Is it a proper letter?
Date: Tue, 02/20/2007 - 14:28
I’m trying to settle a 3 years old credit card debt. I have around $50,000 in credit card debt but right now I’m taking only about one, which is around 12,000. Using the sample letters and forms posted on this and the other related sites I sent a letter to a collection agency with an offer to settle my debt in full for 25% and report it as paid in full to credit agencies.
So, here are my questions:
1) is it a proper letter to settle a debt and never be bothered about it again and
2) does it mean it will be reported as paid in full to the credit agencies?
The offer itself is acceptable to me. I just want to make sure that everything is done properly.
Thank you.
This is the letter.
Quote:
So, here are my questions:
1) is it a proper letter to settle a debt and never be bothered about it again and
2) does it mean it will be reported as paid in full to the credit agencies?
The offer itself is acceptable to me. I just want to make sure that everything is done properly.
Thank you.
This is the letter.
Quote:
February 1, 2007 Re: Name of a bank that issued the credit card CLIENT ACCOUNT #:... Collection Agency ACCT.#: CURRENT BALANCE: $12,000.00 SETTLEMENT BALANCE: $6,000.00 THAT'S A SAVING OF: $6,000.00 EXPIRATION DATE: February 28, 2007. INCOME TAX REFUND TIME 50% DISCOUNT Dear …: February is a great time to save money by using your INCOME TAX REFUND or end of year bonus check. Did you know that you may be able to get a RAPID REFUND through your tax preparer? Have a credit card? Pay quick and easy online with either your checking account or CREDIT CARD. You can now go to paymybill.com Your User ID: ... Your Password is: ... In addition, once your account is settled, we will: Provide you with a paid account letter and close out the account. Report appropriately to the credit bureaus. It may be possible to extend the deadline under certain circumstances. The settlement offer outlined above is only guaranteed through the above referenced date. After that time, we reserve the right to modify the settlement offer, or revoke the offer entirely. This offer is void if previous settlement arrangements have already been made. This is an attempt to collect a debt and any information obtained will be used for that purpose. Sincerely, Person's Name, Phone, Debt Collector Collection Agency Name |
This only states they will report appropriately to bureaus.Well
This only states they will report appropriately to bureaus.Well that means it would report as a paid collection. Have them modify to paid in full or delete collection tradeline and you will be better off.
I agree with Cajun - if they are willing to show the account as
I agree with Cajun - if they are willing to show the account as paid in full then you'll be in good shape. If they don't do this, they could potentially show the balance as a charge off.
