General Collection Agency Questions

If they are not proving you with an updated account, how do you know what (if any) of the payments are going towards it? You really should DV them so that you can see just where you stand, besides with collection agencies, it is always best to make sure they are doing it all legally.

You should check your credit report also, if it isn't reflecting your payments then they are reporting incorrectly and will be in violation, which would give you a bit more negotiating power.

You have a right to live and to eat, so if your current payments are too high, then once they validate, send them another letter explaining the problem and then offer a new payment amount and enclose that payment. There is not much they can do at that point except either refuse the money (most never do- but if they do, keep all documentation) or try to sue you...but suing you wouldn't be worth it IMO since a judge will plainly see that you have already been willing paying what you were able.

CA's do not legally have to provide you with a monthly accounting....some do it simply out of courtesey.

Thanks guys appreciate the response..so you mean they do not have to provide me with a balance after i send them a monthly payment? How in the world would i know if they took it off the total balance properly? And are CA's allowed to collect/charge interest?

Actually..they ARE required by law..IF you DV them....particularly if they are reporting to the CRAs....because they could be reporting incorrectly. It would be easy to just DV the CA, see where everything stands and what exactly they are charging and then just keep an eye on your credit report...if you see anything wrong, then DV again.

Hi golden,

Can you explain the DV thing? Debt Verification do you mean?

debt validation..verification just means they tell you who the account was with, how much....validation makes them prove everything. You send them a letter asking for all documentation such as statements, contract, etc.