Hi All! I hope you all can help me. Ok, here's my situation: On my EQ report states that I owe 6263.00 to Risk Management for Ford Motor Credit for a repo'ed car,last reported 1/00 and states that it is a monitored account (?). But paid a settlement offer of 3000.00 in 4/00. But on my TU report states Ford Motor credit states I owe 6398.00, charged off bad debt. It also has a verified date of 3/99. I'm sorry, I'm new to this and trying to understand my rights and making sure I'm going about it the correct way. First I was going to send a validation letter to Risk Management, wait the 30 days,no reply then send an estoppel letter. ??? Please correct me if not the way to go. After all that and no response send verification letter to CRA's. I really would like to get some violations on these guys too because it was settled 2 years ago. Denials, interest rates, etc. Doing the same for Ford motor credit. (sending letters) Now as far as I know this account was sent to another CA in 6/00 when it was already settled, in which they checked my credit report. New CA was Allied Interstate. After talking to Ford Motor Credit and Allied Interstate they both say UNPAID. They tell me to fax proof which is now the third time. 1st and 2nd time faxing they say they never received. Unable to contact Risk Management. Any suggestions?? Ideas?? Basically send proper letters and wait, right? Thanks in Advance! Momof5
First, you should have a copy of the paid settlement offer that looks something like this: Date: Creditor Address City, State, Zip Re: Account Number Dear Sirs: This letter is an offer to amicably settle the above account. It is not to be construed as an acknowledgment of my liability for this debt in any form. -------------------------------------------------------------------------------------------------------------------------------- I will pay your company the amount of $____ as full settlement of this account. If you accept this agreement, I will send you a money order or certified cashiers check for the settlement amount of $______ in exchange for a full deletion of all references regarding this account from my credit profile and full satisfaction of the debt. This agreement is binding and will be void should you not hold up to your end of the agreement. Furthermore the debt will be deleted from my credit profile at all three credit bureaus or the bureaus your company regularly reports to in the course of doing business. If you agree to the above, please acknowledge with your signature and return a copy to me. Upon receipt of this signed acknowledgment, I will promptly send you a money order or cashiers check in the amount stated above. Notice: This agreement is restricted. This is not a renewed promise to pay but rather a restricted settlement offer only. By not signing below, you agree that the debt has not been renewed nor has any concrete written agreements been exchanged. Creditorâ??s Authorized Signature: _____________________________ Date:____________ Name Title : Sincerely, -------------------------------------------------------------------------------------------------------------------------------- Second, Don't Fax's anymore. Send a certified return recite requested letter to Risk Management for Ford Motor Credit with a copy of the account settlement letter. Ask them to update with TransUnion. At this point it may be to late to have the account be listed as positive but it should say Paid, 0 balance. Third, You could send an Estoppel letter to TransUnion with a copy of the account settlement letter. "An estoppel letter is basically telling them that they cannot ignore your lawful request for proof and still keep verifying it as a valid debt to the credit bureaus. Estoppel letter = Either provide the proof or delete it from my credit reports. This is your last chance to respond before I file in small claims court." Forth, send a letter to Risk Management for Ford Motor Credit and to Ford (perhaps CEO), via Planet Feedback.com (http://planetfeedback.com). Fifth, send the following letter to Allied Interstate. -------------------------------------------------------------------------------------------------------------------------------- (your name and address) ATTN: Legal Department (collector/creditor name & address) (date) Re.: Settlement deadline: (date) Account # .... -- To Whom It May Concern: After numerous calls (list your calls, who you spoke with) you finally checked your records and realized that I never owed you a penny. You reported on my credit reports in ERROR. This is a WILLFUL violation of the FCRA, as I never owed you and you KNOW that. I am hereby offering to settle prior to legal action with the following terms: 1) You immediately delete these accounts from all my credit reports and fax to me your bureau notification to (your fax). I have impeccable credit and have been declined credit due to your reporting. Sincerely, (your name) -------------------------------------------------------------------------------------------------------------------------------- Next time bye a used car for cash. Good luck.
Erik, Thanks for your response. Problem with this is everything was done by telephone. I never received any paper work from Risk Management, only have cashed check receipt from bank. Trying to figure all this out I was going through all paper work on htis account and found a letter from; FMC - Financial Management Control (I think is now Allied Interstate???) Stating, This letter is confirming of our conversation dated June 13,2000 (I never did), whereby our office has been authorized to accept the lump sum in hte amount of $3000.00 on behalf of the above referenced client as settlement in full. Our receipt of this payment amount relieves all financial responsibilities on hte above mentioned account only. Being that the remaining balance after your payments is greater than $600 Ford Motor is required by law to report that amount to hte IRS. You will receeive a 1099-C form. (I never received such form) Director of Operations Problems with that is 1st- never spoke to them on that date, only spoke to them a couple of months ago.Stating not paid. First time. 2nd- This was settled in April with proof of cashed check with Risk Management. At the time all this happened we were moving into new home and things were hectic and never really paid much attention to the company names. So do I still do the same, send out valadate letters to Risk Management and Ford since they are the only ones reporting on records. Hell even the letter I have shown above has no name, no address, no number. Looks like it is a photo copy as well. Confused!!Thanks Momof5
Well you have a letter stating debt settlement (settlement if full). Congratulations. Use that letter to follow the steps I outlined. If anyone else has an idea please chime in. The 1099-c form is a legitimate side issue. The amount of debt forgiven by them is income to you. Good luck.
