I am working with a creditor (sold to), and am trying to negotiate. He wanted $700. (900 original debt). I said $600, 6 payments, and listed on reports as paid in full/never late. He accepted 1/2 of this. The payments are ok, but he will report it as paid/settled. Should I send a new settlement offer, offering that the account be removed from my reports. Also, does the collection agency have the authority to remove or change the original creditors information on my reports? Thanks a million in advance! Dustin BTW: I am doing VERY well with repairing and rebuilding my credit thanks to everyone here. : )
RE: Collection negotiation cam The only thing I can add is don't let them mark your reports as *Settled for less than full amount*. I'm assuming that's what the guy that you talked was meaning by paid/settled. This is a damaging mark on your credit report. I did this with Norwest Financial (now Wells Fargo). I had no clue the damage I was doing to my reports until I started reading this board. Maybe someone else can recommend a better counter offer that you can give to them. I think that deletion should of been your first offer though...
RE: Collection negotiation cam Dustin, I agree with Lizard...stick to your guns..btw that is great that you are doing so well, dont you feel empowered that you have taken control and are seeing results? Congratulation and keep up the good work!
RE: Collection negotiation cam Isn't it just as bad to have a collection agency listed on your report? better to have it completely off, right? And how much power do they have.. can they affect the tradelines of the original creditor? Or is it only if the debt was "sold" to them?
Won't sue for $900? It really bugs me when people say that creditors won't sue for amounts under a thousand. I have 4 judgements on my report, and 3 of them are under a $1000 (200, 300, and 60-yes that's a measely $60 dollar judgement.) The fourth one is for about $1200. I know it may not be likely for them sue for small amounts, but it really depends on the creditors in you're area, and you're luck.
RE: Won't sue for $900? May I suggest a slightly different approach that may or may not work depending upon where you are in the negotiations. Why not find out who is indeed the true owner of the indebtedness? Send them a certified return receipt requested letter demanding that they swear under penalty of perjury that they are the true owner of your indebtedness and that to the best knowledge of the affiant no one else has any right, title or interest in the indebtedness. State that this affidavit must be signed by an officer of the company or corporation claiming ownership of the debt. Give them 30 days to respond in the letter. State that you are in receipt of demand from another company for payment of the same debt and that you must have this sworn statement to be certain that you do not at some time in the future become victim of some scam or fraud. Tell them that you are certain that they will not object to your taking appropriate steps to be certain that you are not victimized in the future. Here is the logic behind taking this step. No one can be forced to cotract with a 3rd party without their prior knowledge and consent. If they reply with the statement demanded, you are home free and clear because of the rights given you under the Constitution. If they actually bought the debt from an original creditor, they did so at their own peril. There have been many supreme courts opinions that have returned exactly that determination. If they refuse or fail to comply within 30 days plus 5 business days, you can then threaten to sue them for illegally attempting to use coercion, threat and abuse by intimidation to create an obligation where none legally existed before. Do not contact them in any way, shape or form during the 30 plus day period. If they contact you with any communication other than that which you demanded, inform them that they are in violation of the Fair Debt Collections Act and that you fully intend to immediately file criminal complaint with the appropriate authorities for violation of the Fair Debt Collection Act. Inform them at such a time that they are not to contact you in any way, shape or form absent compliance with your lawful demand for verification of ownership of your indebtedness. If they come back and admit that they are merely a collection agency acting on behalf of the true owner of your indebtedness, you can then ask them if they wish to settle the matter peacefully and in accordance with your terms or do they wish to proceed to court proceedings. Under no circumstances actually file any lawsuits or complaints to authorities. This is just a game which may or may not get you what you want, If it does, so much the better and if it does not, then what have you lost?? Oh yes, get yourself a good tape recorder and a telephone recording controller and let them know that you are tape recording all conversations with them. That scares the heck out of them too. If you want further help or information, let me know. Bill Bauer bbauer1@netzero.net
