Should I ask for Debt Verification?

My run-in with CACH comes from a card that was charged off during the first week of November (2006). I had called the credit card company to find out the status of my account and they said that it charged off and gave me the 800 number for Collect America.

I immediately called and was unable to penetrate their automated system. Neither my SS# or Account # pulled up any information and there was no way to talk to a live person through that number.

I called the credit card company back and they assured me that the account had been sold to Collect America just a mere 3-4 weeks prior. They suggested "Maybe it's too new and they don't have it in the system yet".

Well I am persistent and I did a google search of Collect America - ended up with an actual phone number for the company out of Colorado and called. (This is where it gets strange).

Collect America said that they no longer had the account - that it was now in the hands of Attorneys Bronson & Migliaccio. I was given their number and was not given an answer as to why, if a) my account charged off less than a month ago, and b) I never received any communication/contact from Collect America - was it in the hands of an attorney already.

I then called BM Law Office. The only answer they could give me was "It's in pre-litigation". I had NEVER seen a credit account get passed to a lawyer so quickly...

Well, basically, my contact with the person at the law office was anything but pleasant. I of course offered to settle the account right off the bat - just to get it done with. I offered him $300 of the $586 that was due. He said that there was no way they could accept that much. I told him that I went out of my way to track my account down - I've put an effort into making good on the debt... it's not like they were frantically searching for me - and that was all I could afford to pay on it. I reminded him that I had not received any correspondence from anyone about this account, and it was me calling of my own volition to try and settle this matter. I further reminded him of my situation and again stated that $300 was as much as I could pay.

He tried to tell me that he could not accept an offer so low - that I had to pay at least $480 of the debt. I told him I could not pay more than $300. I then asked him if there was a supervisor I could speak with. He quickly darted my request to talk to someone higher by offering to talk to the lawyer to see if they would accept the $300 - but he didn't think they would.

He put me on hold and when he got back on the line he said that they agreed to accept a one-time-payment of $350 and he needed to take a check-by-phone. I told him that I could not pay more than $300 and that there was no way I could do a check-by-phone. And he told me again that the attorneys would only go so low as $350 and he needed confirmation of the payment by check-by-phone right NOW.

I tried to explain to him that my elderly mother was the one helping me out on this and she would be the one paying - that she's nearly 70 years old and would NEVER give her personal information over the phone. I also told him that she was giving me $300 to pay this debt with, and I couldn't agree to a higher amount.

To make a long story short, we quibbled about $50... and I told him that I could not agree to anything without speaking to my mother first. I hung up and called my mother who said "Just pay the $350 and get it over with. I'll send them a check."

So I called back and told them that my mother had agreed to pay the $350 - but she would be mailing the check in. He tried to give me a hard time about it - telling me he needed the funds in the office within 24 hours or else it would null the agreement. I told him that I had never HEARD of such a thing - that I contacted THEM to pay up my debt and that I agreed to their term of $350... so if they wanted that money, they'd accept a check via regular mail (and by that I mean CMRRR) So I was put on hold while he asked the attorney if they could "make an exception and accept a check". Surprise, surprse... the attorney agreed.

I then told him that I needed a settlement agreement faxed to me outlining the terms of our agreement... Once I received that, then the check would be in the mail. This was Thursday, and the letter was supposed to come to me by the end of the day.... Well I called at the close of business on Thurs. and they said the letter would go out first thing on Friday. Friday afternoon came... no letter... I called and they said the attorney didn't get a chance to look at it - so it would be sent first thing on Monday morning... Monday comes... and I finally get the letter at 3:30pm EST.

According to their letter, which was dated the 18th (Monday), "My payment must be received in our office on or before December 25, 2006... or this offer will be null and void."

Well let's see... Dec. 25th is a HOLIDAY... the 24th is a SUNDAY (no mail)... the 23rd is a Saturday and they may or may not be in the office to receive mail... so that means to guarantee that this gets accepted, my check will have to arrive in their office by Friday the 22nd. I receieved the letter too late on Monday to get it in the mail, so the earliest it will go into the mailbox is Tuesday - it will have exactly 3 days to reach its destination - during the busiest mail time of the year... I wouldn't risk it.

So I called them up to explain to them that the due date is a holiday - the day before is a sunday - I don't think you're in the office on Saturday, so it would have to be there by Friday, and since it's already late on Monday, it might not get there in time. He could not see where I was coming from and insisted I give him a check-by-phone to make sure it got there in time. I told him that was not possible. He then said "well send it Western Union"... I told him I already went $50 over what I have to send you and now you want me to pay additional charges to get the money to you? I don't think so. He then told me I had plenty of time to mail the payment for it to get there... I just CHOSE not to send the check until I got the letter. I told him that there was no way I would send payment to ANYONE without being able to see the terms and conditions of said payment... I asked him if you were buying a house, would you PAY for it before you read the contract? I don't think so. "Well you're not buying a house..." he said.

He then magically came up with "Well if your payment gets here on the 25th, then it will be accepted if we don't see until the 26th, since we aren't in the office and that's our fault." I asked him if I could get that in writing. He said that I couldn't. I said "Well if you can't give that to me in writing, then I don't have PROOF of it and if you don't receive my payment until the 26th, according to this letter, it is null and void.

At this point I told him that the ONLY reason that the check was not sent and may not get there in time is because his company took so long in getting the required documentation to me. I asked him if he could just send me another letter, giving me one more day. "Oh no, we can't do that... we have 10 days to receive the funds from the time a settlement is agreed upon" (gee, I thought it was 24 hours... somehow that got changed and now it's 10 days? hmmmmmm... I'm sure they can go 11.) So I asked to speak with the attorney. "Oh, I'm sorry, there are no attorneys available right now." "Then I'll wait." "Oh, I can't allow you to do that... what do you want to speak with an attorney about?" "I want to speak with the attorney regarding your company's negligence to get this letter to me in a timely manner... and regarding the due date of my payment." "Oh, well they will tell you the same thing I've been telling you..." "Well I want to hear it from them - can you take my name and number and have an attorney get back to me when one becomes available?" "Oh, you just want to have that date changed until the 26th?" "Yes." "Well I'll have another letter drawn up and faxed to you stating that - but it won't be sent to you until tomorrow." "Well alright, thank you... as soon as I receive that letter and agree to the terms of it, I will send the check. Have a nice night."

I called my mother to tell her what had transpired, and she asked me if I was sure this company was legit. Since I was the one who tracked them down, I didn't really question it too much, but my mother saying that made me think. I did a BBB search and a google search and ended up here.

So now my question is - they sent me/are sending me a letter spelling out the terms of the settlement agreement. I have not signed anything, nor done anything other than verbally agree to pay the $350. Is it too late for me to send a debt validation letter? It just seems iffy to me that the account was charged off and sold back in November and I have not received any correspondence from either company (CACH or B&M Law). It seems strange to me that the account was passed from collection agency to attorney so quickly... I just want to make sure that if I DO pay B&M Law, that this debt will in fact be settled. In the letter it does say "Upon clearence of funds this debt will be considered settled in full."

Should I just keep detailed records (as I always do) of what has transpired and the payment that we make via CMRRR, or would it pay to ask for verification of this debt and then try to settle again at a later date? I'd rather just get it over and done with right now... and I have the letter stating that it will be settled in full. I just don't want to be padding the pockets of these very unprofessional law office employees and then have this debt come back to bite me in the butt.