# Old Debt Collection **URL:** \ **Category:** Factual Questions\ **Created:** [April 22, 2006, 6:17pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770 "2006-04-22T18:17:44Z")\ **Posts on this page:** 20\ **Page:** 1
**Author:** ![seenidog](https://avatars.discourse-cdn.com/v4/letter/s/f04885/32.png) [@seenidog](https://boards.straightdope.com/u/seenidog)\ **Post date:** [April 22, 2006, 6:17pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/1 "2006-04-22T18:17:44Z")
I recieved a letter from a debt collection agency saying that I owed 300 plus dollars to MCI for an unpaid bill nine years ago. I do not remember ever having done business with MCI. Seven years ago we had a house fire that destroyed all of our records. They said send us 40 bucks now and it is settled. I called the collection agency, they could not give me any details, just said the account was turned over to them. I would have to talk to MCI about details. I didn’t pay, and am waiting to see what happens next. Any others have this sort of thing happen? ---
**Author:** ![Squink](https://avatars.discourse-cdn.com/v4/letter/s/b5e925/32.png) [@Squink](https://boards.straightdope.com/u/Squink)\ **Post date:** [April 22, 2006, 6:27pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/2 "2006-04-22T18:27:47Z")
MCI was very into nefariously signing up new customers back back then: [August 12, 1997: Commissioner Ness Calls for Tougher Action Against Slamming](http://www.fcc.gov/Bureaus/Miscellaneous/News_Releases/1997/nrmc7059.html) ---
**Author:** ![Aunt\_Flow](https://avatars.discourse-cdn.com/v4/letter/a/ed655f/32.png) [@Aunt\_Flow](https://boards.straightdope.com/u/Aunt_Flow)\ **Post date:** [April 22, 2006, 6:32pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/3 "2006-04-22T18:32:42Z")
Ask for documented proof of those bills from MCI. If they cannot provide with it, you can effectively contact the credit bureaus and request that it be removed from your credit report. That won’t completely solve the problem but it will get it off your record. ---
**Author:** ![Neptunian\_Slug](https://avatars.discourse-cdn.com/v4/letter/n/ce7236/32.png) [@Neptunian\_Slug](https://boards.straightdope.com/u/Neptunian_Slug)\ **Post date:** [April 22, 2006, 6:32pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/4 "2006-04-22T18:32:43Z")
MCI wrote it off as far as they were concerned, but if there was a debt, it still exists. Someone propbably bought it for 10 cents on the dollar and are taking the chance they can ring something out of you. If you believe that you never owed the money, you should fight it, and they may give up. For $300, they likely won’t take the time and effort. If it was a few grand on an old credit card account, they might make more effort. In the meantime, they will probably send you some nasty threatening letters and even call you. If you didn’t do any business with MCI, then tell them so. ---
**Author:** ![Joey\_P](https://avatars.discourse-cdn.com/v4/letter/j/919ad9/32.png) [@Joey\_P](https://boards.straightdope.com/u/Joey_P)\ **Post date:** [April 22, 2006, 6:33pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/5 "2006-04-22T18:33:24Z")
> [@seenidog](#): > > I recieved a letter from a debt collection agency saying that I owed 300 plus dollars to MCI for an unpaid bill nine years ago. I do not remember ever having done business with MCI. Seven years ago we had a house fire that destroyed all of our records. They said send us 40 bucks now and it is settled. I called the collection agency, they could not give me any details, just said the account was turned over to them. I would have to talk to MCI about details. I didn’t pay, and am waiting to see what happens next. Any others have this sort of thing happen? NO, don’t send them anything. Sending them $40 is most likely just a trick they are using to reopen the debt and put it back on your credit report. I have a friend that works in collections. If she has a debt that’s getting near the seven year mark with no payments, she say something like “Well, how about if just send me one dollar. Can you just send one dollar to me and we’ll stop calling for a while.” Of course the only think the one dollar does is start the timer over and give them another seven years to persue the debt. ---
**Author:** ![racer72](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/racer72/32/3075_2.png) [@racer72](https://boards.straightdope.com/u/racer72)\ **Post date:** [April 22, 2006, 6:37pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/6 "2006-04-22T18:37:18Z")
The statute of limitation may have tolled on that debt and you have no obligation to pay it. It all depends on which state you live in, state SOL’s range from as short as 3 years all the way up to 15 years in Ohio. The first thing to do is do not acknowledge the debt as yours. Next would be to send the CA a debt validation letter. Copies can be found at the [Creditboards.com](http://www.creditboards.com/forums/) forums. Free registration is required. If you don’t get positive proof of the debt or do not receive a response in a satisfactory length of time (30 days is normal), send the CA a cease and desist letter and tell them to get lost. I am going to guess that if they are willing to settle for such a small percentage of the original debt, the SOL has most likely tolled and they are just looking for a way to make a few bucks on an uncollectible account. ---
**Author:** ![Lynn\_Bodoni](https://avatars.discourse-cdn.com/v4/letter/l/e47c2d/32.png) [@Lynn\_Bodoni](https://boards.straightdope.com/u/Lynn_Bodoni)\ **Post date:** [April 22, 2006, 6:39pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/7 "2006-04-22T18:39:53Z")
Yep, I have. I wrote back the company saying that I disputed the debt, that I didn’t want to receive any further phone calls, and that I wanted to see the original debt details. I also noted that I was sending a copy of the letter to the FTC. Never heard back from them. Some debt collection companies will buy up old, legally unenforceable debts and try to get people to pay them off. In some cases (as it was in my case) the debts have ALREADY been paid off. I Googled “debt collection fraud (name of the debt collection agency)” and found out that this company had a history of trying to collect debts that had already been paid, or which had passed the statute of limitations. Just Googling “debt collection fraud” will turn up many interesting and informative websites, which will help you plan your moves. For instance, you need to write to the collection agency within 30 days of them contacting you, and dispute the debt. If you write the collection agency, I suggest making a copy for the FTC, and letting the agency know that you’re doing so. I am not a lawyer, none of this should be taken as legal advice, etc., etc. ---
**Author:** ![seenidog](https://avatars.discourse-cdn.com/v4/letter/s/f04885/32.png) [@seenidog](https://boards.straightdope.com/u/seenidog)\ **Post date:** [April 22, 2006, 6:50pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/8 "2006-04-22T18:50:21Z")
Thanks for all the advice. I do not believe I owe these people anything. If I did I would pay it. My first son was born while I was between jobs and I had no insurance, and it was a c-section with problems, it took me almost six years to pay for it, but I talked to the hospital and they worked with me, and it was not a problem. But when I get a letter nine years later saying you owe us 300 but we will settle for 40, I smelled a wampus. Thanks to you all. I suspect I will not be hearing back from them. ---
**Author:** ![seenidog](https://avatars.discourse-cdn.com/v4/letter/s/f04885/32.png) [@seenidog](https://boards.straightdope.com/u/seenidog)\ **Post date:** [April 22, 2006, 6:59pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/9 "2006-04-22T18:59:59Z")
That was not worded well, nine years later a phone company came after me…not the hospital, and I would put in a plug here for that hospital, but i do not think that is allowed here. ---
**Author:** ![Shayna](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/shayna/32/17976_2.png) [@Shayna](https://boards.straightdope.com/u/Shayna)\ **Post date:** [April 22, 2006, 7:08pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/10 "2006-04-22T19:08:57Z")
I got a couple of extremely threatening letters from a collection agency once, and here’s the letter I sent them, in case you want to use it as a guide to composing one of your own. > [@](#): > > Dear Messrs. Collins & Hall, > > This letter is in response to your correspondences dated July 30 & August 11, 2003 respectively (copies enclosed) regarding a disputed debt from February, 1997 that you are attempting to collect. Not only do I dispute the original debt, I have verified that pursuant to the Code of Civil Procedure, Section 337, the legal Statute of Limitations of 4 years for collecting this type of debt in California has expired. > > You may consider this letter as official notification that, should you decide to pursue this matter in court, I will not only invoke my legal rights and use the “expired statute of limitations” as my defense, I will vigorously pursue recompense of actual damages (if any), and attorneys fees and costs should it become necessary to retain counsel. > > Be advised that I consider this matter closed and demand that you, or anyone affiliated with your company, cease and desist contacting me regarding this matter except to advise me, via mail only, that your debt collection efforts are being terminated. > > Thank you very much for your prompt attention to closing your files on this matter. I look forward to receiving written confirmation of same. > > Sincerely, > Me I never heard from them again. Good luck! ---
