I was taking a nap after I got home from work, and a CA called me. I was still half asleep so unfourtunatly I didn't catch the name of the caller, but this person was calling from Collection America about a charge-off I had with Chase. I had sent them (CA) a settlement letter stating I would pay off half the original balance only if they agreed to update the tradeline to "paid" status. Well, the CA that called me today informed me that it was "illegal" (yes he actually used that word) to update the account to paid to the credit bureaus if I settled for less than the full amount. Isn't this a violation of the FCRA...the CA lying to me like this? Should I try to settle with Chase directly instead of going through the CA? I'm so mad right now I can't think straight. Any helpful advice would be greatly appreciated.
It is certainly NOT illegal for them to report a settled account as paid. It might be contrary to their contract with the OC or the CRA; but that's not really our problem is it? However, you don't want a CA reporting on your report at all. A paid or settled collection will still kill your scores. I'd only offer them any $$$ in exchange for the DELETION. Be sure to get all agreements in writing prior to sending any payment. They won't like this; but take a hard line. Remember that want your money more than they want to retain a derogtory tradeline on your report. Greg
Who owns the account? How old is the debt? Is the CA reporting? The statement about it being illegal to report the debt as paid if in actuality its settled could be construed as The use of false representation or deceptive means to collect or attempt to collect any debt.
I just posted my letter on here that I wrote to those collection jerks. The account is 2 years old, I really don't want to wait until the SOL is up. I just can't get over the fact that the CA told me it was against the law to update a tradeline to a paid status if I settled.
IndyGreg ===================== Right you are: We are bound only by what we agree to with the CA not by an agreement between the CA and some other party.
lbrown....WE might not be bound but THEY are. The CA is the one with the contract b/w itself and the OC. There is no contract b/w the debtor and the CA.
I dealt with these jerks on a chase chargeoff. I posted about it a few months ago. They had cambece law frim contracted out through them. Don't trust a thing they say at collect america. It took a intent to sue fax and many weeks of following up to get what I wanted, but I got it. They told me that they could not delete and update, it was against their policy. Talk to a Ms. Michelle Horness, I think thats right. Let me know if you need fax #'s to their legal dept and their RA. Good luck.
Hi Velouria, Welcome to the board. Actually what the CA rep said is technically correct because it's illegal to report anything other than the truth. The "truth" of your situation, according to this rep, is that it will be "legally settled". Write back and tell them "ok MAYBE IT IS illegal but there is NO law that REQUIRES you to report anything. Therefore I'm amending my offer to 50% in exchange for FULL deletion, which is NOT illegal. Afterall I wouldn't want you to "break the law" now would I?" He will, at this point, assert that it's against his contract with the CRA to delete. Your response? "I COULDN'T POSSIBLY CARE LESS" hth
Thanks for the advice guys. Quigs, could you give me some more info on your dealing with Collection America? I want to get this off my report asap...and since I'm fairly new to this, I need all the help I can get!
There is when you and the CA agree to a settlement . Who is the CRA to dictate what me and the CA can or can not agree to?
Wow you got collect america. I am jealous. On the bud hibbs site he ranks them as THE WORST collection agency in america. Woohoo they are #1 baby. Collect America, L.L.C. 1999 Broadway #2150 Denver, Colorado 80202 Bud Says... Started by CO Attorney Phillip S. Lowery & family, Collect America has risen to the top of the garbage heap. I think that "CON-AMERICA" may be a more suitable name for this national association of wasted law licenses. Ever wonder where those people who finish their jail end up working? The violations and lawlessness of this organization may make Enron look good. This is THE collection agency to be AVOIDED!! Stop payment, cancel drafting instructions, watch your credit cards, dispute EVERYTHING they place on your credit files. These are the BAD ones! NEVER give them any information on your bank/credit accounts, or post-dated checks. YOU WILL REGRET IT!!
Velouria, I would go ahead and start the validation series. Try to get them bent over a barrel with violations. They never responded to any of my letters, except the intent to sue fax. Just document everything and wait for them to start racking it up. As for settlement, they will do it, it just might take some haggling. When is the SOL up on the account? I had an agreement (contract) with them to make payments on the remainder of the agreed settlement( I think 50%) and full deletion. After I had them paid, they would not take it off. Gave me the "its illegal", but I had the contract and told them I would be sueing for breach of contract. Also After many of their violations I went to the CO sec state webpage and filed a report. This lit a fire under their butts. Also there you can access the companies RA and the like. Let us know if you need some more help or have any questions. Keep us updated.
If you really want your money you will delete the tradeline or update to state as "PAID", because the truth is, it is paid and you owe nothing at this point so how is it illegal?? State if they do not want to co-operate then we can then progress to complete validation and maybe even a cease and desist stating that you will only now deal with just chase. Ask them if they are in the business of making money or wasting time?? I asked the very same question to a CA once. He replied ...."of course we want to make money!" I said..."Well then whats the problem??? I promise I won't call the credit police on you!" That deal was settled with my terms! BTW it was Van Ru, what dipshits!! Tac
Regarding the CAs listed here. Bud Hibbs HATES Collect America and Cambece's "law firm" with a passion that's hard to describe. As for Van Ru, they are the lucky bearers of the "case law cited by other litigants when suing CAs and attorneys" badge. They got their asses kicked in a New Jersey court and Everybody and their brother cites the case now. (CA intimating that an attorney is involved, by use of letterhead, etc. - very interesting case, actually) When will these knee-biting jokers learn their lesson????
