What to do if…
a closed account is sent to collections and you believe it is a billing error

What to do now

1. Save the notice and gather the records for the closed account.
   Keep the collection letter, envelope, emails, text messages, screenshots, and call details. Gather any closure confirmation, final statement, payment receipt, bank or card record, and service-cancellation message. Make a short timeline with the closure date, any final payment, and the first collection contact.

2. Check that the contact is genuine before sharing information.
   Use a phone number or website from an official statement, your account portal, or the provider’s verified website. Do not rely only on contact details given during an unexpected call. Ask for the collector’s name, mailing address, the current creditor, the account reference, and the amount claimed.

3. If a debt collector is contacting you about a personal, family, or household debt, send a written dispute promptly.
   Validation information is generally provided in the initial communication or within five days of the first communication. Once you receive it, check the end date for the 30-day dispute period. A written dispute sent within that period generally requires the collector to pause collection of the disputed debt or disputed portion until it sends verification responding to the dispute. You can still dispute the debt later, but those specific protections may not apply in the same way.
   State:

   • “I dispute this debt because I believe it is a billing error on a closed account.”
   • “Please provide verification of the debt, an itemized breakdown of the amount, and the name and address of the original creditor if different from the current creditor.”
     Keep a copy and proof of delivery. You can consider certified mail with a return receipt.

4. Dispute the billing error directly with the original provider.
   Ask for the closure date, final itemized bill, service dates, payments, credits, fees, and any charges added after closure. Send copies of the records that support your position. Ask the provider to correct its records and, if appropriate, notify the collector or withdraw the account from collections.

5. Check whether the collection account appears on your credit reports.
   Get your reports from the official source in Additional Resources. If the item is inaccurate, dispute it with each credit bureau showing the error and with the company that supplied the information. Explain what is wrong and send copies, not originals, of supporting documents. Keep copies of everything you submit.

6. Use the CFPB complaint route if the issue remains unresolved.
   A CFPB complaint may be appropriate if a collector or company continues trying to collect an amount you dispute or continues reporting information you believe is inaccurate. For a credit-report error, use this route after disputing the item with the credit bureau. Attach your short timeline and the most relevant supporting records.

7. Respond promptly if you receive court papers.
   Use the deadline stated in the papers. A debt-collection case can move forward if you do not respond. Seek legal help promptly if court papers arrive or if you are unsure how to respond.