Jump to content

Minor has CA on her back!! HELP PLEASE


mom23
 Share

Recommended Posts

I need help with my daughters credit.

I have not pulled her report yet but she recieved a letter from a collection agency for a bill from a company that sells music cd's.

My daughter is a minor and apparently 2 years ago she recieved a letter in the mail for this company and she signed up to recieve the cd's.

At the time she did this she was 15 years old.

I know that it is probly on her CR and probly by both the OC and the CA.

What should I do do get this off of her cr?

Can they keep it on there and excpect to get her (or me) to pay it.

Being that she is a minor and not legaly able to sign into a contract she is not bound by any is she?

Please help any way you can.

Thank you

Link to comment
Share on other sites

It's been a long time since my business law classes but to the best of my knowledge, a minor cannot enter into a binding contract. That said, I would respond to any attempt to collect with a strongly worded C&D letter stating that fact.

Another consideration, if the account has been in default long enough to have past the SOL there there is virtualy nothing they can do to collect anyway.

As to her credit bureau report, I believe I would take the avenue of disputing with the OC, any CA involved AND the credit bureaus involved to get any derogotory information removed based on the fact that she could not enter into a binding contract in the first place and, thereofre, cannot owe the OC/CA any money (and that any information that indicates that she does owe them money is obviously in error).

Now...depending on how much money is involved and who you are dealing, it may take some time and letters and effort to get it taken care of but I think, untimately, you will prevail.

I'm no expect, especially where "minors" are involved so I hope someone with more specific knowledge will offer some advice.

One more thing; at a minimum, ALWAYS do everything in writing and send all letters certified mail with return receipt requested.

Hope that helps!

Link to comment
Share on other sites

It's been a long time since my business law classes but to the best of my knowledge, a minor cannot enter into a binding contract. That said, I would respond to any attempt to collect with a strongly worded C&D letter stating that fact.

Yeah, it has been a very long time since my business law classes too and I also distinctly remember the issue about minors and contract. It is not really possible for them to get into a valid contract.

Link to comment
Share on other sites

My recollection is that a contract with a minor is voidable, not void ab initio.

And there is that little thing about her getting the CDs.

If a minor isn't responsible for its purchases, I'm going to put my phone bill in my 8 yr old's name and the electric bill in my 10 yr old's!!!

My approach would be to write the CEO of the company a letter saying how awful it is the company preys on young kids and that as you as a mom are going to pay the bill ( send him the check or a copy of a check/money order) so your daughter won't be burdened by crappy credit caused by the CEO's business practices and in return, you'd like him to show some good will, especially if it was not his intent to ensnare minors into debt, by telling the CA to delete the credit item. Ask him for an anwser in 20 days. CC your AG and BBB and the FTC. Send it Certified Mial, or Priority with signature confirmation, with " Personal, Non-business" on the envelope.

Link to comment
Share on other sites

I'm with Recovering Attorney on this in it's entirety.

As they say, a minor cannot enter into a legal contract. Yes, it would simply take a simple letter to cause the CA to go away. But, what did your daughter learn from this? At her age, and the way things are today in this country, she would get the wrong impression of debt. I would do as was advised by contacting the CEO of the OC and explain that upon receipt of their response as to recalling from the CA, and no negative information being reported, etc., you will remit payment in full to him directly. If not, no payment will be made. Also, as far as I understand, they can't go after the parent on this, but, do double check to be safe, if they don't accept your offer.

To include, a few years back, an EX SIL put a phone in his son's name. Last year, my grandson went to buy his first home and this came up. All he had to do was show he was underage at the time, and the debt was pulled from the CA and all negative was deleted. No problems of any sort has followed. He and his father now have a "strained" relationship from this.

Link to comment
Share on other sites

I've dealt with these mail order CD companies before myself. Is this like Columbia House?

The problem is, they don't require a contract to sign up for. Just like a magazine subscription, anyone can send in the little card with your address on it (they don't even ask for the SS#, or at least they never used to).

So the problem becomes how do they prove it was you, and that you asked for their product? They can't really.

In my case, I started getting CD's I didn't ask for. I just dropped them back in the mail. Then came the bills. Then came the fake collection letters.

I say fake because it was obvious to me that they weren't real. I've seen plenty of real CA letters in my time, and these just didn't look right. I didn't even bother with a DV, I just mailed them a C&D letter, and that was the last I heard from them. Never saw a thing on my reports.

So I guess what I would ask is, what kind of service is this, and did they require her to give them a SS# and etc when she signed up? Without a valid SS# they cannot put anything on anyone's credit report. For all they could know, it's a made up name.

Link to comment
Share on other sites

If it is Columbiahouse, and the daughter did order, it had to be done by returning a post card and signing it, as is their normal way of getting customers. Or, if done on the internet, she had to agree to the terms. Either way, it is a legitimate debt, but, due to age, the daughter cannot be held liable. Again, I will say that they could just dispose of it this way, but, I do feel this is sending the wrong message to the daughter. so, I will now add to my previous that once paid by the parent, as advised above, have the daughter work off the amount in some way.

Link to comment
Share on other sites

Thank you so much for all of your responses.

The OC is BMG, and the CA notice she recieved is from one I have never heard of. Penn Credit Corporation.

I had planned on her paying for this since she did tell me she did it. I do want her to understand that if she does something like this she is responsible for it, but at the same time I don't want BMG to get away with what they have done either. I don't think it is right and don't want her credit tarnished b/c of their ignorance.

She said it was a letter in the mail originally.

My problem with this is that they sent it to her in the first place. How did they get her name and address? I am very upset that she even got the invitation to get the cd's.

Sending the Company a letter is a very good idea. I am sure that we are not the first to go through this with this kind of company.

thank you so much for all of the help. I will keep you posted.

Link to comment
Share on other sites

Jasen is absolutely correct. I had the exact same thing happen to me with columbia house and BMG. I had two years to but the additional cd's. After one year, I get a nasty letter demanding $70, for thr cd's I was supposed to buy. I informed the company thst I had one more year to buy them in. They quit sending me catalogs and started sending the fake collection letters. I asked for a copy of the contract with signiture and terms of agreement. Never heared form them again and it never showed up on a credit report. In fact I signed up three more times with columbia house and bmg, waited for them to "breach the contract" prior to it's expiration date. When they sent the fake collection letters, I basicly did a DV and never heard form them again. never showed on my credit. Many people may say what I did was wrong. I say, don't offer a contract, then try to change the terms through bullying when you can't enforce the original contract in the first place due to dealing with a minor, not having a signiture or not keeping your records. If any of the accounts had been aloowed to go to full term (2 years) I would have purchased my obligated cd's and been done with it.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.