If you check your credit and see RentDebt Automated Collections or RDAC listed there, you might be confused and worried, especially if you think there's been a mistake.
When a collections account is on your credit report, in theory, you had a financial account that became very past due, and a creditor turned it over to a debt collection agency.
Debt collectors either buy consumer debts or try to collect on behalf of creditors who are paying them to do so. Once an account is sold to a debt collection company, it can be reported separately on your credit report, and the impact of this negative information can be significant.
Negative information on your credit report can lead to being turned down for credit cards, loans, and other financial products. Even if you're approved, your credit score determines your interest rate, so yours might be much higher if RentDebt Automated Collections is listed there.
How can you get RentDebt Automated Collections off your report and stop their calls?
RentDebt Automated Collections, or RDAC, is a legitimate company, not a scam. The company is based in Tennessee. Despite being a real company, verifying whatever debt RentDebt Automated Collections is contacting you about or has reported to a credit bureau is important. There are frequently situations where debt collectors' information on file is wrong, or the information reported on your credit history isn't correct, and you can do things to fix it.
RentDebt Automated Collections works in different industries but primarily focuses on multi-family and student housing. If someone falls behind on their rent or has an unpaid debt with an apartment community, RentDebt Automated Collections might be hired to contact them and try to recover the money. RDAC also collects for single-family rentals and storage units.
If you're getting calls from RDAC or they're listed on your credit report with one or more of the three major bureaus, you could wonder what they want from you.
RentDebt Automated Collections could call you because you owe a debt, which would most likely be related to rent. When a debt goes to a collections agency, you can try to work with them on a payment or settlement plan. Before you do this, though, you should speak with a consumer protection attorney.
Two federal laws protect consumers regarding debt collection and what's reported in their credit files.
One relevant law is the Fair Debt Collection Practices Act. The other is the Fair Credit Reporting Act.
Both focus on transparency which is something that debt collectors have to adhere to when they're contacting anyone. Even if you owe the debt that RDAC calls you about, they can't use harassment or intimidation when they try to collect from you. To comply with the FDCPA, collections companies also have to provide you with information as soon as they contact you about the details of the debt they're calling about.
The details that RentDebt Automated Collections has to provide under the FDCPA include the original creditor's name, the amount owed, and the fact that you're legally allowed to dispute the debt if you think some or all of the information is wrong.
If you haven't received this information yet and request it in writing, debt collectors must stop all activities until they provide it, ideally to your attorney.
It’s best to have an attorney request this information on your behalf because trying to contact or work with debt collectors without legal help can ultimately worsen the situation.
Another situation can also lead to calls from RentDebt Automated Collections—there's an error or fraud.
Credit report errors and misinformation because of fraud and identity theft are incredibly prevalent.
There are a lot of other reasons for errors on credit reports, with some of the most common including:
If you feel RDAC is contacting you based on incorrect information, contact an FCRA attorney immediately. They can take the steps to dispute the debt if that’s the best option in your situation. An attorney can also dispute it with the original creditor and the credit bureau reporting it. The three credit bureaus don't always have the same information, so a dispute might be submitted with one or more but not all three.
In one study recently, more than one-third of people who were asked to check their credit information for errors found at least one, so this happens more often than you think.
After submitting a dispute, the creditor and companies you file a dispute with are legally obligated to investigate. They typically have to do this within 30 days, according to the FCRA. They also have to provide you with the results of their investigation within five days of completing it.
The information should be removed from your credit report at that time, but that's not always what happens. It can be difficult to deal with debt collectors without legal help.
A debt collector might not be responsive or act in a timely way, and they might also disagree with your dispute even when you have evidence to support your claim. To avoid these scenarios, the best way to remove RentDebt Automated Collections from your credit report is to work with an FCRA attorney.
If you're ready to move on from dealing with RentDebt Automated Collections (RDAC) and get them off your credit report, Fair Credit can help. Our attorneys specialize in the FCRA, and we can do a free case review to help determine what the next steps should be.