Long Distance Telephone Service Debt

[dididudu]

Hi Guys, any idea would be appreciated. Here's the case:

one year ago, a long distance phone company called my home and spoke to my mother (in a foreign language cause she doesn't speak English very well) about a long distance phone plan. My mother agreed to the plan without letting me know (I was away on a trip at the moment). The company has switched the service without my agreement, I didn't want the hassle of switching back upon my return. Therefore we used the new long distance phone company for a period of time. and I paid the bill using my credit card online.

Then in the beginning of this year, I used the service for one week (total of $4.82), and left for a long holiday (4 months), when I came back from my trip, I found my bill went up to $23.39. I then learned the company has been charging a $4.99 + tax monthly late fee. I checked with the company and they said it is written on the back of the bill which I have never read (I paid via online bill since the start). So I immediately switched to another long distance phone company and refused to pay the accumulated late fee. I offered to pay the full amount of my long distance usage ($4.82) plus a reasonable amount of interest accumulated over the months, but got refused by the company. They have been kept mailing me a new bill each month with a $4.99+ fee for the last few months (even after I switched to another company). I'd like to know what can I do at this point. It's not just about the $40+, I don't think they have the right to charge their customer a penalty fee without their original agreement and almost 200% of the actual service usage.

Your suggests are much appreciated!!!

 

[calalily]

Eventually it will be sold to a collection agency and probably has already been reported to the credit reporting companies. Forget principals, pay the bill. As long as you refuse to pay the late fees and interest will continue to build and before long $40 will be $400. Also, tell your new phone company to add to your account that the long distance carrier cannot be changed unless you tell them in writing.

 

[dididudu]

Hi Calalili, thanks for the reply. You are right, it's the principals getting my way. But just out of curiosity, can they actually sue me when there has been no written agreement from the beginning? Besides, can they still charge me with monthly late payment fee even I am no longer their customer?

 

[Michael Wechsler]

Which company are you using? You may want to find out if there have been other complaints about their practices, not uncommon in the industry. If the size of the bill is very small, see if you can settle it in full as the cost in time, effort and frustration may not be worth it. With regard to the late payment fee, you have to see what is written on your agreement. Is there a financing arrangement? Etc.

 

[dididudu]

hi thelawprofessor. thanks for your reply. As stated above, it's not just a money thing, but rather a principle thing. The company has no written agreement nor contract from any of my family members. They simply switched my long distance service from the previous company with a "yes" from my mom who doesn't even speak English well. I wonder if they even have a case?! Sure they can sell this to a collecting agency, but so what? I am willing to risk my credit rating over this stupid company. I will also file all the complaints against the company on all consumer's protection networks... Any more ideas would be greatly appreciated!

 

[calalily]

The problem with fighting them is that you kept the service for a few years and did not immediatly report it as slamming. The fact that you kept the service without complaint implies that you accepted the service. You will not win. You will owe all and the late fees as you are late with the payments whether or not you no longer have the service. You used the service, you owe the money, and it is as simple as that. Saying two years later you didn't want the service is not a defense.