Posted on: 26th Apr, 2007 03:06 pm
I check my credit report & few days back received a e-mail alert about some change that has occurred. My landline was disconnected after I wasn't able to pay the bills. Balance left on it was something like $230. After all of it has happened, & I got a job, one collection agency sent a letter that I owed them this balance of $230 as it was turned to them. In reply I sent a letter that I am going to pay the creditor directly and do not want to have any further communication from their part. They did stop. From that time I have been making monthly payments to phone company directly but to my surprise this collection agency shows up on my credit report for that debt. my question is as I am paying the creditor now can the collection agency report this debt to bureau.. magnuson
Hi Magnuson,
Welcome to Mortgagefit forum.
The phone company who is the original creditor and the collection agency do not have legal rights to collect on the same account from you. You should call this phone company to know if the account was taken back from collection agency.
If they do confirm it then ask for a letter stating the same. After you get the letter from the creditor, inform the collection agency about the phone companies confirmation that they do not have the account with them so they should not report it to the bureau. Also send the letter you received from the phone company that confirms what you are stating.
Colin
Welcome to Mortgagefit forum.
The phone company who is the original creditor and the collection agency do not have legal rights to collect on the same account from you. You should call this phone company to know if the account was taken back from collection agency.
If they do confirm it then ask for a letter stating the same. After you get the letter from the creditor, inform the collection agency about the phone companies confirmation that they do not have the account with them so they should not report it to the bureau. Also send the letter you received from the phone company that confirms what you are stating.
Colin
If your account is sent to CA then it means that CA is been asked to service that account. The original creditor can accept all the payments while servicing is given to the collection agency. In such situation the phone company is required to report the payments you are making to them to this collection agency and update the balance left on the account. But as the servicing is given to the collection agency, they can contact you and also report the account to credit bureaus.