topic Re: Old elec bill in Rebuilding Your Credit

Old elec bill

Anonymous — Fri, 19 Mar 2010 16:48:15 GMT

Two days ago I received a collection letter from a company called ERS. The bill referred to an old electric bill from a while back. I know the account was closed was prior to 2004 - I'm thinking it was in 2002.

I looked up the statute of limitations for MS and found the following:

Oral Contract: 3 years

Written Contract: 3 years

Promissory Note: 3 years

Open-Ended Accounts: 3 years

So does this electric bill fall into these categories? I'm pretty sure I paid the bill already, but due to moving and a flooded storage building, I don't have the proof that I did.

How should I proceed with this? Should I ignore it? Or should I send them some sort of letter? I'm assuming since the original bill was over 7 years ago, that they are not allowed to report it to the credit bureaus. Please help.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 17:48:42 GMT

If the DoFD is over 7 - 7.5 years, it cannot be reported to the CRAs.

Expired SOL does not mean you do not owe the debt, the CAs may continue to attempt to collect forever. If you are sure the debt is out of SOL then send the CA a C&D letter.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 18:08:07 GMT

I'd request information from the electric company in question. May as well try to get proof in hand if you can.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 18:11:40 GMT

I'd request information from the electric company in question. May as well try to get proof in hand if you can.

Why? What good would it do?

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 18:17:36 GMT

She lost the record (through no fault of her own)- if the electric company can provide her with documented proof of that date, she has more to work with. She's not 100% sure she's past the 7 - 7.5 years. My gut feeling is that at some point, she'll probably have to demonstrate that if she wants them to go away.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 18:23:33 GMT

Actually, the OP does not need to prove anything. It would be the CA trying to collect.

If the account is beyond the SOL, I would leave it alone. Not even contact the OC. I don't see the point in it. If, by chance, it is within the 7 - 7.5 years then the OP could very well end up with a new TL on the CR.

Re: Old elec bill

creditbroke — Fri, 19 Mar 2010 18:27:34 GMT

I called about a $64 debt that was on my report. The CA couldn't find a record of the debt paid or unpaid neither could the OC. Come to find out the debt had been possibly paid by my wife awhile back. So with noone including myself sure about the reporting I disputed and it was remove from all 3 within a week.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 19:08:11 GMT

@creditbroke wrote:
I called about a $64 debt that was on my report. The CA couldn't find a record of the debt paid or unpaid neither could the OC. Come to find out the debt had been possibly paid by my wife awhile back. So with noone including myself sure about the reporting I disputed and it was remove from all 3 within a week.

Which is good. But you knew in advance the CA could not find the account. I would have disputed also.

This is a different scenario. There is nothing on the OP CR. The debt seems to be outside SOL and CRTP. But, if it is not and the OP starts asking questions, it could end up on the report.

Re: Old elec bill

Paxx — Fri, 19 Mar 2010 19:41:10 GMT

Since you just received a dunning letter regarding a collection you are not aware of, send the CA a DV letter asking them to validate. If they can't validate you may never hear back depending on your state laws (Texas law requires CA to reply to DV's but not all states have this law) and thus the collection activity ceases ubtill they can. CA can't collect or transfer a debt if they can't validate.

If they can validate the debt you can find out if it's within SOL or not. and if it's a legitimate debt that you owe based of off the documents your provided. You can then proceed accordingly with PFD or whatever letters fits. If it were me I'd send a DV letter.

Old accounts get transferred around and the paperwork doesn't always follow. My wife had an old collection account that was transferred to a new CA, we received a dunning letter to which I DV'ed. We were pretty sure it was hers but not 100% and I wasn't going to pay something I wasn't sure was ours. NCO could not validate and so they sent a letter stating the file has been closed.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 19:46:00 GMT

Don't DV within SOL unless you can PIF. Could save you a lawsuit down the road.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 21:02:07 GMT

Thank you for the replies. I know the original debt from the electric company was valid, has been paid (but was paid several mths after account was closed), but I don't have any proof that I paid due to the flood and moving. I lost most of my old records during that time.

I've been trying to think back and pin point the exact time the account was closed. I will have to do a bit more "memory digging" to figure it out. So for now, I will not contact them or respond to them at all.

Not taking my credit report into account, would the SOL for this type of debt fall under the "3 years" that MS seems to have for debt? And if it does, that would mean they can't legally persue payment, correct?

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 21:03:01 GMT

Threadjacking suppression fire.

tidbit1,

Send a DV letter to ERS. Even if I knew a debt was from 1979, I'd still always send a DV letter rather than a C&D. IMHO, it's easier for them to violate § 809 than § 805.

Re: Old elec bill

Anonymous — Fri, 19 Mar 2010 21:30:39 GMT

@Anonymous wrote:
Thank you for the replies. I know the original debt from the electric company was valid, has been paid (but was paid several mths after account was closed), but I don't have any proof that I paid due to the flood and moving. I lost most of my old records during that time.

I've been trying to think back and pin point the exact time the account was closed. I will have to do a bit more "memory digging" to figure it out. So for now, I will not contact them or respond to them at all.

Not taking my credit report into account, would the SOL for this type of debt fall under the "3 years" that MS seems to have for debt? And if it does, that would mean they can't legally persue payment, correct?

Just because a debts SOL has expired does not mean you do not still owe the debt. SOL is the time frame they have to sue you. You would use expired SOL as a defense. They can legally attempt to collect on the debt forever.

That is why I suggested the C and D letter. Then they can no longer contact you.

Re: Old elec bill

Anonymous — Sun, 21 Mar 2010 16:36:07 GMT

It's true that with a C&D the CA can never contact you again, except:

(1) to advise the consumer that the debt collector’s further efforts are being terminated;
(2) to notify the consumer that the debt collector or creditor may invoke specified remedies which are ordinarily invoked by such debt collector or creditor; or
(3) where applicable, to notify the consumer that the debt collector or creditor intends to invoke a specified remedy.

Before you C&D, you'd be danged sure you're beyond SOL. It might well invite a lawsuit. Also, if you C&D, it can make it tricky negotiating away one's adverse TLs via a PFD. The CA can be a pinhead and stand on "You sent us notification under § 805 to cease communication." Just because a CA isn't reporting to the CRAs today, doesn't mean they won't start tomorrow.

Re: Old elec bill

Paxx — Mon, 22 Mar 2010 13:22:10 GMT

Also be mindful that a DV letter has to be sent to the CA within 30 days of receiving the dunning letter so if you're going to send to in preparation for your next letter, send it now.