Consumer complaint received 09-09-2016 about Debt collection (Other (i.e. phone, health club, etc.)) with Source Receivables Management LLC (CA).
Issue: Cont'd attempts collect debt not owed
Sub-issue: Debt is not mine

Complaint: Source Receivables Management is currently attempting to collect a debt on behalf of XXXX. However, I believe the debt is not valid because XXXX voided the terms of our contract by misleading me to believe that my monthly bill would be lower than it actually was. 

XXXX XXXX 2014, my 2-year contract with XXXX was ending. At that time, XXXX was advertising an " Unlimited {$60.00} '' plan and I was considering switching to that plan from my " Every Data 450 '' plan. 

XXXX suggested that there could be monthly fees of up to {$35.00} associated with the " Unlimited {$60.00} '' plan, in addition to the base cost of {$60.00} per month. Prior to switching to the " Unlimited {$60.00} '' plan, I confirmed with several XXXX employees over the phone and through an online chat service that the $ XXXX monthly fees would not apply to me. I decided enter a new contract with XXXX, purchased a new phone at a price less than retail value being offered to customers entering new and renewed contracts, and switched to the " Unlimited {$60.00} '' plan. 

When I received my first bill, a monthly fee of {$35.00} was applied in addition to the base cost of {$60.00} a month. I contacted XXXX and explained that the $ 35 monthly fee should not apply to me, as multiple XXXX employees had told me prior to entering the contract that the fee would not apply. I also suggested that I would return the phone and we could terminate the contract. I offered these solutions to a XXXX employee over the phone and in the online XXXX XXXX forum. My conversation with a XXXX employee in the online forum has since been deleted. 

I believe XXXX voided because, despite the fact that several employees suggested I would not be charged a $ 35 monthly fee in addition to the base cost of {$60.00}, XXXX still applied this fee to my account. I made several good faith attempts to resolve this problem, but XXXX was unwilling to agree to the solutions I offered or to offer alternative solutions. When it became apparent that XXXX was unwilling to abide by the terms of the contract, I ported my cell phone number away from the service. 

At this time, XXXX is requesting I pay {$820.00} in cancellation fees and for the phone I purchased, which I was unable to use with any other cell service. XXXX has referred my account to a XXXX Receivables Management, which is reporting the debt to credit reporting agencies. I do not believe I am obligated to pay XXXX because XXXX failed to provide service according to the terms of our agreement. I also believe that reporting this debt to credit reporting agencies is a violation of the Fair Credit Reporting Act. 

I sent a letter to Source Receivables Management in XXXX detailing my complaint and included evidence. I requested that Source Receivables Management cease reporting the debt to credit reporting agencies. However, Source Receivables Management was unwilling to do this.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation