Legal Question in Credit and Debt Law in Michigan

Cancellation Fee

I have a merchant Service company that is telling me that they are going to put a cancelation fee of $250.00 on my experian credit report because I had to close my business not money and so I canceled the credit card service and I own them nothing else: but they want this 250.00 for canceling my account before a the time was up.

I guess my question is can companies put ......

*Finance Charges

*Service Charges

*Cancellation Fees

and such on your credit report?

I for some reason was under the assumption that

they can only put actual borrowed, charge or such money that is owed on your credit report.

Please help!!!!

Please Advise!!!

What can I do about this, do I have any thing legal that I can say to these people to stop them threatening me about this charge to my credit report.

Also, This situation is under my business Federal Id Number which is linked to an L.L.C Company, can they put this on my personal credit report?

Again Please Advise.

My email Address which is what I monitor most of the day is [email protected]

Home number that I am not usually at is 810-850-6604.

I greatly appreciate any help that you can give me.

Sincerely,

T. Panizzoli


Asked on 12/04/07, 8:12 am

1 Answer from Attorneys
Renee Walsh LawRefs Nonprofit

Re: Cancellation Fee

You must look to the terms of your contract. If you legally owe the money even it is a finance charge or late fee, the creditor can legally report any money owed. Furthermore, depending on the capacity in which you signed, the negative report can affect you either alone or in conjunction with your LLC. Just because you have an LLC however, doesn't mean that your personal credit will affect the credit of the LLC.

Negative comments on your credit report can be disputed and you are entitled to include an explanation.

If you would like further information or assistance, please contact me via my website at www.lawrefs.com or directly via my email below.

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Answered on 12/04/07, 2:18 pm


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