified must be removed. In other words, this is how to remove collections from credit report files, and do it legally.
By the way, some folks may claim you have to demand the collection agency delete the item from your credit reports, before you make payment. This is called the pay for delete method.
You’re welcome to try this approach, however in our decade plus of experience, we’ve yet to hear of any collection agency agreeing to do it. For many reasons, but we strongly suggest you instead request they stop reporting your account information. They will happily and readily agree to this.
Look, your credit score is a lot like your Grade Point Average (GPA) in bygone school days. It doesn’t matter if you’re acing all your classes, if you’re failing underwater basket weaving, because this one negative mark is going to obliterate your overall GPA.
This is also true of your credit score. FICO is very open and clear about this. And this is why it’s so essential to clear credit report dings, blemishes, and remove any negative items.
We encourage our members to consider professional, legal, and legitimate credit repair companies to help. Because in 2016 alone, over 9 million negative items were removed from consumer’s credit reports.
One of the best firms is The Credit Pros. They’ve helped client’s successfully remove collections, late payments, charge offs, judgements, liens, and many more negative credit report items.
Get a free credit consultation with a certified FICO professional by calling toll-free 1-877-418-7596. And for more tips, techniques, and strategies, and how to fix my credit with Dan Willis, sign up for our free newsletter and join our congregation.
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