What is TrueAccord & How Does It Impact My Credit? (Do This)

Andrew Reyes
credit score and women holding credit card in her hand
Reading Time: 4 minutes

If you forget to pay a bill or have debt you cannot afford, you will begin to receive calls from collectors. Sometimes, the original lender will refer your late account to a collection agency such as TrueAccord. This type of business specializes in taking legal action to collect the outstanding debt from consumers.

What Is TrueAccord?

TrueAccord on an online credit report

TrueAccord is a debt collection company that operates in all 50 states, primarily online. The agency was founded in 2013 and is based in San Francisco, California. The company’s CEO said he decided to start TrueAccord when he received hundreds of creditor calls over a small credit card balance.

This company collects debts with high-tech methods that emphasize artificial intelligence and machine learning. If your lender sells your account to TrueAccord, you may receive phone calls to collect your debt as well as emails or text messages.

Is TrueAccord a Legit Company?

TrueAccord is a legitimate collections company. They have accreditation from and an A+ rating with the Better Business Bureau. As of press time, they have collected debt from more than 13 million Americans.

This company is registered with Receivables Management Association International, a nonprofit organization for collection agencies and similar businesses that requires its members to adhere to an established code of ethics. 

Who Does TrueAccord Collect For?

TrueAccord collects for businesses in these industries:

  • Utilities
  • Health care
  • Real estate
  • Technology
  • Telecommunications
  • Insurance
  • Banking and financial services

If you do not pay as agreed for products and services in these areas, the lender or company can hire TrueAccord to attempt to collect on your debt.

TrueAccord Reviews

TrueAccord has earned customer ratings of 4.7 out of 5 stars on Google and 4.44 out of 5 from the Better Business Bureau. However, the company also has more than 85 complaints from dissatisfied customers reported by the BBB.

Does TrueAccord Report Credit?

TrueAccord does not directly report your collections to account to the three major credit bureaus (Equifax, Experian, and TransUnion). However, the original lender who referred your account to TrueAccord may report this action, which results in a drop in your credit score and a negative mark that can last up to seven years.

How to Remove TrueAccord From Credit Report

If a creditor hires TrueAccord to collect your debt, it can result in a negative mark on your credit report. However, you can take steps to remove this negative information. 

You can challenge incorrect collections information by filing a dispute with the credit bureau. You can also reach out to TrueAccord and offer to settle the past-due debt in exchange for the removal of the collection from your credit report.

TrueAccord Collections

TrueAccord has two main debt collection programs. Retain focuses on early-stage collections. You may receive a call or contact from this program if you have recent unpaid debts. 

TrueAccord Recover focuses on late-state collections for debts that have gone unpaid for longer than six months.

Customers of TrueAccord may use “white-labeled” collection programs. That means while TrueAccord agents reach out to you to collect your debt, all communications appear to come from the original bank or lender.

Will TrueAccord Sue Me?

TrueAccord can file a lawsuit and attempt to collect your debt. If they obtain this type of legal judgment, they can garnish your wages, or take money out of your paycheck, to repay the past-due amount. In most states, creditors only have three to six years to sue you for unpaid debt.

If TrueAccord does sue you to collect the debt, they have to prove in court that the debt belongs to you. You have the right to defend yourself in court; for example, you may argue that you did not incur the debt in question.

If you lose the lawsuit, the court will issue a legal judgment. This document gives the collection agency the right to take money out of your pay and/or your bank accounts. They can also place a lien on your property.

For example, if you own a home, a lien will prevent you from refinancing or selling the property without repaying your creditor.

How Can TrueAccord Contact Me?

Debt collectors like TrueAccord can reach out to you through mail, email, text message, or phone call. The Fair Debt Collection Practices Act protects you from harassing contact from debt collectors, however. For example, they cannot call you before 8 a.m. or after 9 p.m., and they cannot contact you at work unless you give them permission to do so.

If you want TrueAccord to stop contacting you completely, you can make this request in writing.

What Should I Do if TrueAccord Contacts Me?

Receiving a debt collection notice can be scary, but ignoring the problem won’t make it go away. The sooner you take steps to address the debt, the less it will impact your credit score and financial future.

If you receive a message from a debt collector that is not in writing, ask for a full written account of the debt in question. This document is called a debt validation letter. Federal law requires the agency to provide this information within five business days, including the name of the original creditor, the amount of the past-due debt, and how you can dispute the debt in question.

Can I Negotiate with TrueAccord?

If the debt is legitimate, you do not necessarily have to repay the full amount. TrueAccord may be willing to negotiate and accept a portion of your debt as settlement. It could be either a payment plan or a lump sum depending on your available finances.

In this case, ask for a “pay for delete” agreement. This means that the company agrees to request deletion of the collection from your credit report in exchange for the settlement amount.

If you do not think that the debt belongs to you, follow the company’s instructions to dispute the debt in writing. Document all contact you have with the debt collector during this process. If you need help, you may want to consult an attorney or nonprofit credit counseling service.  

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