I am dealing with Mann Bracken. I would like to offer a settlement but need to know what is reasonable with them. Has anyone settled with them on a debt where they are collecting for the original creditor? If so, what did they offer? What is their bottom line? Before the file went to MB, the OC offered to settle for 50%. I guess an argument could be made that they need more now that they have to pay a collection agency. Or, an argument could be made that I could not pay 50%, so they have to go lower. The OC is Chase and the debt is just over two years past the chargeoff date.
I'm going through the exact same thing w/another CA. What I'm reading is that you should offer 70% of what you can pay in a lump sum within 30 days. I personally would not offer 50% up front. Maybe 25% and work your way up. I'm also seeing that you should not look like you're in a hurry to settle, even if you are. The above is NOT advice, by the way. I really don't know what I'm doing either. Do keep in mind that they probably paid pennies on the dollar for your debt.
In my case the original creditor still owns the debt and MB is only acting as the collection agency. Chase kept the account a long time after I stopped paying and it was charged off. The actual amount of debt is less than $3,000 but with all the fees that Chase tacked on it is about $8,000. I don't mind paying $3,000 that I borrowed plus a little in interest, but not $5000 in interest and fees. There are a lot of issues I have with Chase. A collection agency posted a bogus collection on my credit reports (not related to Chase) and Chase immediately used the universal default on me. I went from 9.9% to 30%+ APR. When I got the CA to delete the bogus collection, Chase would not lower the APR on my account because I had a collection. They did not care it was bogus. And there are a lot more issues. Lets just say that I am happy paying them as little as possible. Also, since Chase previously offered to settle two years ago for 50% of the $8,000, I am not inclined to offer anythng higher. Although I do not want to make the first move, I know that MB can prove the debt. They have already sent me all the statements from Chase. But I want to know what the bottom line is for MB before I offer anything so I can start low. I know someone must have settled with MB.
