Legal Question in Consumer Law in California

Wrongful collection on credit report

When I moved, the cable modem for my internet was misplaced and I ended up paying the $70 fee for it. However, the company made a mistake and sent it to collections anyways.

This caused a 200 point drop in my otherwise spotless credit. When I went to refinance my house, the lender would not give a good rate because of this ding.

I could have gone from a 6.875% interest rate to a 4.875% interest rate, which would have saved me $1000 a month. Now, interest rates are over 5.5% and I still cannot refinance at a good rate because the collections company still hasn't sent a letter to the lender explaining the error.

In my mind, the cable company is liable for damages because of their negligence. Their error equates to an extra $100,000 or more over the life of the loan.

Do I have a case against the cable company and/or the collections agency?


Asked on 6/13/09, 2:57 pm

1 Answer from Attorneys
Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

Re: Wrongful collection on credit report

You may have a case for violating the debt collection and/or fair credit reporting laws, what did you do as far as informing the creditor and collection agency in writing? If all you did was make phone calls I doubt there's much of a case.

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Answered on 6/13/09, 3:39 pm


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