Should have gone into collections + get reported as collection but didn't. WHY?

[SwiftTone]

I've had 3 bills that went way past due that I think it should have been reported as collections, but never did.

I had a cell phone bill from T-Mobile from maybe 3-4 years back that when I moved, I forgot about, and didn't pay it. For some reason, I remembered about it, and 3 months ago I paid it. When I asked if it went into collections, they said no. The final bill was just sitting there, but they didn't know why it didn't get reported.

I had a Verizion home service bill that never got sent to my new address. 6 months past, and I decided to look into it. Sure enough, the final bill was just sitting in their system. I even had to get a supervisor involved just to find the bill. I paid it, and they couldn't figure out why its just sitting there, and not in collections.

Finally,  I had a medical bill that actually did go into collections. I did get a collection notice but I thought it was fraud because I've never gotten service at where it was listed on the notice. It was just $20 and I would have paid it if I thought it was legit. Well anyways, they sent me a few notices, and I finally investigated and found out that all the collection notices they sent to everyone had the wrong "treatment service by..." office and I gladly paid it. I asked them if it has been reported to the CRAs, and they said no, but couldn't figure out why either.

So I've dodged the bullet 3 times, and was very lucky that nothing got reported to the CRAs. But I'm wondering why?? I couldn't get any explaination for any of them, but know they should have been reported as collections to the CRAs.

Any ideas? 

[Anonymous]

I would file this under "Things I don't question" and then hope that there isn't a fourth time and that that time is "the charm".

[pizzadude]

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@Anonymous wrote:

I would file this under "Things I don't question" and then hope that there is fourth time and that that time is "the charm".

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+1.  Seriously, go buy some lottery tickets, with your luck the odds are good.... 

[RobertEG]

Some creditors conduct collection on unpaid debt internally, and dont farm them out to debt collectors.

IMany collections arise after purchase of a debt rather than assignment for collection. If the debt is not that marketable (small, long overdue, etc), they might not get sold.

Only collection activity of a debt collector are reportable to a CRA, not internal collections.

It also costs time and $$ to assign a debt for collection assistance.  If the debt is not huge, it might be easier to just charge it off, and recoup a portion simply through internal bookeeping.  Credtiors are not required to report charge-offs in order to reap their benefits.

Lots of potential reasons.....

[SwiftTone]

They were all small amounts. T-Mobile $60, Verizon $170 and medical <$20

That might explain it, and maybe some luck.

Those were the not-so-smart days. I don't do it anymore.