Junk Debt Buyers Exposed

Wow...very interesting. I've been meaning to sneak over there and read up on some things. Thanks for posting this!

~Mary

wow 15 million for about 150 large, gives you an idea of what they paid and how much you might be able to settle for... say about 2-3%,lol

That's what I was thinking! LOL

~Mary

Just imagine what the even shadier companies pay to buy debts that are all already out of statute!

This is a perfect example to give people who are in debt with larger accounts or credit cards. The collection companies usually buy these for about 25 cents on the dollar, or not pennies. So an account that is over $1000, will cost no more than $250 to the collection agent...of course now they're allowed to collecton on the ballance and bargain with you., saying perhaps you could pay even half. Remember, they paid no more than a 1/2 of the ending balance. It's in your power to bargain with them.

Regards-
Mike

dmj210

All of them are shadey. Have a look at B&B Credit Solutions. (I don't know if links are allowed here), but they are selling 7 "portfolios". Each have a few thousand debts, and 95% are out of the SOL. One has debts which date 1983 to 1997. I doubt there's any state where these debts would still be in the SOL.

mwtx, I agree that this is shady. Unfortunately, it is legal. We really need to do a better job of educating people about things like statute of limitations, Fair Debt Collections Practices Act, etc. In fact, we really need to do a better job of educating people on matters of personal finance in general to help them avoid these situations in the first place, but I will save that rant for another day.

I agree. People need to be educated on these matters. That's the only way junk debt buyers stay in business, people being unaware of the law and their rights. Yes, what they do is legal, for now. But it really reminds me of the huge junk bond and penny stock industry in the 1980s, it all came crashing down, and many went to jail. When the government finally does notice the junk debt industry, we'll see all sorts of extortion, fraud and tax xharges, as well as charges with violations of the RICO Act.

Now we know what they pay, big deal, they can still sue and put debts on credit reports. add interest "legally" to the debt and sue hoping for a default judgment. I am seeing that a debt will not go away until it is paid. Even if it is 20 years old. It just means that the older it gets the sweeter the deal can be made with a collector to settle it and get a letter in the mail so that no other agencies can try to collect on it. NCO sued for a debt that was 13 years old. NCO went to court and won. The person would have been better off paying before court because then wages and property couldnt be attached. And, if a cease and desist letter is sent they will just sell the debt to another collection agency who will go through the entire process again.

Not exactly "looker"! If you settle an old debt, it'll restart the clock and a "settled" collection item will stick to your credit report for 7 years unless your settlement includes a written promise that the junk debt buyer won't report after settlement and won't re-sell the debt illegaly.

This is how I fight the junk debt buyers for an old debt that I have: dispute the collection item with the bureaus every time it pops up with a different name and the bureaus remove it!! :twisted:

And if a CA sues for a past SOL debt, the debtor has to appear in the trial and state that the debt is past SOL. The judge will declare it in favor of the debtor.

Past SOL debt is not legally collectible. And paying 20 years old debt that is not on the credit report does not make any difference, but bring some profit to the CA.

There is nothing shady about collecting on a debt. A debt is a debt. If you borrow money make arrangements to pay it back. Otherwise YOUR stealing!!

There is nothing shady about collecting on a debt. A debt is a debt. If you borrow money make arrangements to pay it back. Otherwise YOUR stealing!!

LOL you'd figure an attorney would know how to spell "you're".

Probably not an "attorney at law" at all, but one of those "pay your bills" trolls who have been here so recently.

lol lone you would, wouldn't you. all the education. good thing he has a legal secretary to correct his/her mistakes.
no there is nothing wrong with a collecting a debt that actually owed to you. but junk debt collectors DO NOT deserve the money as it as it was not their debt. now that is definitely called stealing, taking something that is not yours. der attorney.

ggrr thats me above sorry you guys

A attorney would also be well versed in(or at least have elementary knowledge of) applicable laws and know that debts are civil matters, not criminal. So Attorney, let me ask you this, what state do you practice in? What are your fields of practice? Would you care to disclose your company name and what your state bar license number is? If you are not a attorney you should not claim to be one as it is illegal to do so if you are in fact not.

Law Student, Is violation of that law a criminal offense? (Claiming to be a attorney when one is not)