Should any debt settlement payments be made over the phone?

i would not agree to do anything without the agreement in writing or they could go back on thier word. Now i know alot of people do the over the phone payments but i would not advise this. the reason why is i got burned badly by this.

I had a account that i agreed to pay in full on a tuesday (1300) and they took it out a week early which overdrafted me and then they took it out on tuesday too. double dipping me it took me 6 weeks to get my money back and i had a new baby and all mybills were bouncing.

I will never do that again ever.

I would not pay without the agreement in writing and I would not pay over the phone. I would suggest sending a certified bank check. Never send a posted dated payment or give them direct access to your bank account because they will do what the above post described.

Thanks for the info! Sending a personal check is not being recommended either? Would they be able to access the funds on private accounts if they had a personal check mailed to them? The conversation with the bank is a bit one sided since I do not have much control it seems. If they are offering a settlement deal under the condition that I make a payment right then and there - would I still have the option to refuse till I have something in writing? I thought the bank might just say.."take it or leave it..". Any thoughts? thanks!

Your mistake is the thought that you have no control when in reality you have all of the control. You have the money and they want it. If they want it bad enough then they will play by your rules. Do not fall victim to their rhetoric. They will try to convince you that that the matter is so urgent that they can not take an extra 15 minutes to put the deal in writing and either email, fax or mail you a copy of it. The only out they have besides that is to sue and then everyone gets to play by the courts rules. Time is on your side if they decide to do that since it will take them months to get to that point if they ever do.

The reason I suggest to not use a personal check is that it gives some scum bag collector direct access to your account. It is just an extra precaution but it is not that important. I would guess 9/10 times a personal check would go smoothly but there is the possibility that the collector could use your account and routing number in ways you did not agree too. Never use a post dated check because they always cash them early. It certainly is not as important as getting the deal in writing.

money orders and cashiers checks from a bank are the only two ways to ever ever ever pay a debt to a collection company!

Valid points!! I did not think about that at all...thank you! Me debt is still with the original bank and in the past I have use direct debit to pay from time to time. Thanks for making the point that it is the PAYER who is in real control!!! I missed that point being in the center of this little storm ...LOL
I will have them send something in writing and have it emailed to me :) thanks very much for the support and your suggestions. Much appreciated!!

good luck and please keep us updated as to what happens.

Will do! as soon as I get to that point - we are not in agreement as of now regarding the settlement amount. thanks!

tell them to take a walk and no deal till its in writing. This is why i love this site. Seriously like i wish i would have found it years ago. I would have never thought that that company would do that to me, but they did and know i can share my story so that it dont happen to anyone else. And i would have never considered that a check would be giving them access to your account. So i seem to learn something new too! that is why i love this site.

they have agreed to send the contract in writing and they have specified the dates and the amount they would withdraw from my existing bank account (linked to my cc). Given I have set up that account specifically for paying them in the past, I will have just the exact amount in there till for each month. Afterward I will close the account just to be safe!

Yep........I would wait until you are sent an agreement VIA the mail. THEN, just to be safe, send a Money Order by Certified letter. This way they have to sign for it and you have your proof you made a payment. If they DO send you an agreement, and you DON'T agree with it, you need to contact them ASAP (Certified Mail, if you can) to let them know that. Make sure to get everything in writing.

I agree with everything that's been said here--and would also like to throw out one other option: poss getting a prepaid Visa card with the exact amount you've agreed to pay them on it and not a dime more. But DEFINATELY get everything in writing. Don't trust them for a minute!

Please get an official document stating the debt settlement amount and payment dates. This is very important!!

Reason being a telephonic agreement can never hold any weight in court. Only if you recorded the conversation.