Tweet
In general this thread is about the bills which send you to collection agencies- like phone, cell phone and health care bills. IMO too many "contracts" are bad for the american consumer which takes credit seriously.
True story:
Has anyone noticed companies disguising themselves as collection agencies to get you to commit money to something?
About 18 months ago I ordered a magazine subscription to smart money from a co-worker's daughter selling it for girl scouts. At 10-11 months smart money sent the renewel letters to me which I ignored and sooner or later did not open (went straight to trash).
About a month after the subscription stopped, I received a letter which resembled that of a collections company- the company even had a simple name with "collections" in the title. It was trying to tell me I owed $15 for the 2009 magazine subscription which I had not renewed. If gave me a long distance number to call (not 800- just long distance) and I could type in a code to get it removed from the subscription list.
I considered this a devious sales tactic (I could have chosen to pay the bill and get the subscription when I called). Anyone else notice things like this?
I am also noticing more and more companies I do business with want to know enough information to report me to credit bureaus if I choose not to do business with them.
Cell phone contracts and medical bills are the two most obvious culprits. We had some medical bills in 2007, paid in full in Q1 2008, then I switched insurance plans (for 2008), then the old insurance did an audit and decided I owed MORE on the 2007 procedure which was paid in full. A full 6 months later I received a bill turning me over to collections from the doctors office (because a portion of bill to them is unpaid).
Another example is we have a home security system. The fine print of the contract is that it is a 5 year commitment which renews to another 5 year commitment when the first 5 years is up. We have a 6 month cancellation window in 2009 between June 2009 and Jan 2010. I don't think the price is worth what we get, but I cannot opt out of the "contract" now without being turned over to collections.
Anyone noticing similar sales trends?
True story:
Has anyone noticed companies disguising themselves as collection agencies to get you to commit money to something?
About 18 months ago I ordered a magazine subscription to smart money from a co-worker's daughter selling it for girl scouts. At 10-11 months smart money sent the renewel letters to me which I ignored and sooner or later did not open (went straight to trash).
About a month after the subscription stopped, I received a letter which resembled that of a collections company- the company even had a simple name with "collections" in the title. It was trying to tell me I owed $15 for the 2009 magazine subscription which I had not renewed. If gave me a long distance number to call (not 800- just long distance) and I could type in a code to get it removed from the subscription list.
I considered this a devious sales tactic (I could have chosen to pay the bill and get the subscription when I called). Anyone else notice things like this?
I am also noticing more and more companies I do business with want to know enough information to report me to credit bureaus if I choose not to do business with them.
Cell phone contracts and medical bills are the two most obvious culprits. We had some medical bills in 2007, paid in full in Q1 2008, then I switched insurance plans (for 2008), then the old insurance did an audit and decided I owed MORE on the 2007 procedure which was paid in full. A full 6 months later I received a bill turning me over to collections from the doctors office (because a portion of bill to them is unpaid).
Another example is we have a home security system. The fine print of the contract is that it is a 5 year commitment which renews to another 5 year commitment when the first 5 years is up. We have a 6 month cancellation window in 2009 between June 2009 and Jan 2010. I don't think the price is worth what we get, but I cannot opt out of the "contract" now without being turned over to collections.
Anyone noticing similar sales trends?
Comment