Settling debt with collection agency with settlement letter

Dwayne

Go ahead but be sure that you have everything documented so that you can prove it later. Send your letters through certified mail with return receipt requested. Lastly, mention the point that after the payments are complete, it is their responsibility to post the updated information with the credit bureaus.

dwayne:

first, there is no california state law which states the debtor must send any type of pre-settlement letter.

second, keep in mind settlements are nice offers which can be retracted at any time. if you have received a settle letter, make sure there is no expiration date on it.

third, settlements will most likely still stay on your credit and showing as 'settled for a lessor amount.' settlements are not as pleasing to your credit as paying the debt in full. some companies will be nice and take the entire debt off your credit, however, they are not required to do so. also, it is in your best interest to CALL the company and set up the payment with a check by phone or credit card. that will secure the payment and assure you get the settlement in on time!!

Ok...so after years of on and on of collection agencies, what is a good amount to settle on?
Meaning $.30/$.40 cents to the dollar?

it's different with each agencies. some are allowed to settle out for less than others. depends on their client. ask the collector if there is a settlement. most of the time, the first amount given isn't the best you can get. more than likely, they can go even lower than their first offer.

I am in cali and I read that I need the Santa Cruz letter for california....here is the letter that I used below....Now, do I send this letter and acouple days after send a money order along with the contingency that if the money order is cashed, etc...or should I use another form of payment?

December 13, 2005
Account Number:

midland credit management
PO Box 939019
San Diego, CA. 92193-9019

Dear Midland credit management:

This letter concerns the money I owe you. I have received bills from you stating that I owe $977.06 for shoddy furniture which you refused to replace or repair. Because of the incredibly inferior condition of the merchandise I have received, I feel I owe you no more than $300.00. It is obvious that there is a good faith dispute over this bill.

To settle this debt I will send you a money order for $300.00 with a restrictive endorsement and if you cash that check it will constitute an accord and satisfaction. In other words, You will receive from me a money order that states "cashing of this check constitutes payment in full." If you cash this check, that check will take care of what I owe you.

You also agree to completely remove your listing along with the original creditors listing (Providian Bank) from my credit report with all 3 of the major credit bureaus,(Trans Union, Equifax, and Experian)within 30 days of receiving the money order.

Also, be advised that I have attempted to validate this debt with you and that you have failed to do so and are in violation of the FCRA.


Sincerely,

Hi Dwayne

It seems that you are having an account with midland credit management and placing the settlement request.

Money order is the best form of making the payment. Go ahead and send this letter through certified mail with return receipt requested. Keep a check on your credit file also so that you remain updated.

Regards
Roxette

sorry dwayne, but that letter will not settle out your account. many people are under the misconception that simply writing 'by cashing this payment you are accepting this as paid in full' or something to that effect - will actually work. sorry, it doesn't. they can cash the payment and not settle the account. they also do not have to remove anything on your credit report. furthermore, only the reporting agency can remove their own credit mark. while i understand you want to take care of the portion you feel you owe, your demands will most likely just be laughed at. sorry, not trying to be mean, just honest.

in addition, the best method of payment is over the phone with either a checking account or credit card. i wouldn't mail in any form of payment, even if by certified mail.

So how can I fix my credit and have this removed?

Quote:

TravisTrittFan

You want to get the value of your money when it is given to some company. You need to make sure that the company that is taking your money is actually using your money in the proper way. How will that be done? You just have to get that in writing from the company before the money is wired. If you have written evidence about the promises made by the company, you can take legal actions anytime you want, because your money did not reach the right place. The homework should be done well before hand rather than being victimized later. Now, that you have learned from your past, I am sure you won't repeat the same in the future.

Quote:

That's true.. Not only negotiate with the company but also get the whole agreement in writing. You are never assured until you have the deal in pen to paper.

If you do not have the agreement in writing and unfortunately, failed to get the desired results after a certain period of time, you do not have proof to defend yourself.

Even a minor documentation is very important. It can actually avert huge problems at the end.

I can't believe I read that it is recommended to give your bank or credit card info over the phone to a CA.
You have to be kidding me! There is only a couple thousand posts just here from people victimized by an unscrupulous CA taking unauthorized $$.
Wake up and smell the con.

