Need some advice on how to deal with collection agencies
Date: Fri, 02/03/2006 - 23:48
in total i have 5 accounts on my credit report that seem derogatory. 3 are listed as in collections, and are for the amounts of 46,72, and 290. the other is listed in the amount account information as a collection account but is not listed in collections.
should i pay these small ones off? im getting a tax refund that i could use to pay them off. is there any risk or downside to just sending the company money? i need to be 100% certain that they do not show up on my credit report any longer.
the last two are more problematic. one is an old credit card that i had that due to family emergencies, got maxed out. my mom was paying the minimum payment on it (as she was responsible for most of the charges) but then stopped paying them. before i found out about it, it had been closed and sold to a CA. should i seek out a settlement with them? what kind of arrangements can i make to get it off the credit report? how do i deal, or not deal, with the CA?
finally, i was laid off and unfortuneately, had a vehicle repossessed. the account is listed on the credit report as repossessed but with 0 past due and 0 balance. this was reported as of 12/2004. what does this mean? does it mean that i do not owe anything further to anyone in reference to that? i got a letter in the mail from a CA saying that i owed them 8k or so in reference to that account, but they are not on my credit report. is this a valid debt to them? the original creditor never sent me anything stating i owed them anything further after they repossessed the car. i was actually quite shocked to find this stuff out. afterall, it all happened three years ago. anyway, what do i do about it?
rob
Hi Vox- Quote:repossessed but with 0 past due and 0 balance. th
Hi Vox-
Quote:
repossessed but with 0 past due and 0 balance. this was reported as of 12/2004. what does this mean? does it mean that i do not owe anything further to anyone in reference to that? i got a letter in the mail from a CA saying that i owed them 8k or so in reference to that account, but they are not on my credit report. is this a valid debt to them? |
Okay--in this case, you need to send that collection agency a validation request. They aren't on your credit report and you didn't know you owed anything until getting the letter from them. So to make sure that everything is on the up and up, you have to ask for validation. Also, if the original loan is shown as '0' balance and nothing owed, but yet the collection agency says you owe, then most likely, they 'bought' the debt. This is why its showing '0' balance.
On your other debts that are listed as collection accounts (or even charge offs) on your credit report, once you pay those off, they WILL NOT fall off of your credit report. They will be on there for seven years. The very best you can do, is to pay them off and get a 'paid' next to them, showing you've paid. But they won't go away until the seven year SOL is up. So at this point, getting a 'paid' which is a better step, is the best you're going to do. I hope I have helped explain it here. if you have any more questions, ask away. :D Shirley
Vox, do not let your money go into the wrong hands of the collec
Vox, do not let your money go into the wrong hands of the collection agency if they are not authorized to collect on the account. You need to make yourself sure on this context whether they are actually having the details of your account. So, send a debt validation letter through certified mail with return receipt requested and keep a copy documented in a file. After they have given you the legitimate details, you can make a settlement offer.
Regarding the car that was repossessed, I believe you should talk to your original creditor and get more information about this debt. It is possible that they might have sold the account to some collection agency but they must be having its last status before it was sold. So, you need to talk with the OC and get sure about this account.
