Author Topic: Still reporting balance after 1099C  (Read 4649 times)

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silverzgirl

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Still reporting balance after 1099C
« on: February 11, 2013 01:04:38 PM »
I went ahead and filed a dispute with the credit bureaus since BoA sent the 1099s my way.
Experian came back this morning, and BoA confirmed there is a balance due, higher than the 1099C. The report states that the OC claims that their amount is being reported correctly.

What's next...ITS?
“Know your enemy and know yourself and you can fight a hundred battles without disaster.”  - Sun-Tzu

I am not a lawyer, nor do I play one on TV. I once thought I was a lawyer when I was litigating in a courtroom, but turns out I just had Patron induced bed spins and dreamed it all. Take my posts with a grain of salt...and a shot of Patron. But not so much you think you are a lawyer.

WinningTheBattle2010

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Re: Still reporting balance after 1099C
« Reply #1 on: February 11, 2013 05:05:10 PM »
I had one do the same to me.  Left a balance after the 1099-C.  I sent an ITS letter.

They removed the TL completely on all three CRA's.
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I am not a lawyer, any/all information on my answers should be considered my thoughts only, Not Legal Advice.

montag

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Re: Still reporting balance after 1099C
« Reply #2 on: February 11, 2013 06:13:49 PM »
What's next...ITS?
That and tip off the IRS. http://www.irs.gov/pub/irs-pdf/f3949a.pdf

When a 1099C is issued, the issuer has already written off a bad debt which lowers their taxable income.  To continue collecting is clearly forbidden.

silverzgirl

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Re: Still reporting balance after 1099C
« Reply #3 on: February 11, 2013 06:26:27 PM »
Failure to pay tax and false deductions?
“Know your enemy and know yourself and you can fight a hundred battles without disaster.”  - Sun-Tzu

I am not a lawyer, nor do I play one on TV. I once thought I was a lawyer when I was litigating in a courtroom, but turns out I just had Patron induced bed spins and dreamed it all. Take my posts with a grain of salt...and a shot of Patron. But not so much you think you are a lawyer.

innocentme

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Re: Still reporting balance after 1099C
« Reply #4 on: February 11, 2013 06:54:49 PM »
The 1099s have been a big topic on here, due to many people getting them recently.

From all that I have read, just issuing a 1099 doesn't mean that the debt goes away.  It just means that they will not attempt to collect it. 

One of the biggest things that stood out to me in my readings, is that issuing a 1099 is not final.  The issuer, can amend the 1099c and start collection attempts again at any time. 

So, if pressed, I think a creditor might just amend, and start collecting/sue IMHO.
I am not an attorney.  I just love to know my rights, and to defend them at all costs.  Even if that means going on the offensive.  I'm always nice, until I'm not.

silverzgirl

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Re: Still reporting balance after 1099C
« Reply #5 on: February 11, 2013 07:51:45 PM »
Define "cancellation." If I cancel my gym membership or my cable, they cannot continue to collect because we are done. Frankly I think the courts erred in this because a cancellation means they called it quits and got the tax deduction...collecting is thus tax fraud.

That is my argument, especially since their validation was a statement with a zero balance three years ago. I will pursue it with the ITS and IRS notification of false deductions and nonpayment of tax, especially since they chose not to arbitrate two years ago.
“Know your enemy and know yourself and you can fight a hundred battles without disaster.”  - Sun-Tzu

I am not a lawyer, nor do I play one on TV. I once thought I was a lawyer when I was litigating in a courtroom, but turns out I just had Patron induced bed spins and dreamed it all. Take my posts with a grain of salt...and a shot of Patron. But not so much you think you are a lawyer.

kevinmanheim

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Re: Still reporting balance after 1099C
« Reply #6 on: February 11, 2013 10:29:01 PM »
The 1099s have been a big topic on here, due to many people getting them recently.

From all that I have read, just issuing a 1099 doesn't mean that the debt goes away.  It just means that they will not attempt to collect it. 

One of the biggest things that stood out to me in my readings, is that issuing a 1099 is not final.  The issuer, can amend the 1099c and start collection attempts again at any time. 

So, if pressed, I think a creditor might just amend, and start collecting/sue IMHO.
If you paid taxes based on the 1099, and they later filed an amended 1099, I think you would have an excellent lawsuit against the OC.

shore_cruiser

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Re: Still reporting balance after 1099C
« Reply #7 on: February 12, 2013 02:21:12 AM »
I received a 1099C this year for a debt that was cancelled in 2012, by Chase.  On my credit report, Chase is still reporting this full amount that was cancelled as past due.  I filled out the online dispute for the CRA, and their response is that this is correct.

What gives?

silverzgirl

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Re: Still reporting balance after 1099C
« Reply #8 on: February 12, 2013 12:58:05 PM »
I should get my taxes out this week. I will also get an ITS in the mail as well as reporting them to the IRS. Or I may use that in my ITS for more leverage. Once that tax return goes in, we are done.

Texas uses defamation with regard to credit reports. I did not get loans from any of my CUs for a cheap car because of "current delinquent balances" but they reported them to the IRS.
“Know your enemy and know yourself and you can fight a hundred battles without disaster.”  - Sun-Tzu

I am not a lawyer, nor do I play one on TV. I once thought I was a lawyer when I was litigating in a courtroom, but turns out I just had Patron induced bed spins and dreamed it all. Take my posts with a grain of salt...and a shot of Patron. But not so much you think you are a lawyer.

kevinmanheim

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Re: Still reporting balance after 1099C
« Reply #9 on: February 12, 2013 01:13:49 PM »
I received a 1099C this year for a debt that was cancelled in 2012, by Chase.  On my credit report, Chase is still reporting this full amount that was cancelled as past due.  I filled out the online dispute for the CRA, and their response is that this is correct.

What gives?
I would never dispute online.

I would dipute via CMRRR.

 

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