My question involves collection proceedings in the State of: VA
My Girlfriend attended Northern virginia community college from 2005 and graduated in 2007.
In 2008 she had a bankrupcy(Before we met). It didnt clear educational loans. But it showed all of her open debts. This debt was not there. So the years went by, she moved and such. She didnt update her address in NOVA's system... because HELLO she doesnt attend that school anymore.
In 2011, after filing her taxes, she received a warning that there is a tax lien against her. The lien was from NOVA. They claim that she owes them money from 2006. They stated they found this after a system audit in 2010. They tried to contact her, but had she moved.
We wouldnt have a problem paying, but I dont think its fair that she has a collection against her. Why should she have to update her address in NOVA's system after she graduated, and left believing that she didnt have any debts. They didnt know she had a debt for 3.5 years! And now they come knocking?
I have been trying to get the collection off her credit, and we would be willing to pay an owed debt. But they are not trying to work with us. If she is going to have a collection on her credit, I dont see why she should pay. Does she have any recourse?
My Questions are:
A) What are the statue of limitations on this debt?
B) What can the collection agency do about this debt?
C) She already has a bankruptcy in 2008. How much worse can this make her credit?
She had been working on fixing the Credit and hasnt been late on any payments since 2008. This is a pretty big setback though.

