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Call Kurtis: Stiffed with Former Company Cell Bill

She turned the phone back in when she left the job in 2008. So should an unpaid bill from company cell phone hurt her credit?

"It shouldn't fall to the employee who is no longer with the company," says Letha Dawson, Lincoln resident.

But a $76 charge for her company phone haunts Letha two years after she left her job. She had no idea of the outstanding charge until she went shopping for a new home.

"My credit had dropped from 750 down to 670... and such a precipitous drop, I couldn't imagine what had caused it," says Letha.

Her former company, Concrete Chemicals of San Carlos, always paid the bill. She turned the phone in when she left.

She called Concrete Chemicals to see why this bill wasn't covered and says they wouldn't return her calls or emails. So she paid off the outstanding debt, then learned the late charge would stay on her credit report for seven years!

"I was shocked. I just couldn't believe it," says Letha.

"Well what's happened here is hard to undo, to tell you the truth," says Linda Sherry, National Priorities Director, Consumer Action.

Linda says before you accept any company issued product, ask your boss if you're personally liable. If they say yes...

"My impulse would be to say, I'm not so sure I need this, what I'll do is I'll use my own personal products and I will ask for reimbursement if that works for you," says Linda.

Letha does remember when she got that company cell phone, she gave her social security number to Verizon.  Something she thought was harmless at the time.

We contacted Concrete Chemicals' president, Steve Hay.

He tells us he tried to cancel Letha's Verizon account several times but because it was under her name, he couldn't.

He acknowledged receiving her calls and emails but couldn't explain why he didn't return them.  In June, the company stopped paying the bills.

Verizon wouldn't give us any specifics on this case. But Verizon does say you should not supply your social security number for a company phone. Instead give your company's federal tax ID.

Letha says Verizon called her, saying they'd remove the negative marks from her credit report.

"I would feel good.  I would feel vindicated or corrected or feel the right thing had been done," says Letha.

Letha checked with all three credit agencies and her history is now clear of any negative ratings. Before you leave a company, make sure there are no outstanding bills and call the cell provider to make sure the phone isn't in your name.

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