How to Report Clients to Credit Bureaus

The three main credit bureaus, TransUnion, Equifax and Experian, handle all consumer data in the United States. Major lenders and credit card companies have contracts with these agencies. Each month, creditors send in updated consumer information on all accounts. The credit bureaus prohibit individuals from submitting trade line requests and updates. However, there's one way to report someone to the credit bureau: a judgment.

Instructions

Judgment

1

Determine how late the account in question is. In general, to file a legal judgment against a credit client, you'll need to document at least 90 days during which no payments were made. Make sure you review the account(s) in question very carefully for missed payments.

2

Hire an attorney to help with the suit. The first step in the process is to sue the borrower. This generates a summons for the debtor to appear in court. If he shows up for court, you'll need to lay out your argument, and convince the judge that the account is, in fact, delinquent and collectible.

3

Make sure the judge files a judgment. This is placed upon the debtor's credit report. Before the judgment is filed on the report, the debtor usually has a window of time to pay the final outstanding sum. If this amount isn't paid on time, the judgment is sent to the bureaus.

Collection

4

Research credit collection companies. Most of these companies service large clients who provide them with a large number of accounts upon which to collect. It's best to begin a search at the National Association of Retail Collection Attorneys (click on the link in the Resource section).

5

Review offers from collection attorneys. Make sure to get at least two to three offers. Be aware that you'll likely not receive the total amount outstanding from a collection firm--collection agencies make money by collecting more than they paid for the debt.

6

Choose a collection attorney, and sell the debt. Sixty days after you sell the account, if the debt is still outstanding, the collection agency places a judgment on the debtor's credit report.