Asset Acceptance LLC and Citibank debt question

Eric -

Welcome to the site! What questions do you have? If you'll post the specific questions you have, we'll be glad to help you out.

Many people here have dealt with Asset Acceptance, so you'll be given some advice on how to deal with this situation once you provide us a little more detail.

well how much do you owe them?

Did Asset Acceptance validate your debt? You need to review the details they send you in writing and find out any errors. If any item is disputed, explain it in writing and ask the collector to rectify it. They need to stop further collection attempts until the correct info is given. You have the option to deal with the original creditor if the file is still in their system and the debt collector is hired by them for collections.

With Asset Acceptance it is important to ask for validation and check the age of the debt. I experienced Asset Acceptance trying to collect a debt 10 years old. They were threatening legal action even though the statute of limitations had expired. A cease all communications letter stopped them quickly.

I only owe them $2345, and my wife and I have the money together. I started getting a weird vibe, searched the WWW, and found this forum. Boy am I glad I did.

I have not validated the debt with AA, LLC. I saw a standard letter form on the forum somewhere, so I guess I should copy and paste it and send it to them. I don't recall how old the debt is. I was in college, and quite a big dummy. Do you have to pay a debt older than so many years?

Once we square this away, my wife and I will be debt-free, save for college loans and a vehicle payment. My wife is a savvy busunesswoman with a high credit rating, but I'm the opposite. She was and is the best thing that after happened to me. We are looking to buy a house in May of this year.

Thanks for all your help!

Eric

What is the best way to determine how old a debt is? And once you determine that, what does it mean?

Eric

Collectors will do collections until the debt is paid. You get some relief of not getting sued by any collection company if the debt is past the SOL period. The last payment on the debt is considered for checking the SOL. What state are you in? You need to go through the laws of your state and find out the SOL. Find the last payment from your bank statement or your credit report or by calling the credit company. Moreover, you can even force Asset Acceptance to give you this info in the DV letter.

I live in Ohio, sorry I missed that earlier. Is there a wing of the government that you can call for advice? Like the COmmerce Department.

Eric

A debt is a debt until it is repaid. It doesn't go away but it will not forever remain on your credit report. They can and will continue to collect if it to one collection agency or another.

I had zero problems with Asset Acceptance, I do know that they will report PAID instead of SETTLED onto your credit report if you settle with them though.

Okay, I've got the letter ready to send to AALLC.

I thought I saw where I should ask for a certified check about how much they paid for my debt from Citibank. Is this true?

Eric

You are going to send them a check for what you think they paid CitiBank for it? Do you know how much it is or are you just guessing? Have you asked to negotiate a settlement for them because if you haven't they they will consider that a payment onto the account? Is it sold or are they collecting for CitiBank?

Don't try to jump the gun before it is loaded.

:shock: :shock: :shock: Boy I don't know why some people want to pay a collector right away!!! Have you confirmed that this is even your debt? Have you confirmed they have the legal right to collect on it?

You know I am running a little short why don't you send me a check and I will send you a receipt!! :lol:

Not trying to be mean or sarcastic but really you should ask yourself these questions before you go paying someone on a unknown issues.

Cajun and FYI,

I was going to pay it off, since my wife and I have the money from tax returns. But then I found this site, slowed down a lot and want to get it right.

I am sure the CC is mine, but that it might be out of the SOL. How would I determine if it was out of the SOL? With a credit report and how? I haven't had a credit card for a long time, meaning 10 years I would guess. How would the CR tell me the CC was out of SOL?

I have prepared a letter for Asset Acceptance from this site:
(http://www.debtconsolidationcare.com/forums/about2251.html)

Should I send this first? By read receipt certified mail? Whats your opinions?

Thanks!
Eric

There are a variety of ways to determine date of first delinquency. If they do indeed have a valid debt you identify as Citibank,call Citibank and see if they will give you info. It can also be found out by calling the credit bureaus. I suggest calling because not all reports show it.
Lastly,you can specify you want this info directly from collector in your validation.I would use other routes first myself.

I am currently being garnished by asset acceptance for 25% of my wages...my credit report says this account will stay on my credit report until apr. 08...its April...am I still liable to pay?

Unfortunately yes, even after the reporting period expires per FCRA the debt is still valid. If I may ask were you served for the suit where they obtained this judgment? Also what state do you live in? I would like to see if garnishment is even valid or if there is a alternative cap for the judgment.

Another thing that I am curious about is that the federal cap of 25% is supposed to be 25% of your disposable income.

JCEMT,

I sent the debt validation letter, and I haven't heard a word from them since. When I checked my credit scores (which I do almost every tax season), my scores were really good. 700+ on both agencies I checked.

So, I still need to contact someone about the debt? It doesn't even list any negative information on my report.

