Your Account Has Been Sent To Collections.

Discussion in 'Legal Issues' started by IamNed, Jul 31, 2006.

  1. #1
    My acocunt has been sent to collections because I didn't pay my hosting bill and ignored email notice.What do I do? Should I consider hiring a lawyer? Need help...This is kinda scary. How much will I have to pay? And how long does the collections process take? Is a SWAT car gonna arive at my house in a few days or a huge manilla envelope?
     
    IamNed, Jul 31, 2006 IP
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  2. venturefox

    venturefox Notable Member

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    #2
    I had a similar problem with paypal when they closed my account years ago. You probably will have to pay so start saving, unless you want a long, drawn out legal process which could cost you alot more. You wont need to hire a lawyer but you will need to pay. You'll receive a letter within a few weeks outlining all the details and if you choose not to pay, then you might start getting knocks on the door.

    It could just be a scare tactic, but companies rarely send out such correspondence unless they are serious.
     
    venturefox, Jul 31, 2006 IP
  3. mhdoc

    mhdoc Tauren

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    #3
    It will get added to your credit report. If that bothers you, you should think of paying as soon as you can. You can also talk to them: few do that, but creditors are frequently willing to take payments. I have a hard time imagining a hosting bill that would not be smaller than a lawyers bill for even minimal services.

    If you can't/won't pay the notices don't really mean anything until it is certified mail with a judges signature telling you there is a court date :) As discussed here in another thread, even judgments can be very hard to collect.

    Unpaid bills are part of civil, not criminal, law so there is no chance the SWAT team will be interested.
     
    mhdoc, Jul 31, 2006 IP
  4. mhdoc

    mhdoc Tauren

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    #4
    I beg to differ. Companies send out that kind of garbage all the time. They have law firms that send out letters; by themselves they don't mean anything either. It's all a matter of cost. It costs money to send letters, Lawyers get $75 each and more for a standard collections letter. It costs a few hundred dollars to file for a judgment. Even with a judgment it's hard to collect.

    If you care about your credit rating you need to deal with the problem sooner. If you don't care and have no assets you are pretty much judgment proof.
     
    mhdoc, Jul 31, 2006 IP
  5. nevetS

    nevetS Evolving Dragon

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    #5
    Just pay the bill.

    It's never a good idea to ignore a bill, and it's an even worse idea to think they'll never get the money out of you. Maybe the hosting company won't, but once it leaves their hands, company after company will have the rights to your debt and they will hound you for years to come. In some instances, you might find that even after you eventually pay the debt, it will still keep getting sold and you'll never be able to stop the phone calls.

    Save yourself and everyone else a lot of energy and call the hosting company up to either pay the debt or work out a payment plan.
     
    nevetS, Jul 31, 2006 IP
  6. eddy2099

    eddy2099 Peon

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    #6
    Just pay the bill, it is cheaper that way. All they way to do is to recover what you owe them. If you go to court, you will most likely lose and end up having to pay legal fees, what you owe them, a fine and additional penalties.
     
    eddy2099, Jul 31, 2006 IP
  7. DeniseJ

    DeniseJ Live, Laugh, Love

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    #7
    You didn't pay your hosting bill and ignored e-mail notices, eh? Sounds like a personal problem to me. I guess you should have thought about that beforehand.
     
    DeniseJ, Aug 1, 2006 IP
  8. JDA06

    JDA06 Peon

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    #8
    Is there a reason why you can't just pay it? Was it more than you had expected?
     
    JDA06, Aug 1, 2006 IP
  9. IamNed

    IamNed Peon

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    #9
    I paid it today but word 'collections' 'legal' is scary. I wish I hadn't put it off. Afte reading the find print of the notive in more detail the maximum I would have to pay isn't much (I wont give detials because dont want to expose the company).
     
    IamNed, Aug 1, 2006 IP
  10. projectw3

    projectw3 Banned

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    #10
    Glad to hear that you paid the bill. It isn't healthy to avoid the bills, they just keep adding up, then everything just goes downhill. Anyway, kind of funny to hear that a hosting company would go to such an extent to collect a bill.
     
    projectw3, Aug 1, 2006 IP
  11. demosfen

    demosfen Peon

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    #11
    In the US it's illegal for debt collectors to make threats they don't intend to act upon
     
    demosfen, Aug 6, 2006 IP
  12. timw

    timw Peon

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    #12
    I hate it when companies are all talk.
     
    timw, Aug 6, 2006 IP
  13. Nafai

    Nafai Peon

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    #13
    He's right, as a debt collector you can't say you're going to sue unless you really intend to do so for example
     
    Nafai, Aug 7, 2006 IP