**Author:** ![Campion](https://avatars.discourse-cdn.com/v4/letter/c/4491bb/32.png) [@Campion](https://boards.straightdope.com/u/Campion)\ **Post date:** [April 22, 2006, 8:21pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/11 "2006-04-22T20:21:14Z")
> [@racer72](#): > > The statute of limitation may have tolled on that debt and you have no obligation to pay it. Nit: you meant to say “The statute of limitation may have _run_ on that debt and you have no obligation to pay it.” When a statute of limitation is tolled, it means that the statute of limitation has stopped running for a period of time. For example, if the statute of limitation is six years, but it is tolled for three months, then the statute will not run until six years, three months after accrual of the cause of action. Sometimes parties will agree to toll the statute of limitation while they try to mediate a matter; that way, there isn’t any time pressure in the mediation to get things done by a certain time just because of statute problems. ---
**Author:** ![seenidog](https://avatars.discourse-cdn.com/v4/letter/s/f04885/32.png) [@seenidog](https://boards.straightdope.com/u/seenidog)\ **Post date:** [April 22, 2006, 9:16pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/12 "2006-04-22T21:16:51Z")
> [@Shayna](#): > > I got a couple of extremely threatening letters from a collection agency once, and here’s the letter I sent them, in case you want to use it as a guide to composing one of your own. I never heard from them again. > > Good luck! Thanks for the advice, right now I will sit tight, but if need be I will use that as a template. I am in Wisconsin so obviously I will have to see if there are similar laws in place. But I love the tone, a calm, informed, but in your face response. I figure your post alone made my membership fee here worthwhile, thanks! ---
**Author:** ![A.R.Cane](https://avatars.discourse-cdn.com/v4/letter/a/ee7513/32.png) [@A.R.Cane](https://boards.straightdope.com/u/A.R.Cane)\ **Post date:** [April 22, 2006, 9:43pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/13 "2006-04-22T21:43:29Z")
I think I’d also contact your state atty. general’s office and your state banking commision and see if you could file a formal complaint w/ either, or both. You might want to do this before you decide to contact an attorney. See what kind of response you get and then evaluate whether you need your own lawyer. ---
**Author:** ![Shayna](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/shayna/32/17976_2.png) [@Shayna](https://boards.straightdope.com/u/Shayna)\ **Post date:** [April 22, 2006, 10:08pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/14 "2006-04-22T22:08:07Z")
> [@seenidog](#): > > Thanks for the advice, right now I will sit tight, but if need be I will use that as a template. I am in Wisconsin so obviously I will have to see if there are similar laws in place. But I love the tone, a calm, informed, but in your face response. I figure your post alone made my membership fee here worthwhile, thanks! Wow, what a nice thing to say. I’m actually blushing. :o Yes, there are similar laws in every state. Wisconsin’s Statute of Limitations on this type of debt is 6 years, so they are way beyond statute on this one. I wouldn’t hestitate, though. I’d compose a letter in response to their original correspondence and get it mailed within the 30-day period. Read up on your rights under the [Fair Debt Collection Practices Act](http://www.ftc.gov/os/statutes/fdcpa/fdcpact.htm#805) and don’t let them bully you. According to Section 807(5) “A debt collector may not use any false, deceptive, or misleading representation or means in connection with the collection of any debt. Without limiting the general application of the foregoing, the following conduct is a violation of this section: (5) The threat to take any action that cannot legally be taken or that is not intended to be taken.” Clearly they have no intention of suing you for this debt, and they dare not threaten to, seeing as how they must know that it’s uncollectible based on the statute of limitation having expired. Tell them to stick a fork in it. ---
**Author:** ![Sampiro](https://avatars.discourse-cdn.com/v4/letter/s/2acd7d/32.png) [@Sampiro](https://boards.straightdope.com/u/Sampiro)\ **Post date:** [April 22, 2006, 10:21pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/15 "2006-04-22T22:21:18Z")
I had an Alltel cell phone in 1999 and as soon as the contract was up I called and cancelled it. I got the person’s name but unfortunately not the confirmation number. They never cancelled my account and I’ve gotten mail from them ever since. I’ll think they’ve finally gotten the hell over it and then another letter from another collection agency will start. The bill is about $200 (three months mobile plus other charges) and, while it might be stupid, I refuse to pay it on principal as to do so would be extortion- I DON’T OWE IT. I don’t know if there’s a statute of limitations in Alabama on this type of thing, but frankly I’d welcome the chance to go to court with the bastards (especially since I have friends who say that Alltel pulled the same crap with them). Their own records will prove that I never once used the phone after the date I cancelled the service. Bastards. ---
