WARNING: AT&T can now damage your credit rating for 7 years

[JCDudeman]

Mods please do not lock. A lot of people can get hurt.

For a couple of months AT&T Long distance is running a ?trial? in IL and one other state (they did not tell me which is the other one). In IL ATT changed their long-standing policy of not reporting late payments to the Credit Reporting Agencies, such as TransUnion. IL residents might unexpectedly find that their credit score is damaged because of the single late phone bill payment. Utility/phone companied would never do this in the past!

I have actually heard the word ?trial? from one ATT manager. I believe they are trying to see what effect this policy would have on a bottom line vs number of customers where IL is a guinea pig.

They told me they are thinking of expanding this "program" nationwide!

My personal experience was that I did pay my phone bill for two months at a time occasionally and I always was assured that no negative information would be reported. Now they started this ?trial? and this info will be on my credit report andstay there for 7 years! Some BS excuses were given to me; I was told that this ?will improve customer experience with ATT!?

 

[Vegito]

Welcome to the fourm but this will be lock, there is a section for brag and moan and a off topic for this. this is strictly for hot deals and nothing else

Do not reply below this message

 

[JCDudeman]

I am sorry I am new, but I see warnings in this section too. I figured it is because a lot of people hang around here so the serious warnings are posted here. They did not get any warning out and I would like to spread the word ASAP. A lot of people choose to pay the phone bill late. Imagine your credit card rates going to 25% all of sudden two month frrom now! Keeping your good credit rating is a VERY HOT DEAL!

 

[iwearnosox]

Seems like a hot deal to me. But then again I eat with me feet and bark at the moon...

 

[kissdisap]

So long as Verizon doesn't do this...

 

[allisolm]

A lot of people choose to pay the phone bill late.

Well, then, a lot of people can learn to live with the credit rating that comes with that.

 

[tech405]

It seems to me that if you choose to pay your phone bill late (to the tune of 2 months even) repeatedly, you probably do that with other bills as well and deserve whatever shows up on your credit report. If you're unemployed or sick they will work with you. What would you think of your employer if he didn't pay you for two months at a time, repeatedly? I venture that you would be pretty pissed.

 

[JCDudeman]

It seems to me that if you choose to pay your phone bill late (to the tune of 2 months even) repeatedly, you probably do that with other bills as well and deserve whatever shows up on your credit report. If you're unemployed or sick they will work with you. What would you think of your employer if he didn't pay you for two months at a time, repeatedly? I venture that you would be pretty pissed.

I am afraid you are wrong. They will not work with you. The credit reporting is automatic.

It used to be that that ATT would carry over the previous month balance to the new month and add interest as a fee. I called them a few times and confirmed that they do not report to credit agencies and that I can pay late, just paying their fees. That was an agreement.

I would not have a problem with this had an explicit warning been given!

They are not doing this for the moral reasons of moral duty. It is a TRIAL to evaluate the policy effect on the bottom line. Does 1,000,000 IL customers reported VS 1,000,000 TX customers not reported and then lost business VS faster collections compared experiment seems like something to inspire enthusiastic "One must pay on time!" comment?

 

[badluck]

Pay your bill on time and you won't have this problem. I bet they give you 30 days to pay it (after it is due), and then they report you.

Bottom line....pay your crap.

 

[SinMen]

Even if they only give 2 weeks to pay the bill, you still need to pay it on time. If you don't pay on time, you deserved to have your credit history ruined.

 

[knightc2]

I agree that this is kind of harsh. Almost everyone has forgot to mail in a payment or been late at least once. AT&T has been really lax in the past on their late payment policy at least in my experiences. I had a roomate that racked up $1200 calling home to Japan. He moved out and refused to pay his bill. They just kept charging a minimal late fee and adding it to the next bill. This went on for 5 months and AT&T didn't seem to care. Maybe they are finally getting with the program and becoming less tolerant of deadbeats. Like I said, this does seem a little harsh for a one time late payment for them to tarnish your credit. Just my 2 cents.

 

[olouie]

Originally posted by: kissdisap
So long as Verizon doesn't do this...

 

[JCDudeman]

If you don't pay on time, you deserved to have your credit history ruined.

If you are never late on your bills, do not smoke, never drink and started planning for you funeral expenses 60 years in advance more power to you. Please accept my congratulations.

Who deserves what is beyond the scope here.

If they had the policy of not reporting to outside agencies and then started reporting a fair warning should have been given. Then I would switch to Sprint who does not do that.

This thread will serve as such warning to others.

 

[flenn]

No hot deal, just sound business practice. I would expect ATT (and any other service that I use) to have some sort of recourse if I'm a deadbeat. Pay your crap...I just couldn't resist.

 

[kaizersozei]

I want to ask why you sometimes pay your bill for two months at a time.

 

[SinMen]

Originally posted by: JCDudeman
If you are never late on your bills, do not smoke, never drink and started planning for you funeral expenses 60 years in advance more power to you. Please accept my congratulations.

I never pay my bills late, do not smoke nor drink. If I live to 110, I still have about 60 years to plan for my funeral.
Kid, learn to be responsible and you will bill up good credit. You have the habit of paying your bills every 2 months, is that in your contract with ATT too?

 

[daclayman]

I pay my electric/gas/phone bills every two months. I double pay and if I miss a payment, the penalty fee is usually less than the cost of a stamp so I'm up any way. For any company to get so uppity about a 30 day payment schedule is absurd (Discover card....cough). Always remember that YOU are the customer, there is ALWAYS another company that will take your business and possibly provide better service for a lesser cost. AT&T = phooey. Reminds to switch to their LD so I can collect a free $75 and then dump them like the cheap whore that they is.

 

[conlan]

What does drinking and smoking have to do with paying your bills on time? Just curious

 

[TranceNation]

what if you send out your bill, forget a stamp, or it gets lost in the mailing system. Seems to me you will be screwed.

 

[CoolTech]

does this apply for all of AT&T? including cable tv and cable internet services as well?

 

[SLEEPER5555]

I dont understand why you think this is wierd pay your freakin bills and it will not happen, why is that such an odd thing? do you expect to pay your car late, well gee i dont feel like paying my house payment this month do i just skip it? HELL NO!

Originally posted by: allisolm
A lot of people choose to pay the phone bill late.

Well, then, a lot of people can learn to live with the credit rating that comes with that.

i could not agree more!

 

[kaizersozei]

Always remember that YOU are the customer, there is ALWAYS another company that will take your business and possibly provide better service for a lesser cost.

How many local telephone companies does your area have? How many cable companies does your area have? In most parts of the US, the answer to both questions is 1, so no there won't ALWAYS be another company to step in.

I'm willing to bet that if the winners of your auctions payed late you would be furious.

 

[Miramonti]

This is a pia that they will now be reporting this and it should be illegal. Its absurd that a stupid utility bill will get the same emphasis on a credit rating a a car loan or credit card. Those accounts loan you money thus the credit report for the credit card. ATT is not loaning anyone any money and they should have no right to report late payments to a credit agency.

 

[mintyfresh]

jjsole, a credit card isn't the only way to get credit.

A CREDITOR is anyone who provides you goods or services under contract for payment. You don't need a credit card to do this.

People should stop crying evil and illegal because they don't understand things. Pay your bill on time. If you can't handle the rote task of open statements, writing checks, and mailing them, then perhaps you should log on to their sites and do automatic credit card payments. Then you can take your own sweet time paying them and wasting your money on interest.

 

[yodayoda]

Originally posted by: jjsole
This is a pia that they will now be reporting this and it should be illegal. Its absurd that a stupid utility bill will get the same emphasis on a credit rating a a car loan or credit card. Those accounts loan you money thus the <STRONG>credit </STRONG>report for the <STRONG>credit </STRONG>card. ATT is not loaning anyone any money and they should have no right to report late payments to a credit agency.

well, that is not entirely true. unless you prepay for your long distance, you are in essence using your telephone on credit until you pay for the services after the fact. granted, the amount of service (usually less than $100) is smaller than a home mortgage or car loan, but it is "credit" in its own way. but really, i don't see how screwing customers improves customer service, but if AT&T wants to drive business away, that is their business to do so.

about the lack of competition, you are correct--1 is the number of local analog phone and cable providers. but you do have some options. instead of cable, you can go dish with lots of options. you can go digital phone from your cable company instead of your phone company. you can go to all cell phone and forget the ground line all together. you can go DSL instead of cable modem. so you do have some options =)