Question about a negative account (collection, refund, credit report, debt)

[MissLucky]

I have one negative account on my credit report; it's for Verizon - a service that I never even used. I mean, I don't even have a single bill from Verizon. This whole situation came about when I was about to move into a new home 2 years ago and paid Verizon in advance (before I even moved into the house) to come and install Fios at my new home, only to find out later that the house I was moving into does not have Fios services. They only had Comcast. I then called Verizon, explained the situation and asked for my money back to which they did give it back. As far as I was concerned the case was closed.

Recently when I started looking to buy a house, the Realtor I was dealing with pointed out that my score is generally okay except for one negative account and that it would really help my score if I could have it cleared.

So I get really confused because as far as I'm concerned all my bills are ALWAYS paid on time. Came to find out it's the same Verizon account from 2 years ago that I never even used. So I go ahead and disputed the claim, and shortly after I get a response that "after careful consideration including contacting Verizon, it has been proven that the account is indeed yours and the charges are accurate."

So I'm really desperate to clear this mess (after all it's only $289) so I'm thinking I will just go ahead and pay and just clear it from my report. However, I was talking to my colleague today and she told me that paying doesn't really help anything; the negative account will still continue to show on the report and that the only difference is that it will now show as paid. Paying is only admitting that the account is mine and I was truly late on my payment which also doesn't look good. Plus it doesn't help the score anyway. She says I should just continue to dispute the claim.

So here I am totally confused on what my next steps should be. Any advice, please??

[slackjaw]

Contact Verizon first, figure out why they think it is a legit claim. If you can clear that up, you should be able to take the result to the three credit reporting agencies.

Good luck!

[MissLucky]

I will try to contact them again. The last time I tried I was put on hold waiting for an available customer rep for 30 mins so I gave up. I guess my real question is, is what my friend said really true? That paying doesn't really help and the negative account will continue to show up?

[McBain II]

Originally Posted by MissLucky

I have one negative account on my credit report; it's for Verizon - a service that I never even used. I mean, I don't even have a single bill from Verizon. This whole situation came about when I was about to move into a new home 2 years ago and paid Verizon in advance (before I even moved into the house) to come and install Fios at my new home, only to find out later that the house I was moving into does not have Fios services. They only had Comcast. I then called Verizon, explained the situation and asked for my money back to which they did give it back. As far as I was concerned the case was closed.

Sounds like typical Verizon to me. Are you sure it's Verizon reporting the account? They usually sell their debts off to collection agencies pretty quickly. Do you happen to have ANY documentation that can prove you were refunded the money? Also, how did you dispute the account? Did you send a letter to the credit bureaus? Online? Over the phone?

Recently when I started looking to buy a house, the Realtor I was dealing with pointed out that my score is generally okay except for one negative account and that it would really help my score if I could have it cleared.

Your Realtor should S.T.F.U about things she doesn't know anything about. Paying off delinquent accounts WILL NOT IMPROVE YOUR SCORE...unless you get the account removed as a condition of payment.

Now if your Realtor said they wouldn't give you a mortgage with that on your credit report (a very real possibility) than that is different.

So I get really confused because as far as I'm concerned all my bills are ALWAYS paid on time. Came to find out it's the same Verizon account from 2 years ago that I never even used. So I go ahead and disputed the claim, and shortly after I get a response that "after careful consideration including contacting Verizon, it has been proven that the account is indeed yours and the charges are accurate."

Just because you have a delinquent account on your credit report doesn't mean it's actually yours. The Federal Trade Commission has found that almost 50% of consumer credit reports contain inaccuracies severe enough to result in a denial of credit.

So I'm really desperate to clear this mess (after all it's only $289) so I'm thinking I will just go ahead and pay and just clear it from my report. However, I was talking to my colleague today and she told me that paying doesn't really help anything; the negative account will still continue to show on the report and that the only difference is that it will now show as paid. Paying is only admitting that the account is mine and I was truly late on my payment which also doesn't look good. Plus it doesn't help the score anyway. She says I should just continue to dispute the claim.

Your colleague is dead on the money.

So here I am totally confused on what my next steps should be. Any advice, please??

Let us know the answers to the questions I asked above and we'll be able to point you in the right direction.