Working with Collection Co's

Discussion in 'Credit Talk' started by Caroline, Mar 2, 2001.

  1. Caroline

    Caroline Guest

    I have two questions:

    1. I have 2 utility bills in collection with CBCS. I contacted them and told them I would pay in full in return for a deletion. They said fine....until I said I wanted written confirmation. They said "we don't work that way" "we will continue with collection action". What do I do now? p.s. they have been returned as verified on by CR.

    2. I have 3 seperate collection actions (2 for medical and one for a prior landlord) with Park Dansan. Should I try to negotiate the package ....any suggestions...the verification is still pending with the CB.

    Thanks.
     
  2. mother2

    mother2 Well-Known Member

    How old are these collections

    I have med bills with a collection agency and I wanted our conversation in writing. But they told me they couldn't do that. So since the SOL has expired, they're not getting "JACK" from me! And besides, the acct will fall off next year.
     
  3. Caroline

    Caroline Guest

    Re: How old are these collecti

    All well and good, but for me that is not the case. Mine do not fall off until 2006 or 2007 and the SOL is not up. I would like to purchase a house and really need these things removed.

    Any other suggestions?
     
  4. Hal

    Hal Well-Known Member

    Re: How old are these collecti

    Caroline - a 6 Year SOL? What state are you in? How much is the balance on each account? Despite the SOL, if the bal is not high, most collection agencies are not likely to sue you for small amounts. With billable hours for attorneys (which most do not have on staff) beginning at around $400.00 for a decent attorney, it is usually not worth their time.

    I would simply tell them that deleting the item is your condition, and otherwise they can forget about the money. Collectors are not willing to spend 5 minutes to prepare a written agreement, as this is 5 minutes they can harangue someone else on the phone. These people work on commission generally or a bonus above salary for collecting a certain amount.
     
  5. mother2

    mother2 Well-Known Member

    Re: Well....

    I was told...Never deal with Collection Agencies. Always, Always try to negotiate with the original Creditor. They can pull accounts back from CAs. In my case, my accts haven't hit my report yet and the one acct that did...well I explained that one previously.

    Also if I can remember, when I spoke with my CU about a mortgage they told me that things like medical bills, etc...doesn't really affect your chances of not getting a mortgage loans. Especially if they're paid in full. The most I'd have to do is write letters explaining the situation.

    Sorry I can't help you any further. Experts, would you please give her a hand.
     
  6. Caroline

    Caroline Guest

    Re: Well....

    Hal:

    Maybe I got the words wrong the Statue of limitations is 4 years it is up in 2 more years and the item(s) will be removed from my credit report in 2006-2007.

    I told the collector I would send him written correspondence verifying his agreement to me that he would delete the item. Once I received it back, signed, I would then send him a money order for the balance in full.

    It was at this point in the conversation he said he "did not work this way" and refused to confirm anything in writing, regardless of who prepared it.

    Therefore, my question is is there anything else I can do with the collection agency?
     
  7. mother2

    mother2 Well-Known Member

    Send the letter and if

    it comes back signed, send the check. Make sure you put all your terms in writing and make it clear to them.

    If it doesn't come back signed, I would talk with that reps supervisor. Someone there will comply. Don't give up and settle for nothing less than a deletion.

    Good Luck.
     
  8. lbrown59

    lbrown59 Well-Known Member

    Re: Send the letter and if

    Author: Hal (---.charleston2.sc.pub-ip.psi.net)
    Date: 03-02-01 09:I would simply tell them that deleting the item is your condition, and otherwise they can forget about the money. as this is 5 minutes they can harangue someone else on the phone. These people work on commission generally or a bonus above salary for collecting a certain amount.===========================
    Collectors are not willing to spend 5 minutes to prepare a written agreement Make it clear to them that this could be very costly for them!
     
  9. Bill Bauer

    Bill Bauer Guest

    Re: Send the letter and if

    Why argue with them at all?? If you want to pay them off, then do so. Simply write or type at the top reverse of the check "Endorsement of instrument certifies payment in full"

    Then go to work getting the record removed from your Credit Bureau files. That's easily done even if you never paid them a crying dime. So why worry about it.

    Bill Bauer
     
  10. AnnMarie

    AnnMarie Well-Known Member

    Restricted Endorsement

    Bill,
    I've heard of using restricted endorsement but it's not binding (AFAIK) in all 50 states--I would check before depending on that I think. Any ideas where to look for a quick, accurate answer to that?

    am
     
  11. Bill Bauer

    Bill Bauer Guest

    Re: Restricted Endorsement

    I am well aware that restricted endorsement is not binding in all states. If they endorse it and cash the check, you have lost nothing and the bill is paid in full which is what is most likely to happen. There is, however, an extremely small chance they might get stupid and refuse the money.

    If they do that, you have made honest effort to pay in full and have no further legal obligation to pay them anything at all. That's also the way it works in most states, but again not all.

    What is there to lose by doing it?

    Bill Bauer
     

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