Thanks!

Eric

You may not hear back from them on the validation as they may not be able to validate it. Since your wages are being garnished you may need to contact your county courthouse to see if a suit was filed against you first. Let us know what you find out and we will take it from there.

Actually, my wages have never been garnished. I imagined my credit score would be lower, but I am making my student loan and house payments. I also have the $ to pay the credit card off, I just didn't want to get scammed. I'm not sure what to do next, honestly.

Any help appreciated. I'm looking at buying a new car soon, and I'm sure I can afford it, but I might not qualify with this on my record, no matter how old it is.

Eric

How old is the debt Eric? Is it on your credit report? If so, is the original creditor still on there?

I just got a letter threatening legal action. I did not know about this company until it showed up on my credit report. I monitor my credit and got an email that changes had be posted to my report. I was surprised when I went onliine and found this company. I disputed this because the original debt is also listed on the report as charged off. I then got a letter saying they will take legal action. Should I contact them? According to the report, the original creditor listed the acount as being opened in 1997 and charged off in 2005. This is the only negative thing on my credit report. It is only listed on two of the three reports.

Thanks,

Pam

Hi Pam, and welcome to the community.

If I were you, I'd hit them with a validation letter so quick it'd make their eyes water. There's a good template here. Be sure to include the enclosure, and send the whole works certified mail, return receipt requested, so you can prove they got it.

Per federal law [fdcpa], after they receive that letter they cannot pursue collection activity against you until they validate the debt. That incluides filing suit.

Let me ask a few questions, if I may... What kind of debt is it, what state do you live in, and when was the last time you made a charge or a payment on this account?

Thanks so much for your help. The debt is a store credit card - Rooms to Go. I live in Georiga and I think I made a payment in 2005. Are you speaking of the enclosure with the letter above?

Thanks,

Pam

Yes. The enclosure is an FTC opinion letter that talks about what the collector is supposed to do re: validation. It's lnked in just below the letter proper on that page.

Store credit cards are considered open accounts. Statute of limitations on thos in Georgia is four years, so it likely hasn't run out just yet.

Get that validation letter out in tomorrow morning's mail. It should not only forestall legal action [unless they've already filed], it should get you the information you need to address this intelligently.

Thanks, I will get it out tomorrow. This is not the first agency to try to collect on this debt. How is the debt passed from one company to another?

It can be assigned, as when one company contracts another to collect a debt. In this case, the first company retains ownership of the account. They grant the second company whatever level of authority over the account. The second company then does the leg work, and collects a fee or a percentage of the recovery for their trouble.

Or the debt can be sold outright. This is more likely if the debt is older, and has been through several collection agencies. Basically, the first company [which may be the original creditor or a CA] collects on an account for a while, until it looks like there's nothing to gain. Then, assuming that there's a balance outstanding, the acount can be sold to Company B, for them to work. Company B then owns the account, and can do pretty much as it pleases with it, subject to law.

That account can be resold again and again, if conditions warrant. The going rate for purchased debt varies by the age, type, and condition of the portfolio. An original creditor's portfolio offering, containing debts up to maybe a year old, might fetch $.20 on the dollar of face value. After the same accounts have been worked by several CAs, and are out of statute, they might only bring half a cent on the dollar.

How old is the debt Eric? Is it on your credit report? If so, is the original creditor still on there?


It listed no negative comments on my report at Equifax, and my experian listed them closed. One says paid satisfactorily, and one said transferred to another office. What every that means? I'm just confused as to what to do next.

Eric

Strange, did you pay this off in the past? Not sure why one would say paid while the other says that it is in collections.

I'm trying to log on to my experian report again. I guess I could have a dispute on my hands, not sure. I still haven't gotten a copy of my TransUnion report, which I am working on now.

Eric

Okay, after review of all my materials, AA LLC did send me a letter, but it looks far from what I requested. It's just two pieces of paper stating what I owed Citibnak originally. Not what they bought it for, or anything else. I thought the debt validation letter required that they do this.

The debt to Citibank was less than $1400. I can pay that right now. Should I call them, or do I have to deal with AA LLC? And if they paid pennies on the dollar for the debt, what amount should I pay them?

Thanks!

Eric

Debts are negotiable instruments, they can be sold for whatever amount but it does not change the amount of the debt. However in the case of debt buyers it can give you leverage to ask for a discount.

I sent the DV letter last week but after reading another forum about AALLC, I may need to send it again. The only address I had was one with P.O. Box. Should I resend the letter? Also, what should I do if the SOL has not passed?

I????????ve received a letter from Asset Acceptance today for the first time ever! I have no idea how they found me!! The letter states that they have purchased an old creditor????????s account and that I now own them $11.000 ???????? The debt is mine, but I have not received anything from anybody in 9 years. I believe the last payment made to my old creditor was in 1999.

