Collection call- 8 year old 'debt'

[shelbean91]

I just got a collection call from a company who says I owe almost $400 for an ADT (home security) service that I signed up for back in 99. I told them I don't owe that debt. It's SO old and i haven't had the service since then- this is the FIRST I've heard of it since I cancelled the service.

I recently read something on msn money how companies are purchasing old 'debt' for basically nothing and trying to collect on it. I don't remember the details of this account, don't have any records of payment, etc. Statute of limitations on debt in AZ is 6 years anyway, so there's really nothing they can do.

They gave me the # to call ADT directly and 'verify' the debt. I don't think I'm going to do this, but I'm certainly not acknowledging it as I don't think I owe it.

Should I call the collection company back and let them know they're in violation of the Fair Debt Collections Act by even threatening to put it on my credit report or just let it go unless they call me again? Should I report them for violating the Act? I asked how long they've had this 'debt' and he told me *8* days. They can't sue me after the statue runs out. They can't 're-age' the account.

The article I read said they pull old accounts and try to recollect on them, based on how likely someone is to pay as to not ruin their credit. Our credit is just now getting to be really good after years of NOT good and I think I've got a great target on me b/c of that. I know I can dispute w/the credit bureaus and if they do sue, I can go to court and show it's past statue, but I dont' want to deal with this.

Blech.

[Leta]

I'm sorry, but if you care about your credit rating, you are going to HAVE to deal with this.

I went thru it last year, I've been there.

File a dispute with the credit bureaus. Contact ADT, in writing, and tell them that you know they have broken the law by allowing this debt to be purchased for the goal of collection, tell them to call of their dogs, report them to the BBB, and tell them that the next communcation will be from an attorney. Send a copy of this letter to the collection agency, and report them to your state's AG office.

[Benji'sMom]

They are supposed to send you something in writing about the debt within 5 days of calling you (that's the Fair Debt Collection Practices Act). So you should be getting something in the mail from them without having to do anything. If you don't get it, then I'd report it to the state attorney general because that's definitely fishy.

Also the statute of limitations to sue has nothing to do with reporting something to a credit reporting agency. Credit reports have nothing to do with the legal system. That being said, I think there is a 7 year limit for reporting negative credit info (but don't quote me on that, I'm not positive), but that would mean it is too late for them to report it anyway because it's been more than 7 years. If they reported it, it couldn't appear on your credit report (in other words it could not be disclosed to anyone by the credit bureau or whatever), that's the Fair Credit Reporting Act - it puts a limit on how long credit bureaus can disclose the info. But like I said, I THINK the time is up, but I'm not positive. I'm only a little bit familiar with both those Acts.

[shelbean91]

From my research, the time for statue starts from the time the account went delinquent or was charged off. Honestly, I don't believe either happened. From my memory, I had a 1 year contract, paid for it a year and cancelled. This guy said I had a 3 year contract. I have no paperwork from that far back. I also found that *they* have to prove the debt whether or not the debt is valid.

As of now, it's not on the credit report (or at least would show from back in 99-00). If it starts to show as NEW debt, that's when I have to get pissy.

[shelbean91]

I did receive the letter today stating I have the right to ask for validation of debt.

I know statues for sueing have nothing to do with the credit report, but on the phone the guy told me 'it's not on your credit now,but it will be soon'. That would be re-aging the debt, which they can't do. They can't say something I owe from 99 is a new debt in 07, which is effectively what he was saying.

[mightymoo]

Originally Posted by shelbean91

I did receive the letter today stating I have the right to ask for validation of debt.

I know statues for sueing have nothing to do with the credit report, but on the phone the guy told me 'it's not on your credit now,but it will be soon'. That would be re-aging the debt, which they can't do. They can't say something I owe from 99 is a new debt in 07, which is effectively what he was saying.

I think if I were you, I'd look up the laws on recording people in your state. Then, I would would follow the law when they call ask them or inform them that they are are being recorded. I bet that would make them nervous. Oh and I would probably actually record them too.

[Eben'sMama]

It's my understanding, from watching Suze Orman, that if you acknowledge that you owe the debt, or promise to send ANY kind of payment, they can then re-age the debt and buy themselves another 7 years to collect on it. I would insist that they send you whatever documentation they have, but do not "admit" or acknowledge that the debt may be at all valid.

My DH went through this after his divorce from his first marriage, they never sent any proof of the validity of the debt, and it was never reported on his credit. Turned out it was his ex's debt and they were trying to get him to claim responsibility for it since we live in a community property state. :

[homewithtwinsmama]

Want to warn you ADT did this to us. We cancelled service when we moved, I made the call myself while the movers were working. Three years later we find they have been charging us the whole time and have turned us to collections. It was a PITA trying to get it worked out. Took a lot of calls and threats and going back to our paperwork. Finally resolved in our favor, but I think this is not an uncommon ADT tactic.

