Comments on: How I Handle Collection Agencies and How You Can Avoid them in the Future http://www.frugalconfessions.com/ridiculous-cost/how-i-handle-collection-agencies-and-how-you-can-avoid-them-in-the-future.php Living in Frugal Decadence Tue, 07 Sep 2010 14:29:44 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Frugal Confessions http://www.frugalconfessions.com/ridiculous-cost/how-i-handle-collection-agencies-and-how-you-can-avoid-them-in-the-future.php/comment-page-1#comment-1066 Frugal Confessions Thu, 24 Jun 2010 12:09:35 +0000 http://www.frugalconfessions.com/?p=276#comment-1066 [...] How I Handle Collection Agencies and How You Can Avoid them in the Future [...] [...] How I Handle Collection Agencies and How You Can Avoid them in the Future [...]

]]> By: Amanda http://www.frugalconfessions.com/ridiculous-cost/how-i-handle-collection-agencies-and-how-you-can-avoid-them-in-the-future.php/comment-page-1#comment-291 Amanda Mon, 23 Nov 2009 21:33:28 +0000 http://www.frugalconfessions.com/?p=276#comment-291 Wow--thank you all for sharing your stories! I feel better all ready:). Wow–thank you all for sharing your stories! I feel better all ready:).

]]> By: CentralNC http://www.frugalconfessions.com/ridiculous-cost/how-i-handle-collection-agencies-and-how-you-can-avoid-them-in-the-future.php/comment-page-1#comment-290 CentralNC Mon, 23 Nov 2009 16:59:46 +0000 http://www.frugalconfessions.com/?p=276#comment-290 Great advice. As most financially savvy people learn over time, good recordkeeping will save you from this and many other predicaments. I had a unpleasant experience with a collection agency recently. Without warning, they submitted a derogatory entry to credit bureaus that caused a 90-point drop on the credit score. They were trying to collect on a bogus debt with a music club dating back over 8 years. How do you prove that you never ordered nor received a bunch of CD's from a music club? The only thing that worked involved a lengthy and time-consuming process: * Report collection agency to BBB. * File comlaint with Attorney General. * File complaint with Assoc of Collection Agencies. * File a dispute with credit bureau. Only then they stopped collecting and removed the derogatory entry from the credit report. Unfortunately, I must've spent 10+ hrs over 2 months that I'll never get back. Great advice. As most financially savvy people learn over time, good recordkeeping will save you from this and many other predicaments.

I had a unpleasant experience with a collection agency recently. Without warning, they submitted a derogatory entry to credit bureaus that caused a 90-point drop on the credit score.

They were trying to collect on a bogus debt with a music club dating back over 8 years.

How do you prove that you never ordered nor received a bunch of CD’s from a music club?

The only thing that worked involved a lengthy and time-consuming process:

* Report collection agency to BBB.
* File comlaint with Attorney General.
* File complaint with Assoc of Collection Agencies.
* File a dispute with credit bureau.

Only then they stopped collecting and removed the derogatory entry from the credit report. Unfortunately, I must’ve spent 10+ hrs over 2 months that I’ll never get back.

]]> By: BluSky http://www.frugalconfessions.com/ridiculous-cost/how-i-handle-collection-agencies-and-how-you-can-avoid-them-in-the-future.php/comment-page-1#comment-289 BluSky Mon, 23 Nov 2009 16:42:39 +0000 http://www.frugalconfessions.com/?p=276#comment-289 I had to break a contract with Bally's gym once. I was diagnosed with something and had to immediately relocate somewhere Bally's did not have a location. I went to the gym and explained my situation, showed them the clause in the contract that gave me an out and they said screw you, you didn't give 30 days notice. As if I had some kind of choice in the matter. Nearly 20 years later, I still hear ocassionally from one collection agency or another about that. I had to break a contract with Bally’s gym once. I was diagnosed with something and had to immediately relocate somewhere Bally’s did not have a location. I went to the gym and explained my situation, showed them the clause in the contract that gave me an out and they said screw you, you didn’t give 30 days notice. As if I had some kind of choice in the matter. Nearly 20 years later, I still hear ocassionally from one collection agency or another about that.

]]> By: Crystal http://www.frugalconfessions.com/ridiculous-cost/how-i-handle-collection-agencies-and-how-you-can-avoid-them-in-the-future.php/comment-page-1#comment-288 Crystal Mon, 23 Nov 2009 15:22:10 +0000 http://www.frugalconfessions.com/?p=276#comment-288 Good luck! I hope you'll have great news when we see an update. :-) Good records and printable bank statements/credit card statements have always helped us clear up any issues we've had in the past with misinformation. Good luck! I hope you’ll have great news when we see an update. :-)

Good records and printable bank statements/credit card statements have always helped us clear up any issues we’ve had in the past with misinformation.

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