topic Double Collections in General Credit Topics

Double Collections

Anonymous — Fri, 01 Jun 2007 18:27:22 GMT

I have a utility bill that went to collections. Apparently, the utility company sold my account to TWO separate collection agencies.

I don't mind paying the bill, and settling the debt. However, I don't want to pay one, and still have a second one to have to pay off.

Was it legal for a company to sell the same account to TWO different collection agencies?

Any idea on what govt. agency to contact to find out what I can do about this problem?

Thank you in advance.

Re: Double Collections

Anonymous — Fri, 01 Jun 2007 18:33:23 GMT

First, I would contact both collection agencies and see if they have the same original account # of the original creditor. Make sure they are the same account and not two different ones. Then..........

I would pay one but not without demanding a letter stating that the debt was paid along with most importantly the collection agencies account number AND the original creditors account number. Then submit that letter to the second collection agency and demand a letter from them also that it has been paid along with their account #'s also. Sounds a little agonizing I'm sure, but you want to make sure you cover all your tracks and keep those letters.

Hope this makes sense. Does anyone else agree or disagree?

Re: Double Collections

Anonymous — Fri, 01 Jun 2007 18:34:24 GMT

Oh, and sometimes the first collection agency they send it to will only keep it a short time and then sell it themselves as well.

Re: Double Collections

Anonymous — Fri, 01 Jun 2007 18:40:12 GMT

Good advice, and thanks for the quick response!

I'm 100% sure it is for the same account. It's possible that one collection agency sold it to another HOWEVER, BOTH are in active collections.

I am reviewing the collection information on the FTC website

If the collection agency sold the account to another, and kept the account for themselves also, then they have violated the law by trying trying to collect MORE than what is owed.

http://www.ftc.gov/bcp/conline/edcams/credit/coninfo_reports.htm

Just an FYI: I got this bill because I helped my youngest brother out by getting his utilities turned on in my name. (sigh) He didn't pay the bill for 3 months, and I had thought he moved the utilities over into his name.

Re: Double Collections

Anonymous — Fri, 01 Jun 2007 19:56:52 GMT

Here's the story of where the advice comes from:

My husband moved to Colorado without paying his last phone bill and became aware of it when he moved back and tried to reconnect services. He paid the phone bill directly to the phone company and they sent him a letter stating that it had been paid.

The thing is, it is still on his credit report because the account number submitted to the Credit Reporting Agencies is different from that on the letter he received from the phone company and they refuse to take it off even though the amount and date of service is exactly the same. In other words, the Credit report shows the account number the collection agency assigned and the letter shows the account # the phone company assigned.

Make sure all letters you demand have all account #'s relating to that bill on them incase you have a problem with the Credit reporting agency down the line.