Internet's first get-out-of-debt community - 123,000 members

debtbee · Posted: Wed Nov 22, 2006 9:37 pm

A collection agency is calling me for a debt that I settled with the original creditor. Is it legal?

Posted: Wed Nov 22, 2006 9:39 pm

Welcome to the forums. I would contact the collection agency and tell them its ettled. Hopefully you have something in writing saying its settled. KYSIDE38

debtbee · Posted: Wed Nov 22, 2006 9:56 pm

Yes, I have documents. I settled the debt @ 50%. Now the collection agency is telling me the forgiven debt has been sold to them. Is it legal? They did not tell me that the rest amount will be sold later on. Please suggest.

Posted: Wed Nov 22, 2006 9:57 pm

Is the papers you have from the original creditor? KYSIDE38

Guest · Posted: Wed Nov 22, 2006 10:28 pm

I used a settlement company and I got papers from OC as well.

Posted: Wed Nov 22, 2006 11:46 pm

OC can sell the forgiven debt unfortunately.

Updater · Posted: Thu Nov 23, 2006 10:53 am

Yes they can, but if you have a signed document settling for the amount you paid, you can't sell the forgiven amount.

Posted: Thu Nov 23, 2006 11:35 am

You need a letter from the original creditor saying that the account is "Paid as agreed" or "Settled". This document is to be shown to the collection agency and they will have to stop all collection activities afterwards.

*Name:
*Email:
*Phone:
*Zip:
Debt

	* denotes required field

Internet's first get-out-of-debt community - 123,000 members

Debt already settled

Members Area

Free Debt Counseling

Ask the community

Featured Discussions

Featured Articles

Question of the Month

Useful Links

Recent Forum Discussions

Recent Blog Post