Midland Credit Management: How to Get It Off My Credit Report?

If you suddenly start getting calls from Midland Credit Management (MCM) collecting an overdue debt you owed in the past, it’s most likely that it has been purchased by Midland Funding LLC. It is a debt buyer agency that uses collection calls, letters, emails, and sometimes lawsuits for recovery (if needed). So, if you get contacted by them, here’s what it means and what you can do to get it removed if the debt is not valid.

What Is Midland Funding LLC and Midland Credit Management (MCM)?

Midland Funding, LLC is a major U.S. debt buyer. The company specializes in purchasing debt from a wide range of providers, including banks, credit card companies, personal or auto loan providers, etc. They usually buy old debts for pennies on the dollar from the original creditors, then use Midland Credit Management (MCM), its affiliate collection agency, for collections. MCM may call you or even file a lawsuit to collect the full amount owed.

Who Does Midland Credit Collect for?

Midland Credit Management primarily purchases debt from:

▪ Financial Institutions

Midland Credit buys delinquent (past-due) debt portfolios from a range of financial services providers.

• Large banks like Chase, Capital One, and Synchrony
• Major retailers across the U.S. that offer retail credit cards
• Private lenders

▪ Credit Card Companies

Like many debt collection agencies, Midland Funding LLC also buys overdue credit card debt from credit card service providers. 

▪ Consumer Accounts

They also purchase customer debt portfolios of unpaid phone, electricity, cable, and utility bills from telecom and utility service providers.

▪ Medical Debt

MCM may also obtain medical debts from some hospitals and clinics.

▪ Loan Providers

They also obtain unpaid personal loan accounts, including secured and unsecured personal loans.

• Unsecured personal loan balances: When the debtor defaults on an unsecured loan and the loan becomes 30–90 days overdue, it can be sent to collections or sold to a collection agency. 
• Secured personal loan balances: Midland Funding LLC also acquires any overdue amounts of a secured loan after the original creditor seizes the asset, and some balance remains unpaid.

Why Is Midland Funding LLC Showing on Your Credit Report?

The Midland Collections account shows up on your credit report when MCM Collections reports it to the credit bureaus. So, if you are getting collection calls from Midland Credit, it may show up under the following names on your credit report:

• Midland Funding LLC 
• MCM Collections 
• Midland Credit Management
• Midland Funding of Delaware, LLC (or other branches across the U.S.)

It signifies that the original service provider sold your debt, and Midland Funding can legally collect it from you. For instance, bills such as unpaid utility expenses may not generally appear on a credit report. However, when the overdue account is sent to collections or sold to Midland Credit Management, the entry will appear on your credit report under MCM collection agency’s name. The credit report may also list details like the original creditor and the date from which Midland Funding took over the debt.

How to Remove Midland Credit Management (MCM) on Credit Report

1. Demand Written Debt Validation

When you receive calls or collection letters from Midland Credit Management (MCM), the panic may set in quickly. However, don’t be too hasty to avoid them or pay the debt at once. First, you should send them a letter demanding debt validation to confirm whether it's legit or not. They are obliged to provide proof of debt within 30 days. However, if they failed to do so, you may not be liable to pay them. But if the debt is legit, you may have to pay it off or negotiate with them to settle the debt.

2. Request Your Credit Reports

While you raise a request for debt validation, you should also fetch your credit reports and investigate the details of the collection account. Checking your credit report regularly is a proactive and crucial step.

You can visit AnnualCreditReport.com to get free reports from Experian, Equifax, and TransUnion and spot any errors that may be hurting your credit. For instance, verify the debt amount, original creditor, date of overdue, and your personal information. If any information is incorrect or wrongly reported, you can raise a dispute with the credit bureau to get it removed.

