3 different collection agencies collecting on the same debt?
Date: Fri, 07/16/2010 - 00:46
I've got it down to 2 different loans, but its been so long since I made a payment they apparently contacted Debt Collectors to collect the debt.
I have since been contacted by 3 separate entitites trying to collect on this same debt.
How does that work? All three of them call my work, or try calling my phone with blocked numbers so I can't tell who it is calling me.
How can I tell which ones are legit, and which ones aren't?
Is it possible that all 3 are legit? If so, what do I do? Pick one and pay them off?
I was under the impression (perhaps mistakenly) that only 1 collection agency could "own" the debt. All 3 have said they own the debt. How is this possible?
Thanks in advance for any advice.
I am in the same boat (or was.) I took out an online payday loa
I am in the same boat (or was.) I took out an online payday loan in December of 2008 with Midland Financial Group. I had three CA's trying to collect on the loan: National Credit Adjustors, Advance Credit Recovery and Cavalry Portfolio Solutions. I had already paid $400 of the $500 balance to ACR, but still had the other two calling to collect on the debt.
Have all three reported to the credit bureau, or just one? Have you paid the debt?
This is what I did: If you have paid the debt, I would contact the company and get a "Paid in Full" letter sent to you via email or mail with the company letterhead on it. Make sure it has the account number, who the original creditor was, the current balance of $0 and so forth. Make copies of the letter and mail it to the other collection agencies by certified mail, along with a letter of your own stating that this debt has already been paid.
Also, if you HAVEN'T paid the debt yet and it is showing up on your credit file, try issuing a Pay for Delete agreement with the collection agency. (I haven't tried this yet with my other collection accounts but I'm working on it.) The pay for delete agreement basically states that you will pay the debt in full (or a portion of it as a settlement) in agreement that the CA removes the negative entry from your credit report. Collection accounts drop your score into the toilet.... I have three on mine right now that I'm working on...
I hope that helps. You can find the Pay for Delete letter on the collection agency forum page.
I hope the other two CA's will get off your back once you give them proof that the debt has been paid by another agency. CA's are the worst- even moreso when three of them are trying to collect on the same account. Good luck!
