Hi all! I have a credit card debt of $865, where the ORIGINAL balance was $450. They kept tacking on late fees galore when I had no idea this was happening (I moved away from residence, and I was not getting any statements because my sister was throwing them out) Anyways, the collection agency sent me a letter stating that my account is 150-something days past due and they want to discuss options to work with me. I called in and spoke with a supervisor. I told her I would be interested in settling, if the negative listings were removed from my credit. She said that "thats impossible". Is this true? I was on a website where it said to tell the collection agency to remove the negative listings on the account when settling. She offered a $200 deduction on my account, if I make the account current, which is $244. If I do this, my balance left on the account will be $421, just under the original balance of the debt. Any advice would be great! I am trying to get this over with, but I am new at the credit-knowledge. Thank you!
Insofar as your settlement is concerned - get it in WRITING. Never rely on what any of those collection goons tell you over the phone, unless you record the telephone conversation. Even if you settle for the amount indicated, you will still owe them $421. Unless you are prepared to immediately pay the $421, that account will stay on your credit report. When did you make the last payment towards that account? What state do you live in? SOL might have already expired.
Thank you for your response. The last time any money was paid on the account was on September 6, 2007. I live in Pennsylvania. Any more advice you can offer from the info I just gave you?
Ok, I messed up...the account is not in collections yet, it was just that the name of the creditor was the name of the bank that the account was under, so I assumed it was in collections. Should I work with the options in my original post, or is there a better way out? Thanks!
Try to negotiate to what YOU think you can pay. If you think/know that you can pay their offer - do it. BUT - as mentioned in my first reply - get it in writing.
I think it is impossible because they report to credit reference agencies every month or so, some credit cards can excuse you if you miss a payment once in every 12 months; as you say, your payment was overdue by 150 days, thats 5months (approx), they would have reported atleast 3 times. There's no way they can reverse that.
