Please help

Discussion in 'Credit Talk' started by Adam, Oct 26, 2000.

  1. Adam

    Adam Guest

    I have an auto repo with American General Finance. It's been a few years and they have now sent the account to PARC Collection Company. The pay off amount is $6500.00 or $3200.00 pay off in the next 30 days. They said that to update my credit reports to a good rating or a non rating as in no negative marks, that I would have to pay at least %80 of the full original amount which was $12,000 and still racking up interest at 26% right now they claim.

    They told me that if they rate me as â??non ratedâ? on my credit report that a creditor could call them and get the full story of the repo. So in other words its not going to do me much better to have the non rating "contact creditor for more info" rating, right? I figure maybe I should go for the low payoff of $3200.00 and then dispute the account with the CRA's later. Does that seem like the best way to go about this? Please any info or advice would be great. Thanks for your time!
  2. Keith

    Keith Guest

    Make sure they send you a copy of the bill of sale. That way you know what they sold the car for and you owe the difference from what you paid. example car=15,000 and when repo took place you owed 10,000 and they auction the car for 5,000. the amount you will owe is 5,000 plus repo fees. Don`t let them tell you you`re still paying interest cause you are not. You only owe the difference and by most state laws they have to show you a bill of sale. Hope this helps.
  3. pat

    pat Guest

    " a few years"? how long, exactly, and in which state did you live at the time? the statute of limitations for a debt varies from state to state. after the statute of limitations expires, you do not legally owe anything.

    another question: the first time the collection agency contacted you in writing, did they inform you that you have 30 days to dispute the validity of the debt? is this offer of settlement their first contact in writing? if so, the offer to settle within 30 days is considered in conflict with the 30 days you are given under the FDCPA to challenge the validity of the debt, and you can sue the collection agency for violating the FDCPA.

    please describe the details, this is interesting.

  4. marvin

    marvin Well-Known Member

    You still owe the debt after S

    You still owe this debt until the day you pay it off. The SOL DOES NOT RELIEVE YOU FROM ANY DEBT. All the SOL does is allow you to get the debt thrown out of court due to expired SOL. I also believe that they can still get a judgement against you after the SOL, as long as you don't protest in court, and this judgement will be legally enforcable. I hope I'm wrong on this, but I don't think so.
  5. miles

    miles Well-Known Member

    RE: You still owe the debt aft

    Legally, a creditor cannot enforce payment on a debt if it is beyond the statute of limitations. They also cannot gain a judgement after this period either. If I'm wrong someone, please chime in.
  6. Adam

    Adam Guest

    Keith thanks for your reply! I'm in Los Angeles and this is where I signed the loan docs. They never showed me a Bill of sales...they only sent me a one page "fill in the blank" type document in which they wrote the very low sales price of my former auto.

    After posting today I called PARC (Premium Asset Recovery Corp.) and asked them to send me copies of everything having to do with the account. They say they will, even though we know how they love to take their time. I then called American General and they claim that any history on the account would be with the collection company they hired (PARC). Both the Collection Company and American General have told me that the interest (which was at a scary 26%) is still in affect. My major problem is that I can't get a loan to pay these people off unless I have their entry removed from my reports so for now I'm stuck in a catch 22.

    I called again today and asked them about the $3200.00 pay off (thinking I can just put that on a current credit card I have) and this new person I spoke with says that their computer must have sent me that letter in error even though he had no idea what the letter said other than the low pay off price. It sounds like they have changed their tune now since I had mentioned that I might be able to pay a higher amount like %80 if I could get a loan from a family member if I knew I would have my credit fixed after payment. This account is the only negative thing I have on my reports yet it feels like a big deal all over again. Any Suggestions?
  7. Saar

    Saar Banned

    RE: You still owe the debt aft

    I'm afraid Marvin is correct.

    However, in practice no company would normally file suit trying to get a past-SOL debt.

  8. RichGuy

    RichGuy Guest

    RE: You still owe the debt aft

    A creditor could take your debt to court after the SOL has expired, possibly by claiming one of those falsified collection agency dates, and then hope you don't respond. They could actually place the burden on you to prove them wrong. Then if you don't respond, a judge could accept even blatant lies, since there was no one to argue against them. Welcome to Civil Procedure, where the presumption of innocence does not exist.
  9. RichGuy

    RichGuy Guest

    RE: You still owe the debt aft

    And welcome to the adversary system of "justice," in which a lie is considered true until you prove it wrong. One little procedural mistake, and even your right to do that can disappear into thin air.
  10. Keith

    Keith Guest

    Write them a letter stating that you are requesting the bill of sale and a statement showing the balance you owe. Start disputing this thing with the credit bureau now. Just tell them it is being reported in error. Do not give the credit bureau any specific information cause they will use it against you. Continue to dispute this thing untill you get a bill of sale and statement saying the exact amount you owe.

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