I agree Clark...
It is funny how every book you read tells you never to give personal info but here people say to give credit card info...
What do you think of my letter above clark?

Dwayne what did they send you when you asked for validation? Have you checked to see if they are required to be licensed in your state?
Are you keeping records of all contacts with this CA?
Are there other violations other then the validating?
I would not send that letter or pay especially if they have not validated the debt.
Hve you tried verification with the CRA's and a request to delete?
Midland has a reputation for playing dirty.

Well the "experts" offering the advice about your credit card and bank account appear to be collection agency employees.
Dwayne, Midland had the reputation of a nasty bottom feeder buying accounts for a low price and then bluffing and scaring you into sending some cash.
Are they required to be licensed in your state?
Did you get any response on the validation?
Did you send your request to the CRA's asking for deletion?
Usually they have to pay a fee to get the documents to validate your debt from the original creditor. The fee is sometimes more then they paid for the account.
Personally, I would not send a letter acknowledging the debt under any circumstances and definitely not pay Midland a penny.

I've tried posting twice without any luck but here goes one more time.
Dwayne, There is no way in the world I would send that letter acknowledging that debt.
Midland has numerous complaints. Other people have had success with filing complaints with their Attorney General Office. Midland buys junk debt and uses scare tactics thinking enough threats will pay off. They probably didn't validate because they may have to pay a small fee to get the account info from the original creditor.
Did they send you anything with the request for validation?
Have you tried to have the entry deleted with the CRA's?
Have they violated any of the collection statutes?
What about licensing?
Statute of Limitations?

I would not send that letter to Midland and I definitely wouldn't pay them anything. If they can't validate the debt, they not entitled to payment.
Sounds like they are trying to scare you into a payment.
It's a numbers game. If they harass enough people sooner or later they get paid.
Dwayne, do you have any other documentation with Midland?

Clark, I was having a hard time posting my message also. I wrote it twice but only one listing came up.
Do you have experience with Midland?

Quote:

I have all 3 letters that I sent requesting validation which 4 companies have just neglected to respond to me at all. I just do not know where or how I should file with the court system. Also, I tried to validate with the credit bureau and they say that it has been verified but yet the collection agencies have not sent anything to me at all...So what letter do I send the credit bureau? and how do I file a court case?...this is why I wanted to hire someone so that they can take it from here...I dont know where to go from here...If anyone can help I have all the letters that I sent them that I can forward on for someone to help me out...

Hi Dwayne

Welcome back.

I understand that the collection agency first called you up without sending anything in writing. Then, you requested for a debt validation and they have not responded to any of them. If this is the situation, it is a violation of consumer protection afforded by the fdcpa Section 809 (b) and you can sue them up to the extent of damages. Remember, if the CA has sent something to you in writing before you asked them to validate the account, you need to place it on dispute. You can file this case only when they have failed to respond to your validation request.

I think you must have sent all your mails certified with return receipt requested. You can show it as proof to the CRA and inform them that the CA has not responded to it. This will force the CRA to look into your file once again.

I hope that you should get some positive results from these actions. If you don't get any results, send a copy of all your correspondences to the attorney general office as well in the FTC and the BBB. You can also hire an attorney who will help you to cover all the legal proceedings. I am sure that the changes will be reflected in your file after you taken the following actions.

Regards
Roxette

THEY SAID THEY WOULD DELETE MY ACCOUNT BUT WOULD BE NOTHING IN WRITING.

DOES ANY ACTUALLY HAVE A DELETION LETTER FROM MIDLAND?

Um....Collector Matt is probably a collector. Starting his statements w/iffy advise then finishing w/ "best method is give them your account #s". Every Post of His! Do Not listen to his advice! Dwayne-If you already sent a comprehensive DV letter, and they have not responded yet, do not send anything(esp. a payment)!The ball, as they say, is in their court. if you feel compelled to act again soon, I would send them another DV letter, w/ a little more "bite" to it.Threaten to take them to court for violating the fdcpa. Send it certified mail & keep everything in writing you receive back. Also, I recommend not ever signing anything you send them. Signatures have a way of skipping from one doc. to another. Hope this helps!