Paragon Contracting Services is a debt collector that will report a collection account on our credit report. However, it is common to wonder what happens if Paragon Contracting Services appears on my Credit Report, so it will be imperative to learn more about it.
This will mean that they purchased the debt from the original creditor and paid pennies on the dollar, sometimes at a ratio of 1/10 of the original cost. In other cases, it may be likely that another company does not own the debt but is paid receivable.
They will always likely contact us by mail or phone to demand payment. A collection account will also appear on our credit report, hurting our score and reducing our chances of approval for a loan.
Does Paragon Contracting Services hurt our credit score?
Paragon Contracting Services is a debt collection agency that purchases debts from various creditors. These creditors have given up trying to collect the amount themselves, so they hire these types of companies to handle the collections.
This derogatory mark will be applied to our credit score and can seriously affect our credit life. This is because it is a collection account we will have to pay.
Removing these accounts from our error report may be possible, especially if any information is incorrect, in error, or fraudulent. It is quite common for up to 79% of credit reports to have errors or serious errors, so we should always look for any such accounts for our clients.
Is it necessary to pay to remove a mark from our credit history?
We should consider that once we pay our debts, the ideal would be to have the record removed from our report, but this is not how it works. By paying the debt to the collection agencies, the only thing we will achieve is to change the status of the report from “unpaid” to “paid.”
In these cases, we must remember that they will appear on our report for seven years from the date of the first delinquency. This will mean that our credit will continue to be affected, so other agencies will allow the removal of these types of marks on our history.
Can they continue to call if we don’t make payment?
Once Paragon Contracting Services receives the debt, they will continue calling and attempting to collect it. Even when we pay our debts, they may continue to call us to collect.
However, if we have already paid, we can ignore these calls and speak with a company that will allow us to help eliminate this type of report. Keep in mind that even when payment is made, the company can still try to collect, so we can get a lot of versatility.
Can Paragon Contracting Services garnish wages?
It is very uncommon for this company to resort to making a demand to make any collection. In addition, state and federal laws have limits and exemptions that apply to bank and wage garnishments.
However, we should pay our debt as soon as possible to avoid inconvenience. This company will not accept goodwill letters to eliminate the collection or cancellation.
How to remove this report from our credit report?
According to the FDPCA and FCRA, we will have the right to dispute any collections at these agencies as long as we have a good reason. In case of errors in these types of charges, we will have to follow these steps:
- We may request a validation of the charges by sending a letter requesting more information regarding the report. Commonly, the information is inaccurate, and we can get great practicality in these cases.
- We can write a letter to the credit bureau if we have a good reason to believe that the report is invalid or inaccurate. In these cases, an investigation will be conducted, and they will establish if our claim is correct, and it will have to be removed from the report.
- If our debit is correct, we can negotiate to have it removed from our credit report.
How to dispute our credit report?
Most collection agencies are notorious for slow response times. Paragon Contracting Services is no exception and can take a long time to respond to our requests. However, it is necessary to resolve these issues on time so that it does not affect our credit history.
If the agency does not give us an answer after 30 days, we can take legal action by filing a lawsuit against them. However, this will involve a tedious, time-consuming process, but in most cases, it will be the best option.