I was contacted by a collection agency who has purchased my "loan" from a credit card company. I had disputed payment on this loan for a motorcycle for breach of contract by the manufacturer to honor it's warranty. Anyways, I haven't made any payment against this loan. Not one cent. The short end of it is that the credit card company ignored my correspondence, threatened to take possession of another bike I bought through them for which I paid in full and own title to, and then assured me of a buy back by the dealer. So after 2.5 years, I have this collector making an offer to accept $5,000 of the ~$8,500 in dispute. In exchange, my credit would show "paid in full" on a "transfered" loan and I would receive title to the motorcycle. I have no blemish on my credit report prior to this issue. In fact, it shows great credit history on large sums of money. Is this an equitable solution and will this agency really give me title to the bike?
RE: Can I trust this collectio First off, unless they had a conspicuous cross collateral clause in their contract, they would not be able to take one loans security for another. Secondly, I would try for way less. I'd say about 3800.00 would be a good offer given the warranty circumstances. If the collector won't agree then threaten a bad faith claim. If they try to say it is too late to do a bad faith claim against the company, then tell them it is affective from date of discovery. You discovered their unwillingness to hold up the warranty when it was assigned to the agency. If the collector agreed to 5k then he would really agree to 3500. Hold out, get the offer in writing wherein they agree to release the tile, and get a written promise of how this will affect your credit. NEVER take their word for anything. I know- I was one for many, many years. Ps: This is not legal advice, just my opinion. Houston wrote: ------------------------------- I was contacted by a collection agency who has purchased my "loan" from a credit card company. I had disputed payment on this loan for a motorcycle for breach of contract by the manufacturer to honor it's warranty. Anyways, I haven't made any payment against this loan. Not one cent. The short end of it is that the credit card company ignored my correspondence, threatened to take possession of another bike I bought through them for which I paid in full and own title to, and then assured me of a buy back by the dealer. So after 2.5 years, I have this collector making an offer to accept $5,000 of the ~$8,500 in dispute. In exchange, my credit would show "paid in full" on a "transfered" loan and I would receive title to the motorcycle. I have no blemish on my credit report prior to this issue. In fact, it shows great credit history on large sums of money. Is this an equitable solution and will this agency really give me title to the bike?
A one-time offer? Wow! I made this guy a counteroffer and he sounded just like a used car salesman! Offer is good for only one time per faxed proposal. "Already got in trouble with my boss for offering a lower buyout price on another guy." "Take the offer or get sued!" Buyout proposal does state that the offer is a final offer. I've heard this from car salesman before, but it's only the first proposal. Is this for real or is this just another ploy? Help, please.
