11 Year Old Debt with New Collection Company
My question involves collection proceedings in the State of: NY I signed up for a class and then withdrew 12 hrs after the 100% credit in Aug 1998. I worked at the medical center affiliated with the university and the class was free as a benefit. tried working with the University to have the debt wiped out. It was sent to collection but I didnt pay since I didn't take the class. I last heard from the collector in 2004.
2 months ago my employer rec'd an income verification request from another company trying to collect. I sent them a letter asking for verification of the debt. They sent back the information from the university showing the accounting done by the university. The documents show an entry from 4/5/04 indicating they were willing to have me pay $450 to resolve the debt (original debt was $814 - now up to $1140). No other entry until 5/2010 "return uncollectable/hold for reassignment" - 3 weeks later placed with the new collection company.
My question is this: Since NYS has a 6 yr statute of limitations, wouldn't this bill be uncollectable? The original bill is from 1998!!!!!! And I didn't take the class.
Re: 11 Year Old Debt with New Collection Company
debts don't just go away. The statute of limitations simply means they cannot obtain a judgment through the courts. Your debt is still your debt though until it is paid.
whether you took the class or not is irrelevant. You did not withdraw within the time to not be charged for the class. That means they can charge you.
Re: 11 Year Old Debt with New Collection Company
Mr JK - If I thought I really owed this, I would have paid it in 1999. You do realize that the class was FREE as an employee. So I withdraw with a letter from my supervisor supporting my withdrawal and I owe? The best they could do is adjust off $350 for a class taken by 400 of my best friends. They wouldn't even miss me since there were so many taking the class.
Re: 11 Year Old Debt with New Collection Company
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wallysdtr
Mr JK - If I thought I really owed this, I would have paid it in 1999. You do realize that the class was FREE as an employee. So I withdraw with a letter from my supervisor supporting my withdrawal and I owe? The best they could do is adjust off $350 for a class taken by 400 of my best friends. They wouldn't even miss me since there were so many taking the class.
If it was free as an employee, then why are they charging you. Somewhere along the line you agreed to pay for this class.
How many people were in the class is irrelevant. All that matters is if you agreed to pay for the class and did not cancel within the allowed time period, you do owe the money.
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If I thought I really owed this, I would have paid it in 1999.
from everything you have said so far, it sounds like you need to jump in a time machine and go back to 1999 and pay the bill.
The fact is, the courts will not enforce a judgment if you present a statute of limitation defense should you get sued*. It cannot be reported on your credit report anymore. While the debt is yours, there is really nothing the creditor can do to actually collect the money other than pester you.
* there are some exceptions to the statute of limitations running. Most states have tolling statutes that stop the running of the clock under certain circumstances.
Re: 11 Year Old Debt with New Collection Company
write a letter to the agency ... once they rec. the letter they cannot call you anymore; if they do then you can sue them
Re: 11 Year Old Debt with New Collection Company
JK thanks for your advice about the flashback of 1999. Since you are not an attorney, I will ignore that comment since IMO it appears you are annoyed that I just didn't pay it. Nice. If I owed it, I would but I don't. And about 1999, as a single mom of 3 I really didn't have the cash to pay for something I didn't get.
I will check with a real attorney but glad you are posting non attorney advice.
Re: 11 Year Old Debt with New Collection Company
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wallysdtr
My question involves collection proceedings in the State of: NY I signed up for a class and then withdrew 12 hrs after the 100% credit in Aug 1998. I worked at the medical center affiliated with the university and the class was free as a benefit. tried working with the University to have the debt wiped out. It was sent to collection but I didnt pay since I didn't take the class. I last heard from the collector in 2004.
2 months ago my employer rec'd an income verification request from another company trying to collect. I sent them a letter asking for verification of the debt. They sent back the information from the university showing the accounting done by the university. The documents show an entry from 4/5/04 indicating they were willing to have me pay $450 to resolve the debt (original debt was $814 - now up to $1140). No other entry until 5/2010 "return uncollectable/hold for reassignment" - 3 weeks later placed with the new collection company.
My question is this: Since NYS has a 6 yr statute of limitations, wouldn't this bill be uncollectable? The original bill is from 1998!!!!!! And I didn't take the class.
A few observations.
First, while it's true that the statute of limitations is 6 years, collection agencies make it a habit to hassle debtors on accounts way passed the SOL.
Second, passed the SOL just means they cannot go to court to sue you.
Third, they can garnish your salary, bank accounts if they first have a judgment, and the garnishment is a tool to collect on the judgment.
Fourth, income verification is just a scare tactic, and it is quite possible they may have violated the law if they don't have a judgment first, and thus have no business verifying your income. I'm in NY, I handle the payroll for my employer, and I only confirm if an employee works there, and only if a creditor or his agents first advise me in writing that they have a legitimate business to ask. There is no need to verify income, as once I verify the employee works there, the creditor with a judgment can then go get a "writ of garnishment", and when I receive it, I can tell them if the employee is eligible to be garnished or not, that is, if the base salary is more than 30 times the minimum wage.
Sixth, if a new collection agency took over, it means they bought the debt from another agency, and chances are, that was bought over from another, a whole chain of them. At eleven years, the most they paid is probably "1 cent on the dollar", so if the debt is recorded at $1,100, they probably paid $11.00 for it at the most.
Finally, I was consulting for a financially troubled firm last year, and they got a collection agency after them on a year old debt which they dispute. Right off the bat, the agency offered to knock 50% off.
Also, I was in the credit and collection business for a while, the the hardest debts to collect are not only those that are old, and this is extremely old, but in dispute, as you claim to have cancelled the class and they failed to follow through.
If you don't want to be bothered with them, WRITE them on a one time bases, a letter to say that you disputed the bill, it's passed the SOL, and the only time your would communicate with them is if they take you to court. Furthermore, if they communicate with your employer again without first obtaining a judgement against you, you will take legal action.
On the other hand, if you want to settle with them, you can do so at this point at an amount considerably less than what is outstanding.
Re: 11 Year Old Debt with New Collection Company
Contacting the employer to verify income without a judgment? Definitely FDCPA violation.
Re: 11 Year Old Debt with New Collection Company
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wallysdtr
If I owed it, I would but I don't.
WRONG. By everything you stated, you do owe it. You are just upset because of how it came to be.
I don't care if you pay the bill or not. I don't have bill collectors calling me about the bill. It apparently concerns you so I told you what you can do about it. If you also notice, I included the fact that due to the SoL, about all they can do us dun you or sue you. If they dun you, nothing you can do but to send them cease and desist. If they sue you, I already said what you can do.
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SChinFChin
but in dispute, as you claim to have cancelled the class and they failed to follow through.
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OP stated:
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I signed up for a class and then withdrew 12 hrs after the 100% credit in Aug 1998
I understand that as the OP failed to withdraw during the period which they could and not be charged for the class. That means the bill is legit, at least on that point.
Re: 11 Year Old Debt with New Collection Company
If it is past SOL they cannot collect it.
If it is past the 7 year reporting period they cannot report it either.
It was sold to some crappy collector who will try to scare you into paying it.
Even if you did or do owe it, they cannot touch it based on your information.
You need to send them a letter asking them to provide you proof that you owe it and proof that they either purchases the debt to collect it or have permission from the original creditor.
If it has been passed around for 11 years most likely they cannot provide written proof that you owe it and therefore they cannot collect it and are in violation of the law for doing so.
Did you send them a register cease and desist letter asking them to not contact anyone other then you with this information and it must be done in writing?
If you send it registered and they contact anyone other then you they are again in violation.