**Author:** ![Shayna](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/shayna/32/17976_2.png) [@Shayna](https://boards.straightdope.com/u/Shayna)\ **Post date:** [April 22, 2006, 10:37pm UTC](https://boards.straightdope.com/t/old-debt-collection/353770/16 "2006-04-22T22:37:43Z")
> [@Sampiro](#): > > I don’t know if there’s a statute of limitations in Alabama on this type of thing, but frankly I’d welcome the chance to go to court with the bastards (especially since I have friends who say that Alltel pulled the same crap with them). Their own records will prove that I never once used the phone after the date I cancelled the service. Bastards. [Six years](http://www.cardreport.com/laws/statute-of-limitations.html) on written contracts and 3 years on open accounts (usually credit cards fall under that heading). I’m not an attorney, but I believe a cell phone contract would qualify as a written contract, so in that case, yes, a debt from 1999 would be beyond the statute in 2006. P.S., **seenidog** , I meant to say welcome to The Dope! ---
**Author:** ![seenidog](https://avatars.discourse-cdn.com/v4/letter/s/f04885/32.png) [@seenidog](https://boards.straightdope.com/u/seenidog)\ **Post date:** [April 23, 2006, 1:04am UTC](https://boards.straightdope.com/t/old-debt-collection/353770/17 "2006-04-23T01:04:23Z")
> [@Shayna](#): > > [Six years](http://www.cardreport.com/laws/statute-of-limitations.html) on written contracts and 3 years on open accounts (usually credit cards fall under that heading). I’m not an attorney, but I believe a cell phone contract would qualify as a written contract, so in that case, yes, a debt from 1999 would be beyond the statute in 2006. > > P.S., **seenidog** , I meant to say welcome to The Dope! Thanks for the welcome. I am new, and will make mistakes in posting ettiquette I am sure, just let me know when I screw up and I will learn. Thanks to all for the kind response. ---
**Author:** ![DrDeth](https://avatars.discourse-cdn.com/v4/letter/d/b487fb/32.png) [@DrDeth](https://boards.straightdope.com/u/DrDeth)\ **Post date:** [April 23, 2006, 1:45am UTC](https://boards.straightdope.com/t/old-debt-collection/353770/18 "2006-04-23T01:45:33Z")
> [@seenidog](#): > > Thanks for all the advice. I do not believe I owe these people anything. If I did I would pay it. No, never pay a bill that old. Legally you don’t have to, your money won’t even go to the company who you did owe it to so you have no moral obligation, AND as **Joey P** pointed out, sometimes they will use that to post a new Derog on your credit report for another 7 years or so.They aren’t supposed to do that, but it still happens. ---
**Author:** ![Joey\_P](https://avatars.discourse-cdn.com/v4/letter/j/919ad9/32.png) [@Joey\_P](https://boards.straightdope.com/u/Joey_P)\ **Post date:** [April 23, 2006, 2:26am UTC](https://boards.straightdope.com/t/old-debt-collection/353770/19 "2006-04-23T02:26:45Z")
> [@DrDeth](#): > > No, never pay a bill that old. Legally you don’t have to, your money won’t even go to the company who you did owe it to so you have no moral obligation, AND as **Joey P** pointed out, sometimes they will use that to post a new Derog on your credit report for another 7 years or so.They aren’t supposed to do that, but it still happens. I don’t think the main reason is to put something bad on your credit report, it’s that if you pay anything, even one dollar, towards the debt, they can now legally persue it for another 6 or 7 years. ---
**Author:** ![Walloon](https://avatars.discourse-cdn.com/v4/letter/w/fbc32d/32.png) [@Walloon](https://boards.straightdope.com/u/Walloon)\ **Post date:** [April 23, 2006, 8:07am UTC](https://boards.straightdope.com/t/old-debt-collection/353770/20 "2006-04-23T08:07:50Z")
From the [Federal Trade Commission](http://www.ftc.gov/bcp/conline/pubs/credit/freereports.htm): > [@](#): > > **Q: How long can a consumer reporting company report negative information?** > > A: A consumer reporting company can report most accurate negative information for seven years and bankruptcy information for 10 years. There is no time limit on reporting information about criminal convictions; information reported in response to your application for a job that pays more than $75,000 a year; and information reported because you’ve applied for more than $150,000 worth of credit or life insurance. Information about a lawsuit or an unpaid judgment against you can be reported for seven years or until the statute of limitations runs out, whichever is longer.