If Sunrise Credit Services has shown up on your credit report, it’s not a good sign. Sunrise Credit is a debt collection agency that can definitely negatively affect your credit score if not dealt with properly.
Late payments and collection accounts make up 35% of your score. So when a company like Sunrise Credit reports your unpaid account, it can easily reduce your score by 100+ points. Dealing with collection agencies is not fun because some of them can be aggressive and relentless.
However, it’s important to realize that you shouldn’t give up on fixing your credit if you see Sunrise Credit Services on your report or start getting calls from them. Here’s what you need to know when dealing with this company and how to remove them from your report.
What Is Sunrise Credit Services?
Sunrise Credit Services is an accounts receivable and collections agency that has been around since 1975. They are currently headquartered in Farmingdale, NY and their sister companies include NetTel USA and Sunrise Capital Management.
Sunrise Credit Services typically provides 3rd-party collection services for retailers, banks, and other industries. The company has been accredited with the Better Business Bureau since 2012 and have a A+ rating.
However, they only have one star in terms of customer satisfaction and over 150 customer complaints. Some of the complaints involve people’s experience with bad customer service or not enough information regarding their debt accounts.
Like most other collection agencies, Sunrise Credit Services is quick to report your account to the credit bureau and try to collect your debt without taking the time to understand and respect your rights as a consumer. If you want to know how to get rid of them and restore your credit, here’s what you need to know.
Stopping The Calls And Knowing Your Rights
📰 New Federal debt collection regulations will take effect on Nov. 29, 2021. The new rules will have a far-reaching impact on the debt collection industry. If you have delinquent debts or accounts in collection these rules will affect you.
Learn more about Regulation F and what will it mean for consumers with debts.
Receiving calls from a collection agency can become a serious disruption during your day. To stop calls from Sunrise Credit services, it’s important to become aware of your rights as a consumer and exercise them.
The Fair Debt Collections Practices Act was put in place by the FTC to regulate debt collection companies and protect consumers from harassment. The FDCPA limits when and how a debt collector can contact you. Certain rules and guidelines they must follow include:
- Not calling you before the hours of 8 am and after 9 pm each day in your time zone
- Not threatening you or lying to you about your debt
- Not calling your employer in an attempt to collect debt
- Not calling you at all if you request in writing that you’d rather communicate by mail or email
It’s important to understand the Fair Debt Collections Practices Act and keep these regulations in your back pocket in the event that Sunrise Credit Services chooses not to follow them.
Don’t allow a debt collector to scare you into agreeing to something you don’t understand or believing that if you pay them they will stop calling and remove the account from your credit report.
Knowing your rights and stopping the harassing phone calls is the first step. From there you’ll have to work with Sunrise Credit Services to validate and settle your debt and hopefully get it removed from your credit report.
Validating Your Debt With Sunrise Credit Services
Whenever a debt collection agency contacts you about a debt, the first thing you should do is ask for the account to be validated. People make mistakes all the time and your recent collections account may be something as simple as a clerical error or as big as an identity theft scandal.
You wouldn’t just give money to a random person on the street who said you owed them. Therefore, don’t just fork over your credit card number if you get a call from Sunrise Credit Services. Prompt them to do their due diligence by sending a debt validation letter.
In this letter, request that they provide you with proof verifying that you owed the original debt and that Sunrise Credit Services now owns it and has a right to collect the balance.
You’ll want to make sure they include information like your account number(s), original creditors, and the original balance amount.
Typically, collection agencies are allowed 30 days to respond once you send a debt validation letter. If they can’t validate the debt, they must remove it from your credit report.
You can also file a dispute with all 3 credit bureaus. Be sure to file a separate dispute with each one since Experian, Equifax, and TransUnion all operate independently of each other.
Negotiate A Pay For Delete Agreement
If Sunrise Credit Services is able to validate the debt and it’s yours, your next step should be to settle the debt and work out a pay for delete agreement. Realize that simply paying off the balance likely won’t help your credit. A debt collector may just mark the account as paid the negative mark will still be on your report.
Your best option is to get the negative mark removed completely. You may be wondering, can Sunrise Credit Services actually do this? Some collection agencies will say they don’t negotiate pay for delete agreements but this may not always be the case. Their job is to collect a payment from you so negotiating is key in this business.
With a pay for delete agreement, the debt collector would agree to remove the negative account from your credit report when you pay the settled amount in full. With this scenario, both parties get what they want. You’ll want to try to get Sunrise Credit Services to agree to a pay for delete agreement in writing. Here are some sample pay for delete letters you can try using.
If you don’t want to negotiate a pay for delete agreement on your own, consider working with a credit repair company that can do it for you. Credit repair companies have experience negotiating with debt collection agencies and advocating for your consumer rights.
Companies like Lexington Law have been able to successfully remove accounts from people’s credit report. This can easily result in a credit score boost ranging anywhere from 50 to 150 points.
So yes, working out a pay for delete agreement to settle your collections account is well worth it, even if you have to hire an expert.
Move On From Sunrise Credit And Rebuild Your Score
Having an account in collections can really negatively impact your score but don’t lose hope once you’ve received that dreaded letter or phone call. Know your rights as a consumer and realize that companies like Sunrise Credit Services may be more than willing to negotiate.
While simply paying off the balance may not help fix your credit, working with a credit repair company to actually get the negative mark removed can do wonders to help your score. From there, it’s just a case of taking the necessary steps to start building positive credit history and using your credit cards and loans wisely.