Credit

[NiTeFiRe]

So long story short my friend helped out another friend by signing him up for a cell phone under his name since he wasnt old enough or something. Well now the bill's 6 month's past due, will it affect his credit rating by a lot?

[Chrispy]

Cellphone accounts with the major companies (Rogers, Bell and Telus) sit on your credit file as a revolving account....if you were to see your report, it shows the current account balance, the amount of payments missed, and a delinquency report/rating...

So in short, yes, it will negatively affect someone's credit rating...although not as serious of an impact that a credit card would, still not something i'd want on my file

[rcdraft]

6 month's past due.. That's pretty serious considering most companies are on a monthly cycle. I would suggest your friend call the phone company, cancel the service and make arrangements for repayment. I use Equifax.ca, good info; http://www.equifax.com/EFX_Canada/consumer_information_centre/faqs_e.html

[Rustynut]

So long story short my friend helped out another friend by signing him up for a cell phone under his name since he wasnt old enough or something. Well now the bill's 6 month's past due, will it affect his credit rating by a lot?
Actually your friend that co-signed will have his credit rating blemished as he is also responsible for payments when it comes down to it. Seems to me to be no different than a loan for which you co-sign, if the account is in default, the co-signer is obligated to make payments or risk his own credit rating.

[Swordfish]

If its 6 months past Due I would pay it then cancell it and go after the friend in question for the money he did promise to pay monthly? thats a verbal contract if he did.

Your credit is nothing to mess with.

[Lesley]

Since the "friend" was underage it might be worth a shot to go to his parents to see if they'll help out with the bill. It's unlikely but at this point since he's liable for the whole thing there's not much to lose by trying. A lesson learned the hard way I fear.

[NiTeFiRe]

Hmm yea :(, it was with Fido by the way. Good thing it wasnt credit card , although this is still bad..

[Swordfish]

NEVER loan anyone your credit card no matter how much they say they will pay you back.

[Taz]

Hmm yea :(, it was with Fido by the way. Good thing it wasnt credit card , although this is still bad..

It will affect the co signers credit, if he goes to get another cell the provider will likely require a security deposit. Something like this can even affect your regular checking account. The bank sees a non payment history and can put a hold on all ATM deposits for several business days until the cheque clears.

I suggest you friend call the cell provider cancell the phone and make arrangements to clear up the bill. If left alone it will go into collection which will look very bad on your friends credit file.

[Mouse]

Since the "friend" was underage it might be worth a shot to go to his parents to see if they'll help out with the bill.
Maybe 'his' parents knew better, and had refused a cell.

This mess is not of their making. Let the kids work it out.

[BillD]

If I read correctly, he didn't co-sign, but rather put the phone in his name, making him liable and also a little foolish.

[Mouse]

Bill, you are a kind man. :)

[Chrispy]

Um,I just thought of one thing....the bill is 6 months past due?

Then its been sent to collections.....definitely....what address is on file of the account for mailing....i'm guessing his? So yeah...he's no doubt received mail correspondance from a collections agency.........i'd DEFINITELY check into this like NOW....if its your name attached to all of this, the longer you wait, the more it will hurt....

[NiTeFiRe]

Yea its a couple of my friends, didnt know it was this bad.He's paying it off tuesday when the bank's re-opens.

[NiTeFiRe]

Hey I thouht Equifax Canada is suppose to offer free credit reports when requested? But I checked there site and can't find anything on free reports..

[Chrispy]

Hey I thouht Equifax Canada is suppose to offer free credit reports when requested? But I checked there site and can't find anything on free reports..

Free credit reports by snail mail...if you want to see it instantly, you gotta pay for it. Same with Transunion

[SuperFriend_XP]

Cool :) I sent out a request right now