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Guest · Posted: Tue Sep 12, 2006 7:34 am Subject: What if you don't pay a collection

This may be a really stupid question, but does anyone know what the absolute worst scenario is if you do not pay something that has gone to collection? Any information would be very helpful. Thanks!

Posted: Tue Sep 12, 2006 8:46 am Subject:

I think it depends on the creditor and the amount of the debt. The larger the amount the more likely they are to sue you.

Posted: Tue Sep 12, 2006 10:38 am Subject:

Besides, when the account reaches in collections, the negative impact will stay in your credit for the next seven years. Even though you decide to pay off the account, the collection status will still be there. However, the account will be shown as "Paid Collections" in your file.

Whether a creditor hires a collector for recovering the debt or a collection agency purchases the file, the chances of getting sued are more likely if it is with the statutes period of your state. If possible, don't let your file reach the collection status. They are the toughest companies to deal with because of the growing complaints of federal and state violations done by them. The collectors are required to follow the FDCPA laws mentioned in the Federal Trade Commission. There is hardly any company found to be following the laws genuinely.

Posted: Tue Sep 12, 2006 10:47 am Subject:

Guest,if this debt is still in the SOL period,I would try to get it paid. Anthonty is right,you don't want to deal with CA. The stress,alone, will make you crazy,not to mention the phone calls,threats,etc. If you read other posts and threads in the forum,you will see others who have gotten a judgement against them for not paying,sometimes they wont,just depends on the debt.The purpose of the forum is to educate people to their rights,debt management and how to become debt free and hopefully not make the same mistakes. Good Luck Very Happy

...Karen

Posted: Tue Sep 12, 2006 3:15 pm Subject:

Guest, don't feel stupid. Feel free to ask right away. I am just curious about the thoughts that are forcing you to decide not paying a collection agency. Well, it will be better approach to call the original company and make direct payment arrangements with them. This way, the collector will not come in scenario. Are you thinking the extremes after the account has already been sent to the collector and you want to refuse a payment? Make sure that you know all the federal and state laws and about the collection agency before you decide such a move. Good luck!

TammyHagar · Posted: Wed Sep 13, 2006 9:45 am Subject: QUESTION

I was told that once a debt is placed in collections about 90% of these are actrually BOUGHT by the collection agency meaning they BOUGHT the debt for far less than you owe.Therefor you have a right to ask them how much they bought it for and settle for that amount?

Posted: Fri Sep 15, 2006 12:34 pm Subject: Legal Mediation

I have a loan with Ace Cash Express in D.C. - but I have been asking this question - I think Legal Mediation is calling me regarding Ace - but I want to know if anybody have any luck getting their payments turned back over to ACE - instead of dealing with Legal Mediation?

Posted: Fri Sep 15, 2006 6:34 pm Subject:

You can obviously arrange something with the original creditor if the file is still with them. They might have just hired Legal Mediations for the collections.

Posted: Sat Sep 16, 2006 2:12 pm Subject:

Not all collection agencies purchase debt and a lot of those that do don't purchase them until they are more than 3 years old and the origional creditor has written you off as a refuse to pay.