Summary: Seeing a collection from First Source Advantage LLC on your credit report can be scary. But there are ways to remove First Source Advantage LLC from your credit report.
Improving your credit score is about collecting information, most of which can be found on your credit report.
You need to know what’s bringing your score down, how it got there and how to get rid of it.
But what if you don’t recognize the name behind a black mark on your report?
This can happen sometimes, and it’s usually because a bill or debt you owe has gone to collections. When that happens, a collection agency takes over responsibility for the debt.
If First Source Advantage has recently made an appearance on your credit report, this is likely why.
So who exactly is FirstSource Advantage, and how can you get their name erased from your credit report?
Here’s what you need to know.
Who is First Source Advantage LLC?
First Source Advantage LLC is a collection agency focused on consumer debt, especially auto loans and medical bills. Those who see a notice from FirstSource Advantage LLC in the mail or on their credit report may have defaulted on one of these bills.
First Source Advantage has been accredited by the Better Business Bureau and has an A+ rating, so it’s not exactly a fly-by-night operation. This is a legitimate collection agency with full authority to assume responsibility for your debt.
How to Stop FirstSource Advantage from Reporting on Your Credit Report
First, you’ll need to send a Debt Validation Letter asking FirstSource Advantage to prove the debt is yours. They must also prove that the amount listed is correct. They then have 30 days to respond to the letter, after which they must stop reporting the collection to any credit bureaus.
Negative items on your credit file? Our 609 credit dispute letters may be able to help get them removed.
If First Source Advantage LLC does validate the debt, you should initiate a “pay for delete” process. This involves asking FirstSource Advantage LLC to remove the debt from your credit report in exchange for you paying off the balance.
Thankfully, you won’t usually have to pay off the entire balance. An article from U.S. News & World Report found that many collection agencies are willing to accept 40-60% of the remaining balance.
Having the collection removed from your credit report can result in a huge increase in your credit score – if First Source Advantage agrees. Some consumers in a personal finance-focused Facebook thread said they weren’t able to get FirstSource Advantage to stop reporting the collection on their credit report, but that they were willing to negotiate and settle.
If that happens, the collection will be marked as “paid” and will stay on your credit report for seven years. The longer it remains on your credit report, the less impact it will have on your score and ability to qualify for loans and other credit products. After seven years, it will be removed from your credit report entirely.
If the Collection is a Mistake
Sometimes debts go to collections by mistake. This can happen because of a mistaken identity, like if your name or Social Security Number is similar to someone who defaulted on a loan.
If you see a mistake on your credit report, you should dispute it with the three credit bureaus: Experian, Equifax and TransUnion.
Did you know?
48% of credit repair customers saw a 100 point or more credit score increase after 6 months.
Be sure to contact all of them. These agencies work separately and don’t communicate with each other. If you only dispute the collection with TransUnion, it will still show up on your Equifax and Experian reports.
You can send a written notice here:
Credit Reporting Bureau Mailing Addresses:
|P.O. Box 740256 |
Atlanta, GA 30374-0256
|P.O. Box 9701 |
Allen, TX 75013
|P.O. Box 2000 |
Chester, PA 19016-2000
You should also dispute it on their websites:
Once you’ve filed the dispute, make sure to follow up. Sometimes collection agencies will realize their mistake quickly, but other times they may fight it. Put a reminder in your phone to follow up every few weeks until the collection has been completely removed.
What if First Source Advantage Can’t Validate the Debt?
If First Source Advantage can’t validate the debt, they’ll have to stop reporting it to the credit bureaus. Unfortunately, that doesn’t erase your legal obligation to the debt.
Often, collection agencies will take more than 30 days to find proof of the collection. F
When that happens, they can start reporting it again. That’s when you can start the “pay for delete” process.
How to Stop Harassing Letters or Calls From FirstSource Advantage LLC
Some collection agencies will resort to constantly calling borrowers and threatening them with lawsuits or jail time if they don’t pay. They may even try to contact family members or coworkers.
According to the Fair Debt Collection Practices Act, collection agencies are not allowed to harass, threaten or lie to borrowers. They must also call during regular business or waking hours. If a collection agency is calling you in the middle of the night or contacting your employer, it might be time to remind them of this law.
You can also contact FirstSource Advantage LLC and request that they stop contacting you entirely. You can find their address listed on your credit report or use this one: 205 Bryant Woods S, Buffalo, NY 14228. You can also call them at 1-800-486-9164.
First Source Advantage is legally required to comply if you request that they stop contacting you. Unfortunately, that doesn’t change your responsibility to pay the debt.
If you’re still confused about the “pay for delete” process, you can hire a credit repair company to handle it for you. You’ll pay them to contact FirstSource Advantage and negotiate on your behalf. This may be a good solution if you’re pressed for time and want this collection taken care of.
If you get a notice from First Source Advantage, it’s important to take action quickly. A collection agency can sue you and garnish your wages if they win, but you can negotiate and settle the debt for less than you owe with a “pay for delete” agreement. The sooner you start handling the collection, the sooner you can minimize its effect on your credit score.
*Study found 48% of professional credit repair clients who stuck with their service for 6+ months saw an average of 100+ points to their credit score. Source.