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being charged for modem i returned

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Century link could not carry service to my new house so after returning the moden with the mailing labels they sent me i get a rather large bill of 108 dollars. I contacted centurylink and explained my situation. I was told that they had just recieved the modem and that yes it took a while for it to be put into the system but that no money was actually due. 2 months letter i get a bill from there collection agency for the same amount. I am on the verge of taking centurylink to court over this because now they have caused long term damage to my credit even though i did exactly what i supposed to

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