On the letter they only stated the creditor????????s old account number and the amount due. I don????????t know who the original creditor is, Asset Acceptance did not give me that information on the letter, and I????????m supposed to contact Asset so they can give me all the info. I DON????????T WANT TO CONTACT THEM!!

To be honest, I don????????t want to pay for a debt that is over 8years. I CANNOT AFFORD IT! I live in California and the SOL here is 4 years!

I got in such panic yesterday that I shredded the letter!!

Nobody knows about my debt, not even my husband that I love and respect so much!!! I don????????t know what to do!!!

Can anybody help???
Thanks in advance!

Hope,

Relax and take a deep breath. I have been dealing with Asset Acceptance for over Three years and you are in a solid position.
First, if the last payment was made any time prior to 4/21/04 then the Statute of Limitation (SOL) is over. Second, they are not licensed to collect in the state of California.
What I did was send a debt validation Letter, several can be found on this website (just click on the link on JCEMT's post)and emphasised that the portion stating that they need to prove the SOL is not expired and that they were licensed to collect in California since the California Secretary of State's web site shows there license as being forfeited. I also sent them a print out of this web page.

They stopped all contact with me.

You want to send this letter right away so that they are prohibited from placing this on your Credit report.

Here is the link for the Secretary of States search page.
kepler.ss.ca.gov/list.html

Hi Cellular!

Thank you very much for your knowledgeable input! This situation is nerve wracking, but I????????ll take your advice on it and take a deep breath... so I can think straight again!!

I'm going to research the website you've listed, and take appropriate action. I'll ask more questions (for sure) as I move along in the process!

Thanks again!

All the best,
Hope

Cellular,

I just checked the website you referred me to and check it out:

ASSET ACCEPTANCE, LLC (THE ONE THAT CONTACTED ME) and ASSET ACCEPTANCE HOLDINGS LLC are shown as ???????active??????? under status in California!!!! Oh my God!!!!

ASSET ACCEPTANCE CORP. and ASSET ACCEPTANCE CORP. WHICH WILL DO BUSINESS IN CALIFORNIA AS NEVADA ASSET ACCEPTANCE CORP. are ???????forfeited???????.

Don????????t they know that these are the same scam people? I can????????t believe it!! Are you dealing with asset acceptance llc? So, after all, they????????re allowed to practice in California?

Which letter did you send to AA?

Thanks,
Hope

I was dealing with Asset Acceptance Corp, you are right they are all the same company so I would still print out the one showing forfeit and see what happens, this is really not relevant since the SOL is over.
In regards to the letter go to JCEMT's post and click on the community link and use the debt validation Template and just increase the font and bold #6 and #7 and send it Certified Mail Return Receipt (CMRR)

Good luck

Thanks Cellular!
I sent the letter yesterday certified, return receipt. I sent it to two different offices: MI and AZ since I wasn't sure which one contacted me.
I also sent the enclosure from JCEMT's letter and the print out stating that AA is forfeit in California.

Does AA have to be active in your state to collect? I sent my DV letter and I am waiting on a response.

They have to be licensed to LEGALLY Collect in California.

I am in GA and I could not find this company on the secretary of state website. Is there another place to check for this information?

Just one more thing... As some you of already know, I sent the DV letter yesterday to AA. Should I also send the letter of Cease and Desist(cease all comunications)?

Thanks,
Hope

Hope if you used one of the letters from this site the Cease and Desist is part of it.

Ok, that's what I thought... that the JCEMT letter had that included on it, but I saw a separate letter for ???????cease of all communications??????? in our community post and so I got confused. Thanks again!

I just want to take the time to thank you and everyone on this site. This has been a tremendous source of knowledge and strength to me! Thank you!

Moving Forward, if I'm not mistaken. a collection doesn't have to be licensed in the state of GA., BUT they do have to post a $50,000.00 bond with the county clerk in the county where they are operating from; example if they are using Fulton county then they have to post the bond with Fulton county clerk.

If that is a surety bond which they have to post, and they haven't posted it. You can include the surety bond in your suit.

Thanks. I will check on that. I tracked my certified mail online and it has been delivered. I got a call today. Also, what type of negotiation should I do if they can verify the debt?

Thanks.

That all depends on if you want to settle or work out a payment plan. I normally advise that if it's going to take you more than 6 months to go ahead and try to settle if you have the avaliability to do that. If not make sure whatever you decide upon that you can afford it.

I found some old statements that show the original amount. This is significantly less than what they are saying I owe. Will this work in my favor? Also, should I contact them before I get the debt verified? I checked and there is no suit filed as of now. They are just theatening at this point.

You should still request validation if the amount is questionable to you.

You should also consider registering with the site.