Home > News > Yikes! Woman Gets $153,000 Bill From Debt Collector

Comments 0 Comments

A Texas woman says she has been dealing with a debt collection fiasco for months, all because of a clerical error.

The woman, identified in the local news report by only her first name, Yolanda, said she received a debt collection bill for $153,000 in September and has been struggling ever since to figure out why she’s being hounded for such a large sum.

“I feel like I’m at the end of my rope and I don’t know what else to do,” Yolanda told the local NBC affiliate, News 4 San Antonio. “I looked at it, and I almost had a heart attack.”

The bill came from a former residence, which she moved out of a month before her lease ended after she experienced a break-in. Yolanda said she thought she left the apartment complex on good terms.

Yolanda described a frustrating experience with the debt collection agency, in which she says she was transferred repeatedly every time she called, getting no answers to her questions. Exhausted by being the metaphorical hot potato, Yolanda asked News 4 San Antonio to help her get to the bottom of her six-figure debt.

A manager from the apartment complex told News 4 San Antonio the collection figure was “the result of a clerical error,” and called the collection agency to fix the problem: Yolanda’s debt is $1,530, not $153,000.

Yolanda’s experience reflects common sentiments among people dealing with debt collectors — that it’s stressful, overwhelming and confusing to understand the origin of an unexpected debt collection account. Getting answers often requires persistence and sometimes benefits from a little outside help. As frustrating as it may be, battling for information is worthwhile, because the consequences of having a collection account on your credit report can be severe, like limited access to loans or trouble finding a place to live. The sooner you can address the debt, the better. (You can check your free annual credit reports for collection accounts and you can see if a collection is impacting your credit scores for free on Credit.com.)

When you receive a notice from a debt collector, request a validation letter detailing the source of the debt, and follow up with the original creditor or company you were doing business with to make sure the collection account is accurate. Once you’ve confirmed you owe the debt, make a plan to repay it or, if you can’t afford it, see if you can settle the debt for less.

More on Managing Debt:

Image: istock

Comments on articles and responses to those comments are not provided or commissioned by a bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by a bank advertiser. It is not a bank advertiser's responsibility to ensure all posts and/or questions are answered.

Please note that our comments are moderated, so it may take a little time before you see them on the page. Thanks for your patience.

Certain credit cards and other financial products mentioned in this and other sponsored content on Credit.com are Partners with Credit.com. Credit.com receives compensation if our users apply for and ultimately sign up for any financial products or cards offered.

Hello, Reader!

Thanks for checking out Credit.com. We hope you find the site and the journalism we produce useful. We wanted to take some time to tell you a bit about ourselves.

Our People

The Credit.com editorial team is staffed by a team of editors and reporters, each with many years of financial reporting experience. We’ve worked for places like the New York Times, American Banker, Frontline, TheStreet.com, Business Insider, ABC News, NBC News, CNBC and many others. We also employ a few freelancers and more than 50 contributors (these are typically subject matter experts from the worlds of finance, academia, politics, business and elsewhere).

Our Reporting

We take great pains to ensure that the articles, video and graphics you see on Credit.com are thoroughly reported and fact-checked. Each story is read by two separate editors, and we adhere to the highest editorial standards. We’re not perfect, however, and if you see something that you think is wrong, please email us at editorial team [at] credit [dot] com,

The Credit.com editorial team is committed to providing our readers and viewers with sound, well-reported and understandable information designed to inform and empower. We won’t tell you what to do. We will, however, do our best to explain the consequences of various actions, thereby arming you with the information you need to make decisions that are in your best interests. We also write about things relating to money and finance we think are interesting and want to share.

In addition to appearing on Credit.com, our articles are syndicated to dozens of other news sites. We have more than 100 partners, including MSN, ABC News, CBS News, Yahoo, Marketwatch, Scripps, Money Magazine and many others. This network operates similarly to the Associated Press or Reuters, except we focus almost exclusively on issues relating to personal finance. These are not advertorial or paid placements, rather we provide these articles to our partners in most cases for free. These relationships create more awareness of Credit.com in general and they result in more traffic to us as well.

Our Business Model

Credit.com’s journalism is largely supported by an e-commerce business model. Rather than rely on revenue from display ad impressions, Credit.com maintains a financial marketplace separate from its editorial pages. When someone navigates to those pages, and applies for a credit card, for example, Credit.com will get paid what is essentially a finder’s fee if that person ends up getting the card. That doesn’t mean, however, that our editorial decisions are informed by the products available in our marketplace. The editorial team chooses what to write about and how to write about it independently of the decisions and priorities of the business side of the company. In fact, we maintain a strict and important firewall between the editorial and business departments. Our mission as journalists is to serve the reader, not the advertiser. In that sense, we are no different from any other news organization that is supported by ad revenue.

Visitors to Credit.com are also able to register for a free Credit.com account, which gives them access to a tool called The Credit Report Card. This tool provides users with two free credit scores and a breakdown of the information in their Experian credit report, updated twice monthly. Again, this tool is entirely free, and we mention that frequently in our articles, because we think that it’s a good thing for users to have access to data like this. Separate from its educational value, there is also a business angle to the Credit Report Card. Registered users can be matched with products and services for which they are most likely to qualify. In other words, if you register and you find that your credit is less than stellar, Credit.com won’t recommend a high-end platinum credit card that requires an excellent credit score You’d likely get rejected, and that’s no good for you or Credit.com. You’d be no closer to getting a product you need, there’d be a wasted inquiry on your credit report, and Credit.com wouldn’t get paid. These are essentially what are commonly referred to as "targeted ads" in the world of the Internet. Despite all of this, however, even if you never apply for any product, the Credit Report Card will remain free, and none of this will impact how the editorial team reports on credit and credit scores.

Your Stories

Lastly, much of what we do is informed by our own experiences as well as the experiences of our readers. We want to tell your stories if you’re interested in sharing them. Please email us at story ideas [at] credit [dot] com with ideas or visit us on Facebook or Twitter.

Thanks for stopping by.

- The Credit.com Editorial Team