Do I Have The Right To Know How A Debt Is Calculated
Q: A utility company instructed a debt collection agency to collect an outstanding balance dating back to summer last year. I received no communication regarding any debt and believed the account settled until I received a demand letter from the agency. The debt seemed excessive for the period in question. On discussing the matter with the utility company we established the debt is based on a faulty estimate. The company agreed to re-calculate the debt and send me a revised bill. Apparently it has not yet made the agency aware of this, and a working week has almost passed - this is annoying given the agency is threatening 'legal proceedings'. On calling the utility company it says it will take up to four weeks to send out a new bill and inform the agency. In the meantime the agency occasionally call me regarding payment of the original debt. Luckily the people at the agency seem reasonable for now, but I am having to spend lots of time on the phone with both companies. I have the impression that if I do not remain in daily contact with the agency they will start legal proceedings because the utility hasn't yet informed them of the situation. Questions: 1. Do I have a right to be told in writing how the debt is calculated (the maths explained to me over the
A: To take legal proceedings they would have to be able top prove the debt. Without the utility company confirming that level of debt that would not be possible. They are not going to issue proceedings and you don't need to phone them every day. It would be reasonable to receive proof of a disputed debt prior to them issuing proceedings for it. Yes, though it may gain you nothing more than a quieter few weeks .