I hope no one minds me doing this. I just received a notice from Coldata, the collection agency, and would like to report from beginning to end every dealing I have with them. I've been lurkin on this board for some time and I know many of you have had bad experiences with them. So every two weeks or so, each contact I have with them I will reply to this original topic, it that is ok. January 12, 2001 Received a notice from Coldata Collection Companies. At the top of the letter is the date December 31, 2000 ____________ OUR COLLECTION AGREEMENT WITH YOU CREDITOR MANDATES THAT WE CONDUCT COLLECTION ACTIVITY IN ACCORDANCE WITH APPLICABLE STATE AND FEDERAL LAWS. THIS INITIAL LETTER IS THE BEGINNING OF OUR COLLECTION PROCESS DESIGNED TO FOCUS UPON THE CONSEQUENCES OF CONTINUED DELAYS IN PAYING THIS DEBT. HOWEVER, WE BELIEVE THAT IF WE BOTH WORK TOGETHER WE CAN HELP YOU CHANGE THE STATUS OF THIS DELINQUENCY. THEREFORE, WE PROPOSE ONE OF THE FOLLOWING: 1. YOUR CHECK FOR $1,995.24 WILL CHANGE THE STATUS OF THIS ACCOUNT TO REFLECT FULL PAYMENT. ALL INQUIRING CREDIT GRANTORS WILL BE ADVISED BY YOUR CREDITOR THAT THIS DEBT HAS BEEN SATISFIED. 2. YOU CHECK FOR $1,396.67 WILL CHANGE THE STATUS OF THIS ACCOUNT TO REFLECT THAT THIS MATTER IS SETTLED. YOU WILL BE RELEASED OF ANY FURTHER LIABILITY WITH REGARD TO THIS ACCOUNT AND ALL INQUIRING CREDIT GRANTORS WILL BE ADVISED BY YOUR CREDITOR ACCORDINGLY. TAKE ADVANTAGE OF THIS EXCEPTIONAL OPPORTUNITY BY RETURNING THIS NOTICE WITH YOUR PAYMENT IN THE ENVELOPE PROVIDED. "THIS IS AN ATTEMPT TO COLLECT A DEBT. ANY INFORMATION OBTAINED WILL BE USED FOR THAT PURPOSE" THIS COMMUNICATION IS FROM A DEBT COLLECTOR. _________________________ A telephone number appears at the top of the letter (510-783-0500) and the payment coupon holds the address: Coldata, Inc. 1979 Marcus Avenue Suite 100 Lake Success, NY 11042 Now let me explain what happened, other than a small nervous breakdown, when I received this letter. I immediately went to the books. I don't have the money. Next, I called my workplace and am able to put in enough extra hours to send Coldata $150.00 twice a month. I am about to call Coldata to find out if this arrangement will be accepted, meet you back here then.
RE: From Beginning to End, the Monday, January 15, 2001 1:16pm Central Time Called the number on my collection notice, 510-783-0500. The woman who answered asked if I had talked to anyone there before. I said no, she said I will have to call New York, gave me the number (800-899-5056) and said, "Thanks, bye"
The Payment Plan Conversation The secretary answered when I pressed 0 for the switchboard. "Hello, Coldata" I said I had received a collection notice. I was transferred without a word to "Claude" Claude asked for my social security number, home and work telephone numbers, and confirmed my address and employment. I explained that I can begin payments of $150 beginning in February and their first payment will be in their hands via money order on February 13th. Following payments will arrive on the 13th and 27th of each month for the same amount up to August 27th which should be the final payment. He said, ok, so I'll put you down for $300 due monthly. I said, no, I would like it to reflect the payment plan I know I can make and not have my first $150 payment look like I only sent half. After I insisted he said he recorded it exactly as I had stated it. He said that February 13th might be too far away and that the computer may not accept it, but after some sort of mystical ritual on his part, the computer did 'agree' See you back here on the 13th when I send the first money order. Meanwhile, I will get a copy of my credit report and see what appears there for Coldata or Capital One (the original creditor)
RE: From Beginning to End, the A. Minahan, 1st keep calm... we are talking money... no one will take your life away or throw you in a cell. Besides you're not the 1st one to deal w/a collection agency... they could sound intimidating some more than others.. but they will not/cannot touch you, you are protected my friend... and there's several ways to get off. Also, there's many posters on this board that can help you... you're not alone.... Feel better ?... I think I speak for the board when I ask: who is the original creditor??... how old is the debt?? In what state do you reside??.
RE: Why not pay capitalone? Did capitalone sell the debt to coldata? Otherwise, pay capitalone. They won't tack on extra fees like coldata.
RE: Why not pay capitalone? No, No, No, Minahan don't initiate anything yet... there's info you need to learn about collection agencies and how to deal with them... Did you speak with Cap1??
RE: The Payment Plan Conversat Thanks for sharing. I wish you had read a little more about these things before contacting the agency. Unfortunately, you've made almost every possible mistake. Don't be sorry, learn from them so that you can make better moves in the future. Good luck! Saar
RE: Why not pay capitalone? Hi Everyone, Capital One uses a company that will reaffirm your outstanding debt with Capital One, called Wellington & Associates. You pay your alleged debt to Capital One, and they will issue you another Capital One Visa card with the outstanding debt attached as a special purchase. Your interest rate on the newly-issued Capital One credit card would be a fixed 9.9% APR and your minimum payments are 3% of your balances (new purchases and your special purchases-your outstanding debt). Wellington & Associates are in the business of purchasing charged off credit card accounts, whereby the original creditors are willing to issue a new credit card with the old debt attached. If you live in a State whereby you have more than a few years to go before your statue of limitations runs out, or the debt is close to being dropped from your credit reports, this may or may not be an option for you. Best wishes, TommyC
RE: Why not pay capitalone? TommyC, How do you go about starting this process? Feel free to email me directly. Cheers, Cindy
Woops! ...I meant First USA... ...sorry, I must have Capital One on the brain. My issue is with First USA....Anyone know if they have a program similar to what TommyC described? Cheers, Cindy
RE: Woops! ...I meant First US Hi Cindy, I spoke with the folks at Wellington & Associates about three months ago, when I was back at school in Boston, right now I'm home in Florida, so I don't have Wellington & Associates telephone number in front of me. I asked Wellington & Associates if they would be interested in purchasing my Discover Account, which was also charged off around the same time as my Capital One account. Wellington's answer was, that they do several banks, but wasn't at liberty to tell me exactly which banks they handled. I spoke with the very nice and respectful lady, for about 35 minutes and she told me that after 6 months of on-time minimum payments, Capital One, would forgive 20% of what I owed them and possibly, rerate the account on my credit reports. I didn't really get into whether Capital One would rerate my account from a charge off listing or an R-1, because I thought that I would take that up with Capital One, after the six month period. I was however, Cindy, left with the impression, that Wellington & Associates, does this for quite a few big-named prime creditors, but it is for the most part, a "not-so-well" known method of collecting on charge offs, by reissuing the credit card in question, with the original or a portion thereof, of the old debt attached as a special purchase item on your credit card. I'll be back in Boston around the 22nd of January, before I take off for Southeast Asia, but I'll find the number and send it to you, okay. Keep the faith, and believe me, it's a start, if you choose to go this route. TommyC
