Here is my situation: In late 1996 I defaulted on an auto loan with American General Finance. The loan amount was for about $6,500.00 and my mother was a co-signer on the loan. They took back the automobile and sold it off at an auction and then sent me a notice that it had been sold for $2,500.00 and that with interest (23%) I still owed them $6,500.00. I left it alone and they attempted to contact me a few times over the years, as well as send me letters. It wasnâ??t until late 2000, that they transferred the account to Premium Asset Recovery Corporation (PARC). I got a letter and a phone call from PARC in October of 2000, and they asked me to pay 50% of the balance on the account. They said if I wanted to have the trade line removed or changed to R1 status then I would have to pay more than 50%. I called American General Finance and asked them about the account and they told me (at two different times) that the account had been SOLD to PARC and that I needed to contact them. When I called PARC back about the account, they claimed over and over that they do not own the account and that they are just collecting on it. Itâ??s now 2001 and Iâ??ve done nothing, and they have just kept sending me the same letter asking me to pay the account. They have started to call more often now and leaving messages on my voicemail. BTW, it was late November when I had spoke with someone at PARC on the phone and he said he would request original documents from American General as per my request. When I requested this over the phone he asked me if I was just trying to get out of paying the debt. I told him that the interest and balance due was incorrect (it really is). Anyhow that was November and I never got a response to that. I know I should have had it in writing so I guess thatâ??s where Iâ??m at now. Iâ??m wondering if I should go with the validation letter 1? BTW, I disputed the account on both my reports as well as my motherâ??s reports and they all came back â??verified.â? I know they do not have the original contracts anymore, so Iâ??m not sure what or how they could verify the debt. Any help Marie or anyone else can offer would be greatly appreciated. Thanks for your time!