How do I......

There is a way that it can be done. What you need to do is to use what is known as a Westcap agreement on the check. This is not an Accord & Satisfaction nor is it a restrictive endorsement it is a contractual agreement which goes into effect upon the cashing of the check and requires the casher of the check to remove the item from your credit report and if they fail to do so you have grounds upon which to sue.

 

I'm curious about how this works because I tried it with a medical bill that went to collections. The gist of my letter to the OC or in this case the doctor was that I noticed an entry listed under a CA account and I never received a statement or overdue notice and was no longer living at the address they had, so I had no reason to suspect a payment problem.

I went on to ask that they accept the enclosed check for the full amount owed CONTINGENT upon removing the negative entry from my credit report or advising the agency to which is has been assigned to remove the entry. Well, the OC cashed the check a day after receiving it, but didn't have the CA remove the entry. When I disputed it with the CRA, they verfiied the collection account as "paid". Needless to say, I am disputing this again.

Any info about the Westcap agreement would be appreciated!

Lisa

 

I've never had to use it myself and I've only had maybe 3 or 4 people who wanted me to put the stamp on the back of a check for them and I've had a couple more here in OKC recently that I've stamped checks for and none have yet reported back to me either way.

Since the "old saw" is "no news is good news" maybe it worked for them and then on the other hand, who knows? (LOL)

The only thing we really have to go on is the fact that when people are unhappy with the results they usually scream about it sooner or later. The people I've put the stamp on for have been scattered over the last year since that Westcap fellow got booted off of here and one would think that if it didn't work for any of them somebody would have screamed by now.

I'll know more about it once we get some more of the results in from the locals here. I will definitely get the results back on those because they are people who came to me through local realtors because they applied to buy houses and the realtors and mobile home dealers send them to me when they can't get financing because of bad credit.

Buying a house isn't nearly as critical as it is when one is just trying to get his mess cleaned up. For instance, we would love to be able to get bankruptcies and tax liens off but the realtors don't care as long as there are no unpaid ones out there. As long as they can convince the lender that the debt is paid that's good enough and that's very easy to do. For illustration purposes, one sends the stamped check to the collector CMRRR one day and shows a photocopy of the check and the CMRRR receipts to the lender proving he paid the debt off and he gets the loan whether the check ever got cashed or not. If the collector refuses to accept the check who cares as long as the loan is made and they got their dream house.

Who knows what would happen if they get sued later for the debt and shows a photocopy of the check or the receipt from the bank to the court. Some courts might throw the case out of court based on UCC or what. Only time will tell.