New York Consolidated Laws, General Business Law - GBS § 703. Notice of error and response

1. Not later than thirty days after receipt of the notice, mail a written acknowledgment to the consumer;  and

2. Not later than ninety days after receipt of the notice and prior to taking any action to collect the amount believed by the consumer to be a billing error, (a) make appropriate corrections in the account of the consumer and mail to the consumer a written notice stating that the amount believed to be in error has been corrected and will be shown on the next statement mailed to the consumer or (b) send a written notice to the consumer setting forth the reasons why the creditor believes the account of the consumer was correctly shown in the statement;  and

3. Not communicate unfavorable credit information concerning the consumer to any person, including but not limited to credit bureaus or credit reporting agencies, based upon the consumer's failure to pay the amount believed by him to be a billing error, until the creditor has complied with this section.