How to deal with old, possibly unfair collection.

[KoenigDAmeisen]

Hello,

Two collections from about 3-4 years ago have popped up (not in my credit report yet, but the CA (PSEG) has contacted me about both) from the same company. At the time I had actually first been told I owed these (back then) I disputed them. Unsurprisingly, the company found in favor of itself. They basically told me that I owed about $2,000 in electric and gas bills for about 6 months of service in a relatively small apartment.

I basically ignored it since I didn't consider it fair, but was unemployed and felt I had no recourse as I couldn't afford a lawyer or anything of that nature.

Now, today, they want the money (else they will report it). I am trying to get a house soon, and obviously this popping up on my CR will really hurt. So, what are my options? I can obviously pay the CA or the OC (they will both accept the money, the CA has been far friendlier and more helpful to deal with, surprisingly), but I still don't believe I actually owe this money. I feel like they're trying to extort me. I'd file a complaint with that state's utility board, but I worry they would retaliate by filing them on my CR immediately.

[KoenigDAmeisen]

I requested an itemized bill for the larger of the two bills ($1,800). However, given that I disputed it in the past and they found in favor of themselves, I'm not sure what I'm hoping to accomplish.

[RobertEG]

Assertins that the debt is not actually yours will usually require intervention of a third party with authority to compel both parties to produce all supporting evidence, and with the authority to rule on that evidence.

That party, obviously, is the court.  You can bring your own action in small claims court and obtain a finding that the debt is not only unfair, but not legitimate.

[willwar14]

Do you actually know where the services were? Did you live there? Did you ask them to send you proof?..

[KoenigDAmeisen]

I don't doubt that the debt is mine/that I owe them money. The amount they're asking for simply doesn't make sense, though. It didn't make sense when they originally demaded it, either.

If I were to pay the debts, and then later bring it to small claims court, could they retaliate by hitting my credit report?

"Do you actually know where the services were? Did you live there? Did you ask them to send you proof?.."

I know that both of the debts are for addresses I lived at while I was there. I know that I owed them money. The amounts they wanted then and now simple don't make sense, though, which is why I had disputed them at the time. Think $2,200 for 6 or 7 months of electric and gas, when my average bill was about $140.

[willwar14]

They could. I would ask them to send statements so you can make sure you actually owe the debt for your personal records, then see whats up! My bet its just ridic interest and fee charges!

[KoenigDAmeisen]

That's how much they wanted at the time, as well!

I'm wondering if they're trying to charge me for the previous tenant, or if they failed to do a meter read and I'm getting charged previous tenant's usage.

[KoenigDAmeisen]

A question - when I spoke to the CA (Convergent), they told me that they don't report negatives to the credit bureaus and that only their creditor can in this case. Are they being honest in that regard? That seems unusual.

I've confirmed with the OC that Convergent does control the debts. OC has been very unclear with me as to whether they own the debt and have contracted the CA to collect, or whether the CA owns it. OC did notify me that they have not yet reported it.