so i received a letter from nco stating that i owe $29.95 to 1&1 internet inc. I signed up for 5 free one year .info domains a little over a year ago. i had forgotten all about the domains because they were free and i just signed up. i found out they emailed me saying that my credit card is about to expire and that if they can't charge my card, my services will be stopped. knowing that i won't be using the domains anymore, i didn't update my credit card information. but it turns out they automatically renewed my domains and is now seeking payment through NCO. i don't feel like i owe them anything, especially since they knew my credit card was expired and said the services will be suspended. what should i do now? my credit is perfect and $29.95 isn't much. but the fact that 1and1 never told me about this doesn't bode well for me.
Pay the bill: it's not worth the fight, and what will you gain. There must have been something in the fine print with your service agreement regarding automatic renewal. I understand that you forgot about the service, and paying, but normally you would put a cancellation notice in writing to the provider. Your best bet is to pay it, and make sure it doesn't report on your credit reports. Then write it off to "lessons learned".
Request validation from NCO in writing and dispute any tradeline they have reported on your reports, if any. Insert a provision within your written request for validation that you have disputed the amount of the debt with the original creditor and that if they (NCO) subseqently report any account tradeline after receipt of your communication, you will institute a civil action against them. CC your state attorney general. With two weeks you will receive a letter from them stating the account has been closed and returned to the original creditor. There will be no tradeline insertion and you save roughly $30.00.
It is in the customer agreement that domain names are re-registered UNTIL CANCELED by the customer. It's as easy as logging in, selecting the domain names, and click to cancel.
I agree that NCO would delete. However, even a certified letter costs over $4.00. Just comes down to what your time is worth I suppose. Let us know how it turns out if you validate.
