collection agency said i was in refusal to pay what that mean?

Question

A collection agency called me and told me that i was being labled as "refusal to pay". I owe them $788. They also told me to have fun for the next 7years. I live in Illinois how will this affect me?

Answer 1

If you owe them money, they probably sent a collection out for it and I believe after the 3rd notice if you dont pay/contact them they mark you as "refuse to pay" and they take further action. You should contact the creditor and try to work something out if you cant pay it right now, but it might be too late to do all that.

Answer 2

You have to ask yourself why haven't you paid the money?

If you are refusing to pay it, then you will be labelled as such.

If you are challenging the validity of the amount, then you should have done that long before it got to this point.

This will show up on your credit report and will make it much tougher for you to ever get credit, a job, an apartment or insurance.

You are much better off taking immediate action to acknowledge that you are going to pay off the balance and begin to make good faith payments on it right away.

It is an obligation you entered into when somebody gave you something you didn't have at the time in the good faith expectation that you would pay it back and you didn't.

You can turn the corner and start making good (which will be a good sign to potential future lenders), but you have to start now.

Answer 3

They are talking about a term that will now appear on your credit report. Anyone who checks your credit will see that you have one count of "refusal to pay". On seeing this, anyone who was thinking of extending you credit, whether credit card, car loan, house mortgage etc, will probably decide not to because they will see you as a high risk. If nothing is done, meaning if you don't pay the bill, start legal proceedings, etc. the "refusal to pay" label will effect your credit rating for about 7 years. Now if you aren't paying the bill because of bad service or some complaint about what you bought then go to a lawyer or contact the credit bureau and dispute the charges because this will also show on your credit report and it will say "refusal to pay but under dispute" and this will change the attitude of the person reviewing your report. But be prepared to have them ask you about it. "We see you have a "refusal to pay"? "Yes. I hired a plumber to fix the sink and the toilet exploded. I'm disputing his bill and asking for damages."

Answer 4

they are reporting it to the credit bureaus as an obligation you owe but are refusing to pay vs disputing the actual owing of the debt. It adversely effects your credit and stays on your credit for the next 7 yrs. If you dispute the debt then you can write to them and and so state or write the cr bureaus and so state.

If you actually do owe it and don't pay it your credit score decreases and will cause you to pay higher interest rataes in the future on loans if you even qualify for them. If you owe it...Pay it.

Answer 5

it means that if you di=on't pay within a certain amount of time that they automatically assume you are refusing to pay them and seven years is the amount of time that Illinois allows a "bad" credit mark to saty on your credit report, so if you go to finance a car or home , it will show up on your report...did ya ever call them? try it and set up a payment schedule! Just don't blow it off...bad way to start out.

Answer 6

Refusal to pay means you did not pay and did not make payment arrangements. It will affect your credit for 7 years.

Here is some additional info. Hope this helps.

Answer 7

your credit it is screwer, they can pursue litigation to collect on your paychecks and you will receive numerous harassing phone calls, its a good idea to pay.