Manny... if I may, I'm going to give you my .02 here. I dealt with an Amex debt that ran through several collection agencies. I paid .40 on the dollar. A collection agency line that's paid in full is still highly derog. by law, they have to mark the account settled once it's settled. If you settle with a collection agency then Amex will 0 the account and note it "settled in full". It will not really rehab her credit, it will get Amex off her back. Once she pays the debt (if it's to a collection agency) then she actually gets 2 listings for it, Amex and the collection agency. Some agencies remove their listing after paid simply to avoid conflict. Your offer to pay her debt isn't binding. In fact, I'd say if they're discussing her debt with you it's a fdcpa violation. Regardless, if she really has issues with the amount of the debt then send either a validation or a cease and desist to the collection agency. .70 is way too much to pay them. See if you can get it back with Amex and get the charges corrected. then settle with Amex. they'll take .70 directly and with a corrected bill it could total a lot less. by the way, the "board approval" on a settlement is a crock... what b.s. these guys hand out. again, they'd be lucky to get .40 percent. My questions are this: did she send a letter of settlement or did you? or did you just discuss it with them? Has she talked with Amex about the charges that weren't hers? they're pretty good about that stuff, that's what I'm wondering. and the othe good question, is this her only issue? if so, for ,70 get it sent back to Amex and just pay them. that way she'll only have the amex tradeline and not Amex and coldata
oh, anything you send them needs to be sent certified return receipt... not just faxed. they'll say they never got the fax. ah coldata and Schwartz et al... I remember them well.
OK- Here's the "scoop" I am almost afraid to post it, as I noticed while I was "detective-ing" that all coldata links to queries on google are blocked. Here is another link to this weird mess, it involves AIG ! http://www.pncequity.com/mezzanine/intellirisk.htm From: Y-chat@webtv.net Date: Fri, Mar 15, 2002, 6:05pm ToManny's address deleted) Â Subject: "Coldata"=Schwartz & Schwartz This is going to be long & complicated. On an FTC filing I found that the Schwartzes bought out coldata,under the name IRMC holdings, which is part of Intellirisk Mgmt., who bought an interest in Equifax. I am sending you all the links to my detective work. The Cold Springs,N.Y. address, phone # & fax.# is a relay through IRMC,which routes them to wherever the "coldata person" is at that time. These are not "real" people,just clerks whose job it is to respond to whatever "name" they are representing. The account they (coldata) are trying to collect on is from the old,out of date equifax files and is likely not on any current credit report. Most likely it is at least 10 years old, as you said your niece was contacted about 2 years ago,which is when coldata was sold. In other words, DON'T PAY ANYTHING ! The reason they couldn't and won't validate is because all they have, and have ever had, is an outdated computer record from a credit report of 3-or more years ago. (Search for "Schwartz" at this link) http://www.ftc.gov/bc/earlyterm/1999/9906/et990614.htm (This link describes their "services"-electronic forwarding of phone/fax + mail forwarding) http://www.irmc.com/ushome/ I am not sure how they are getting around the laws regulating collection agencies,they are probably licensed somewhere, but not as coldata. The laws have not kept up with the electronic age. It is probable that your niece was scared/scammed into thinking this was a legal collection effort.
I finally located the licensed collection agency in N.Y.- I do not believe they can validate/prove dispute-but you have nothing to lose by sending them a rrr dispute validation.I believe they are in violation of the FDCPA by using a false name, plus this outfit has had numerous FTC fines and violations of the FDCPA against them. I believe, if you file a complaint with the FTC against them (on line) you will be rid of them. Here is their correct name and address. ---------------------------------------------- TRADE NAME: ALLIED INTERSTATE, INC. Â Â Â Â Â Â Â Â Â Â ADDRESS: 1979 MARCUS AVENUE Â Â Â Â Â Â Â Â Â Â Â Â Â Â SUITE 100 Â Â Â Â Â Â Â Â Â Â Â Â Â Â LAKE SUCCESS, NY 11042-0000 Â Â Â Â Â Â Â Â Â Â LICENSE TYPE: COLLECTION AGENCY LICENSEE Â ORIGINAL ISSUE DATE: 02/25/02 Â Â Â Â Â Â Â Â Â Â LICENSE NO: Â 0003339 Â Â Â Â Â Â Â Â Â Â LIC. EXPIRATION DATE: 2003-12-31
