Dealing with old phone bill

[dlgone]

This is my first post. Thank you all for the excellent advice.

I have recently begun my credit repair journey. I have one particular account I would like some advice on.

I have an old phone bill from about three years ago that was never paid. The balance is small, about $125. The account was with SBC, which is now AT&T. I noticed a collection on my credit report that pertains to the old bill. It is listed under "Collection Co of America". It shows as follows:

Date Reported: 03/2005

Date Assigned: 10/2004

Original Amount Owed: $125

Date of 1st Delinquency: 12/2005

Balance Date: 03/2007

Balance Owed: $125

Last Payment Date: N/A

Status Date: 03/2007

Status: D - Unpaid

I started by contacting "Collection Co of America" over the phone. I was advised that the account had been returned to the "principle" on 04/2007 and that they are no longer handling the account. I was also made aware that they would under no circumstances be changing anything on the credit report, as they feel it is accurate.

I then contacted AT&T. I was told that the account had been "given out" to "Capital Assistance Group", and that I would have to deal with them.

I called "Capital Assistance Group" and got an answering service.

I would like any advice on how best to proceed. There are two issues:

1) I'd like to pay this debt, as it is mine. "Capital Assistance Group" has made no contact with me, but they are not reporting to any CRAs, either. Call them up and pay over the phone? Does anyone know if they ever report? I don't want to pay only to have my credit dinged for my trouble.

2) I'd like to clean my credit. "Collection Co of America" has verbally acknowledged that they do not have the debt. They are only on Experian. It seems that they were reporting the balance when they had the account, but never bothered to update with a $0 balance when the debt was given back to the phone company.

The last reporting date is almost a year old. What is the best thing to do in terms of my FICO? I can either leave the account alone, or I can dispute the account as having a wrong balance. If I dispute the balance and get it corrected, though, will that show as a recent collection with a $0 balance?

I hope that I have explained that well enough. Anxiously awaiting any thoughts. Thanks in advance.

[hiblues]

welcome

I was advised that the account had been returned to the "principle" on 04/2007 and that they are no longer handling the account

if it's still reporting than dispute it with the CRA as not mine..- it should (will) be deleted

if they are no longer handling the account. go dispute it on-line that is the fastest way.

then

contact Capital Assistance Group and explain you want to handle this

but that you need to make sure that it won't be reported to any CRA.

get that in writing ( fax, e-mail is ok) before paying in full.

no letter - no pay.

the letter will probably read something to this effect... we agree not to report this account to any CRA if paid by X date.

make up your own agreement if you must and fax it over for them to sign and fax back.

[dlgone]

Thank you for the quick response.

I will dispute with the CRA ASAP. I need to wait, as I am in the middle of another dispute and my understanding is that any additional disputes could lengthen their time time respond.

Thanks again.

[whocares]

I had problems with them too, I used the BBB to dispute...after a week of contact and hearing my side of the story, I was overbilled several times...they deleted the account

It might work for you too

Good Luck

[myscoresawful]

I started by contacting "Collection Co of America" over the phone. I was advised that the account had been returned to the "principle" on 04/2007 and that they are no longer handling the account. I was also made aware that they would under no circumstances be changing anything on the credit report, as they feel it is accurate.

Do I understand this correctly? Are you saying that Collection CO of America, is no longer the CA, do not have this account any longer and are STILL reporting it on your CR? If so, that sounds like a violation to me.

[dlgone]

Do I understand this correctly? Are you saying that Collection CO of America, is no longer the CA, do not have this account any longer and are STILL reporting it on your CR? If so, that sounds like a violation to me.

Yes, this what is happening. Though the "Status date" is 3/2007 and I was told by the Collection CO of America representative that the account was "sent back to the principle" 4/2007. My plan is to follow hiblues advice and start by disputing with the CRA. I am waiting until the current disputes I have with the CRA are finished, so as to ensure that I don't inadvertently extend the time on those disputes. Those should be wrapped up on 1/13/2008, but they acually have 15 additional days due to my using my annualcreditreport.com report to dispute the previous items.

I'll keep this thread updated.