Personal Finance

Collections says I owe money

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  • Sep 16th, 2014 11:27 pm
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[OP]
Deal Addict
Jan 28, 2008
1387 posts
55 upvotes

Collections says I owe money

I had a credit card many years ago, which I cancelled in 2011. I messed up my last payment of 68 bucks and paid it one month late, I talked to CC verified the amount etc and they said it was fine. I never really looked at it again.

I have moved cities since than (that was my parents house which they have sold off in 2011 also), but have had same cell number. I assume the CC would have had this cell number because this is what collection agency called me on. The agency says I now owe 928 bucks for this card but won't give me details of how it came to this number or what it encompasses. I also asked why the CC never called me, they said on there notes they have something like 100 msgs left and no return call. Which makes no sense since I didn't get the messages but returned the first VM left from this company.

They said they would try to get all the details of what is included in the bill, but most of it is intrest they assumed.

I will talk to them tomorrow, I am looking back at payment history of the CC and the last payment was made.

What do I do here? Am I SOL? Will I end up having to pay this - how bad is this for my credit? I already have a mortgage. First time dealing with collection and really don't feel I owe anything.
3 replies
Sr. Member
Apr 28, 2014
675 posts
174 upvotes
Oakville, ON
Swarez99 wrote:
Sep 16th, 2014 3:57 pm
I had a credit card many years ago, which I cancelled in 2011. I messed up my last payment of 68 bucks and paid it one month late, I talked to CC verified the amount etc and they said it was fine. I never really looked at it again.

I have moved cities since than (that was my parents house which they have sold off in 2011 also), but have had same cell number. I assume the CC would have had this cell number because this is what collection agency called me on. The agency says I now owe 928 bucks for this card but won't give me details of how it came to this number or what it encompasses. I also asked why the CC never called me, they said on there notes they have something like 100 msgs left and no return call. Which makes no sense since I didn't get the messages but returned the first VM left from this company.

They said they would try to get all the details of what is included in the bill, but most of it is intrest they assumed.

I will talk to them tomorrow, I am looking back at payment history of the CC and the last payment was made.

What do I do here? Am I SOL? Will I end up having to pay this - how bad is this for my credit? I already have a mortgage. First time dealing with collection and really don't feel I owe anything.
Which Financial Institution was the card with?

Have you ordered your own credit report from Equifax or TransUnion recently? The Credit Card you mentioned would be on there. If is it in collections status, then it is very bad for your credit.

I don't know how often, or if, banks do 'soft checks' on your report when you have mortgage business with them - but assuming they do, and they see this credit card in collections and your Beacon score has gone to hell, it may adversely affect you come mortgage renewal time.

If the bank you had the CC with screwed up and sent your account to collections by mistake, then it is important you get it rectified and have the bank send the various corrections off to the credit bureau ASAP.

Equifax and TransUnion also have provisions for consumers to lodge a dispute on an entry on their credit report, or provide an explanatory statement. That could help you out as well.
Member
User avatar
Aug 4, 2014
491 posts
53 upvotes
North of GTA
Swarez99 wrote:
Sep 16th, 2014 3:57 pm
I had a credit card many years ago, which I cancelled in 2011. I messed up my last payment of 68 bucks and paid it one month late, I talked to CC verified the amount etc and they said it was fine. I never really looked at it again.

I have moved cities since than (that was my parents house which they have sold off in 2011 also), but have had same cell number. I assume the CC would have had this cell number because this is what collection agency called me on. The agency says I now owe 928 bucks for this card but won't give me details of how it came to this number or what it encompasses. I also asked why the CC never called me, they said on there notes they have something like 100 msgs left and no return call. Which makes no sense since I didn't get the messages but returned the first VM left from this company.

They said they would try to get all the details of what is included in the bill, but most of it is intrest they assumed.

I will talk to them tomorrow, I am looking back at payment history of the CC and the last payment was made.

What do I do here? Am I SOL? Will I end up having to pay this - how bad is this for my credit? I already have a mortgage. First time dealing with collection and really don't feel I owe anything.
Where are you located? In Ontario, the statute of limitations to take legal action is 2 years and it may be on your credit report for up to 6 years from the last payment date. That is why it is important to get your free Equifax and Transunion credit report which was mentioned by the previous poster.

What collection company is this? Google the phone number. If they are notorious, there will be complaints about them.
Deal Addict
User avatar
Dec 26, 2010
1714 posts
747 upvotes
Calgary
Not sure what you can do about it, but you most likely owed something. Obviously your cell number wasn't on the file... most likely your parents number that probably disappeared after they sold their home. Not trying to rag on you, but it's your responsibility to make sure things are good. Not move, disappear and hope everything is cool. Consider it a lesson.
Indexer, non-yield chasing, low cost, broad based, as simple as possible investor.

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