Originally Posted by shelbean91

I just got a collection call from a company who says I owe almost $400 for an ADT (home security) service that I signed up for back in 99. I told them I don't owe that debt. It's SO old and i haven't had the service since then- this is the FIRST I've heard of it since I cancelled the service.

I recently read something on msn money how companies are purchasing old 'debt' for basically nothing and trying to collect on it. I don't remember the details of this account, don't have any records of payment, etc. Statute of limitations on debt in AZ is 6 years anyway, so there's really nothing they can do.

They gave me the # to call ADT directly and 'verify' the debt. I don't think I'm going to do this, but I'm certainly not acknowledging it as I don't think I owe it.

Should I call the collection company back and let them know they're in violation of the Fair Debt Collections Act by even threatening to put it on my credit report or just let it go unless they call me again? Should I report them for violating the Act? I asked how long they've had this 'debt' and he told me *8* days. They can't sue me after the statue runs out. They can't 're-age' the account.

The article I read said they pull old accounts and try to recollect on them, based on how likely someone is to pay as to not ruin their credit. Our credit is just now getting to be really good after years of NOT good and I think I've got a great target on me b/c of that. I know I can dispute w/the credit bureaus and if they do sue, I can go to court and show it's past statue, but I dont' want to deal with this.

Blech.

[dimibella]

Definitely do not acknowledge the debt, since it has been 8yrs I say have no communication with them what so ever.

[shelbean91]

Originally Posted by homewithtwinsmama

Want to warn you ADT did this to us. We cancelled service when we moved, I made the call myself while the movers were working. Three years later we find they have been charging us the whole time and have turned us to collections. It was a PITA trying to get it worked out. Took a lot of calls and threats and going back to our paperwork. Finally resolved in our favor, but I think this is not an uncommon ADT tactic.

I'm sorry you had to deal with this, but it's nice that I'm not alone. It's just so strange- I haven't heard BOO from them in 8years and now all of a sudden. And, right after I read this article about 'zombie debt' with companies purchasing it for basically nothing.

I will not acknowledge this debt. I don't believe I owe it. I will ask them to send me validation (or maybe not- since it's beyond the statue, I don't think it matters). I have no records from that long back- cancelled checks are only needed to be kept for 7 years, right? I don't even know who I was banking with at that time to try to get copies (or if they even kept copies back then). I will tell them to not contact me again and if they do,they are violating the law, unless they are contacting me to inform me they are taking me to court or to inform me they will no longer be contacting me. I will do this over the phone on Monday (tried to call yesterday, they close at 1pm on Fridays???: ) I will follow up with a certified letter, return receipt. I think that should cover it.

If they do try to sue me, from what I've found, I only need to show up and state it's beyond the statue and it will be dismissed. I just hope it's that simple.

[mthomas]

honestly, I wouldnt even go that far. I'd have your credit report ran, you can have one ran by the credit reporting companies free once a year, or if you've recently had your credit ran and been turned down, you can request one for free. Then you can go online and dispute it. I disputed some OLD accounts that DH had online, and had no problems. They were removed.
If they are legit, then you'll be able to find out that way too lol.

[snv1492]

Once the debt is past the statute of limitations (either 3, 4 or 5 years depending on the state), they are SOL. They can continue to attempt to collect on it forever, but they can not sue and they can not place it back on your credit report unless you do make a payment.

If it shows up on your credit report, contact the reporting agency and tell them it is a 8 year old debt and they will remove it. They remove anything other than bankruptcies and student loans after 7 years.

I wouldn't contact the collection agency or even acknowledge them. If you give them any indication that you want to resolve this debt, they will pester you with letters forever. If you ignore them, they will move on to bigger fish.

[shelbean91]

Well, since they've called and sent a letter, I have no doubt they're going to keep calling until I agree to something (which I ABSOLUTELY won't do) so I need to contact them at least once to tell them to NOT contact me. I don't want to be dealing with collection calls every day. Been there, done that, when I actually DID owe debt some years back.

I do occasionally get calls for someone else with my same name who has lots of debt, but I confirm I'm not her and that's the end.

[snv1492]

Originally Posted by shelbean91

Well, since they've called and sent a letter, I have no doubt they're going to keep calling until I agree to something (which I ABSOLUTELY won't do) so I need to contact them at least once to tell them to NOT contact me. I don't want to be dealing with collection calls every day. Been there, done that, when I actually DID owe debt some years back.

I do occasionally get calls for someone else with my same name who has lots of debt, but I confirm I'm not her and that's the end.

Then just wait for the next time they call and tell them not to contact you by phone anymore.

Nothing will stop the letters though.

[nigellas]

Try a letter like this:
http://www.privacyrights.org/Letters/debt1.htm

[shelbean91]

Great link to letter- THANKS!