3. Raise a Dispute (if the debt is not valid) 

While Midland Funding LLC may have bought your debt from another provider, it may sometimes have outdated records. So, if an old outstanding balance has been reported by them incorrectly, the loan amount is wrong, or the personal information is incorrect (i.e., the debt doesn’t belong to you), you can raise a dispute with the credit bureaus to get it removed. You can do so by directly logging into each credit bureau’s online portal, by sending a dispute letter and evidence via registered mail, or by using the CoolCredit app. The AI-backed app lets you instantly dispute the debt with all three major credit bureaus using personalized dispute letters, maximizing the chances of success. 

4. Negotiate with Midland Funding (if the debt is valid)

If Midland Funding LLC provides sufficient information for debt validation and there are no errors in your report that you can dispute, you can try negotiating with them. They may agree to set up a monthly payment arrangement so you can pay off the debt at a convenient pace and settle the balance to remove the derogatory mark on your credit report.

5. Pay-for-Delete Arrangement 

If the debt is valid, you can also try to make a deal with MCM Collections to pay a lump sum amount in exchange for them to delete the entry. If the debt is pretty old, they are more likely to agree. However, it may not be removed from your report immediately, but they can update the status to “paid.” The deletion may be reflected in the next two months or more, as they may request deletion during the next reporting cycle.

6. Seek Legal Help

If you get sued by MCM Collections, it's best not to ignore it and consult with a qualified lawyer. The lawyer can help you challenge the documentation, fight the claim (to request proof of debt), and negotiate a settlement if the debt appears to be valid.

Conclusion

If MCM reaches out to collect an old debt from you, ignoring it can be a mistake. You should always respond by asking for debt validation proof before getting into any payment arrangement. When you receive sufficient proof of debt, you can try to negotiate a monthly payment plan for repayment, make a partial payment, or make a full settlement with a lump-sum payment. However, if the debt is not validated by them, or the account information is incorrect, in that case, you can raise a dispute with the credit bureaus to get it removed. 

Apps such as CoolCredit can help by making it much easier to challenge the claim with its pre-made, personalized dispute letters. The AI-backed app analyzes all the negative items that may be hurting your credit. It also provides actionable strategies and features that can help strengthen and repair your credit.

FAQs

Q: Is Midland Credit Management Legit?

A: Yes. Midland Credit Management is a legitimate company that buys and services overdue debts. However, they are known for using aggressive collection tactics, including suing to collect debts. 

Q: Should I Pay Midland Credit Management?

A: You should wait until you receive debt validation from Midland Credit before making any payments, as sometimes it could be an attempt by scammers to defraud you. If the debt is legitimate, you can try to work out a monthly payment plan or negotiate a lump sum payment.

Q: What Happens If I Ignore Midland LLC?

A: If you ignore the collection letters from Midland Credit Management, they may escalate collection efforts and even sue you to collect the overdue amount. If a lawsuit is filed and you don’t show up, it can lead to a default judgment, which may allow them the legal upper hand to garnish your wages or levy your bank accounts. This can also make it difficult to get approved for new credit lines.  

Q: How Do I Get Rid of Midland Credit Management LLC?

A: If you receive a collection letter from Midland Credit Management (MCM), start by asking for a debt validation in writing. If they lack sufficient evidence to prove the debt belongs to you, you won’t be obligated to pay. However, if the debt is legit, you can pay off the debt or negotiate a pay-for-delete with them.

Q: How to Dispute Midland Funding LLC on Credit Report?

A: If the debt is not valid, you can file a dispute with the three different credit bureaus—Experian, Equifax, and TransUnion—online, via certified mail, or using the CoolCredit app.

Q: What to Do If You Get Sued by a Midland Credit Management Lawsuit?

A: Midland Credit Management (MCM) may sometimes file a lawsuit against you for a purchased debt/charged-off debt. This means they may have some documentation related to it, and if you don’t show up for the hearing, it will be automatically ruled in their favor. Therefore, you must not ignore it and find a lawyer to appeal your case. If MCM has insufficient documentation to prove the debt, or they filed the debt after the statute of limitations already expired, the court may rule in your favor.