Ask Me Help Desk - Long Old Debt/non-debt

Long Old Debt/non-debt

Here is one that has bothered me for years.

In 1991 I opened a membership with a health club. After paying for 18 months or so on a 3 year contract, I stopped paying. I notified the club that I had moved out of the area and according to their contract was not liable.

4 years later in 1996, I was contacted by a collection agency about an outstanding balance of $3000 or so (mostly interest) and settled with them for about $500 which I paid with a money order.

Now, every other year or so I get a letter from a new and different collection agent notifying them that I owe them 17 bagillion dollars in interest and about $500 in principal. I haven't responded or paid anything on any of these "debts" in 11 or 12 years.

My problem is that its been 11 or 12 years. I don't still have the receipt from the money order used to pay the debt.

No one has ever entered anything into my credit report and I don't believe I've ever received a follow up letter from anyone.

Should I just continue to ignore this? Also, is this just a case of a company selling a debt that isn't owed over and over again?

Quote:

Originally Posted by stevetcg

Here is one that has bothered me for years.

In 1991 I opened a membership with a health club. After paying for 18 months or so on a 3 year contract, I stopped paying. I notified the club that I had moved out of the area and according to their contract was not liable.

4 years later in 1996, I was contacted by a collection agency about an outstanding balance of $3000 or so (mostly interest) and settled with them for about $500 which I paid with a money order.

Now, every other year or so I get a letter from a new and different collection agent notifying them that I owe them 17 bagillion dollars in interest and about $500 in principal. I havent responded or paid anything on any of these "debts" in 11 or 12 years.

My problem is that its been 11 or 12 years. I dont still have the receipt from the money order used to pay the debt.

No one has ever entered anything into my credit report and I dont believe ive ever received a follow up letter from anyone.

Should I just continue to ignore this? Also, is this just a case of a company selling a debt that isnt owed over and over again?

Wow - is bagzillions more than lotsazillions? Love the word.

It would appear that this debt is out of Statute, anyway - what State? The Statute would run from the last activitity on the account which appears to be your payment.

Quote:

Originally Posted by JudyKayTee

Wow - is bagzillions more than lotsazillions? Love the word.

It would appear that this debt is out of Statute, anyway - what State? The Statute would run from the last activitity on the account which appears to be your payment.

Its close to mongazillion. :-D

The debt was accrued in VA and paid off in NC. Ive been contacted while living in NH and MA.

Quote:

Originally Posted by stevetcg

Its close to mongazillion. :-D

The debt was accrued in VA and paid off in NC. Ive been contacted while living in NH and MA.

Well over the statute of limitations. It sounds like a case of a scamming company selling off already paid/settled debt.

You can simply continue to ignore it or file a Cease & Desist to force them to stop communication with you. However, if they sell the debt again, you may have to repeat that process with the next company that buys it.

Quote:

Originally Posted by stevetcg

Its close to mongazillion. :-D

The debt was accrued in VA and paid off in NC. Ive been contacted while living in NH and MA.

Again - love it. They are out of Statute. Tell them that the next time they call and then tell them not to call you any longer.

You could also write a letter to the original creditor (who has, of course, sold the debt), telling them to cease or desist. Or just plain knock it off. Some will forward the letter, some will not.