I've pulled my "free" credit report from all three bureaus. I recently received a phone call from a creditor from Capital One, stating that I owe x amount of dollars. The last report of activity was 9/99. I guess my question to you would be, if I pay the amount (or make payments) hypothetically today, would my credit report show, that the last date of activity is today? And therefore start the 7

Read More Here

Collections stay on your reports for up to 7 years after the DOFD (date of first default). DOFD is usually when the account is 180 days past due and becomes a charge-off. In reality the "bad account" might report for a total of 7.5 years.

There are two things to distinguish here, one is legal SOL (statue of limitations) and reporting SOL (how long it reports). There is nothing Cap1 or any collection agency can leaglly do to change the reporting SOL. As for the legal SOL, making payments can reset the SOL. Before you do anything make sure you know your state's SOL. I suspect you might be out from under the SOL and if this is the case, it's unlikely Cap1 will have a successful juudgment against you. Your defense in court would be simple, "your honor this collection is past the SOL." Also, just because a collection is past legal SOL doesn't mean the debt disappears, in fact, Cap1 or any collector can harrass you for ever until it's paid but sueing, no. Here's some links to check your states SOL. Let us know.

Statute of limitations on debt collection

Statutes of limitation for delinquent debt (Page 2 of 2)