How does Vector One work?

[nsure2day]

We get emails from different companies about Vectors if that agent is in the database. For instance, Mutual of Omaha will send us an email, even if the debt isn't with them.

Also, if we check Vector on an agent (which we do for all new agents), Vector will alert us if a Vector hit comes.

You can run, but you can't hide.

I have an instance where a debt to a downline agent who has been termed and "Vectored" was transferred to me. At the time of the transfer the original debt was over 5 years old, past the Statute of Limitations in FL. I have disputed the debt on the basis. Is the debt valid even after five years? Thanks.

 

[Todd King]

I have an instance where a debt to a downline agent who has been termed and "Vectored" was transferred to me. At the time of the transfer the original debt was over 5 years old, past the Statute of Limitations in FL. I have disputed the debt on the basis. Is the debt valid even after five years? Thanks.

I'm not sure about FL laws on that, but I think it would still be valid after 5 years, yes.

 

[UKTX]

I have an instance where a debt to a downline agent who has been termed and "Vectored" was transferred to me. At the time of the transfer the original debt was over 5 years old, past the Statute of Limitations in FL. I have disputed the debt on the basis. Is the debt valid even after five years? Thanks.

I would be suprised if the Statue of Limitations has has anything to do with being on Vector.........Vector doesn't report anything and doesn't attempt to collect anything, nor does it go on your personal credit report (which would be subject to the SOL)

Vector is simply a "club" or "membership" where subscribers post information about unpaid/unrecovered debit balances.

The only time I have heard of items being removed from Vector is if it is paid or in very very few circumstances there was/is a carrier error.

Whether you agree to it or not, you will have to pay it, unless you exit the business entirely.

 

[nsure2day]

I would be suprised if the Statue of Limitations has has anything to do with being on Vector.........Vector doesn't report anything and doesn't attempt to collect anything, nor does it go on your personal credit report (which would be subject to the SOL)

Vector is simply a "club" or "membership" where subscribers post information about unpaid/unrecovered debit balances.

The only time I have heard of items being removed from Vector is if it is paid or in very very few circumstances there was/is a carrier error.

Whether you agree to it or not, you will have to pay it, unless you exit the business entirely.

Thanks. The writing agent not me was placed on Vector and the debt transferred to me as the upline. The debt was over 5 years old at the time of the transfer. To me it calls the question as to whether or not the carrier can continue to collect on the debt due to SOL.

 

[scagnt83]

Thanks. The writing agent not me was placed on Vector and the debt transferred to me as the upline. The debt was over 5 years old at the time of the transfer. To me it calls the question as to whether or not the carrier can continue to collect on the debt due to SOL.

Business agreements are different than normal consumer debt, from what I understand.

To my knowledge, states do not have specific rules for insurance agent debts.

 

[Newby]

Thanks. The writing agent not me was placed on Vector and the debt transferred to me as the upline. The debt was over 5 years old at the time of the transfer. To me it calls the question as to whether or not the carrier can continue to collect on the debt due to SOL.

It doesn't matter if they expect to collect. All that matters is you owe the debt and you haven't set up a payment plan with them. They may not be able to sue you. But they won't ever want to do business with you again if you didn't accept your responsibility that you committed to.
Whether the debt was caused by you or your downline makes no difference. If you signed to be responsible for your downline's debt then it's 100% yours.

 

[Jdub911]

We get emails from different companies about Vectors if that agent is in the database. For instance, Mutual of Omaha will send us an email, even if the debt isn't with them.

Also, if we check Vector on an agent (which we do for all new agents), Vector will alert us if a Vector hit comes.

You can run, but you can't hide.

"You can run but you can't hide"
Todd, can you explain to me how an IMO can pay ADVANCE commissions (which is not actual taxable income until paid back by client, but essentially a loan) and then report this on my 1099? I received 80k in advances last year, so far about 50 is paid back with clients still paying. But the insurance companies sent me 1099's that added to about 80k. But then they will report me if it isn't paid back in full?
I guess my question, is how can the insurance companies play both sides of the fence? They treat it as an advance balance from debit perspective, but treat it is legit income from a tax perspective.

this is why IMO's are widely known to be scammy

 

[Todd King]

"You can run but you can't hide"
Todd, can you explain to me how an IMO can pay ADVANCE commissions (which is not actual taxable income until paid back by client, but essentially a loan) and then report this on my 1099? I received 80k in advances last year, so far about 50 is paid back with clients still paying. But the insurance companies sent me 1099's that added to about 80k. But then they will report me if it isn't paid back in full?
I guess my question, is how can the insurance companies play both sides of the fence? They treat it as an advance balance from debit perspective, but treat it is legit income from a tax perspective.

this is why IMO's are widely known to be scammy

I need to understand something here. It sounds like you are captive. Is that the case? I say that because it's usually the insurance company that sends out the 1099s, not the IMO. Are you getting paid by your IMO?