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cam
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Registered: ‎06-10-2007
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Employer and Fico score

I recently left my employer to go back to school.
 
They are saying that I was overpaid by $3500, which I don't understand since I was getting paychecks up until the day I left.
 
Anyhow my question is this, If I chose not to pay the amount back to them, could they legally place that information on my credit report and thus affect my fico score.  (My thinking is that I never agreed to any terms, payment plans, or signed any contract for service and therefore they wouldn't be allowed as a creditor and couldn't be placed on there.  what do you think or know about this?
 
Thanks,
Craig
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Registered: ‎03-25-2007
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Re: Employer and Fico score

I am not an expert, but if they think they have a valid legal case, they could just pass it on to a collection agancy and that will go on your report.
 
Or they could seek a judgement in court.
 
Have you asked WHY they think you owe them the money?
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Re: Employer and Fico score

[ Edited ]
Depends on how long it has been too. If past a period of time (ask a lawyer) they can not hold you responsible to pay it back. And before you do anything, you need to check all your records to make sure they are not wrong. Maybe they did not over pay you.

Message Edited by ilovepizza on 06-10-2007 06:11 PM
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Registered: ‎03-11-2007
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Re: Employer and Fico score



cam wrote:
I recently left my employer to go back to school.
 
They are saying that I was overpaid by $3500, which I don't understand since I was getting paychecks up until the day I left.
 
Anyhow my question is this, If I chose not to pay the amount back to them, could they legally place that information on my credit report and thus affect my fico score.  (My thinking is that I never agreed to any terms, payment plans, or signed any contract for service and therefore they wouldn't be allowed as a creditor and couldn't be placed on there.  what do you think or know about this?


If you owed the money, it appears they could turn it over to a CA, seek a judgment against you in court, et al. However, the laws vary wildly from state to state. Even if the money were owed, the conditions of the debt might preclude the employer from suing and collecting.
 
For example, if the money owed were because your employer claims you took vacation in advance of earning it for the year, and there's no written agreement in place, then applicable federal law (I'm given to understand) places any claim by the employer VERY much in doubt. That's why most companies who will advance vacation days do have a written agreement on file.
 
Are you still in the same state? Does the employer have an office in your state? I ask because they'd have to sue either in your home state or the state where you resided when you worked for them.
 
For what are they claiming you owe them $3500?
Established Contributor
Posts: 720
Registered: ‎05-04-2007
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Re: Employer and Fico score

[ Edited ]
Just speculating until the OP posts again ...

In some cases, companies require a minimum employment period in order to offset the cost of formally training the employee. If the employee voluntarily leaves the job prior to the end of that minimum employment period, the employee is obligated to repay part or all of the training expense. Designed to keep employees from finishing the training and immediately leaving to work elsewhere in the same field. Could be where the $3500 came from (although it doesn't fit the "overpaid" description) ...

Message Edited by Revike on 06-11-2007 02:46 PM
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Registered: ‎04-17-2007
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Re: Employer and Fico score

Yeah, i believe some financial firms do that. If they sponsor you to get some sort of license or whatever, they require you to work with them for a certain period of time.
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