 TITLE: What Is a Collection Agency? CONTENT: How Do Collections Affect Your Credit Scores and Reports?\n---------------------------------------------------------\nHaving an account in collections has a significant negative impact on your credit, and it will stay on your report for seven years.\nBut it's likely your credit scores began to suffer before the collection agency ever got involved. Late and missed payments both factor into determining your credit score, and by the time your account goes into collections, they could have already been reported to the three major credit bureaus (Experian, TransUnion and Equifax).\nCheck your credit report and score as soon as you are contacted by a collection agency. You'll be able to see whether the information has been reported and what impact it may be having. If your original creditor does not routinely report information to credit bureaus—for instance, if you owe your doctor's office or landlord—they may not have reported that your account is in collections yet. In this case, you may have an opportunity to resolve the debt before a report is made. However, if you owe money to a credit card company, bank or other lender, late payments and collections have probably already been noted. Also be aware that if your account has been sold to collections, that debt can be reported as a separate account on your credit report.\nIf you believe any information reported is inaccurate, you can file a dispute with the credit bureau on whose credit report the information appears. Since collections have an impact on your credit report and score, it's worth correcting any errors you find. END