Paying collection agencies

I really haven't heard of a CA accepting only ten dollars a month. I guess it depends on the amount of the debt whether they or the original creditor would sue you. My husband has his debts with Consumer credit counseling and we just got served papers from one his creditors on the plan yesterday. They signed the proposal agreement and he has made all of his payments on time. I guess it comes down to greed, the amount of the debt, and how past due it is.

collection agencies have to post the payments on your account, when you send them money. The proposal needs to look fair. Setting a plan of $5 for $5000 debt is not reasonable at all. In case, the matter reaches the court, the judge will evaluate your share of responsibilities before reaching a decision.

What is the smallest payment that you would pay on an account with a CA that has a balance of $1240?? Do you think that I could get by with $20 or $25??

Depends a lot on the collector you are dealing with. Put your proposal in writing first. You may need to re-negotiate until the deal is finalized between both of you. You can also think the other way. The larger you make the payment, the earlier you are able to come out of this debt.

This is on an old BOA account. NCO has the account, but I also talked with BOA and they said that I could pay pmts to them. I think that I would rather pay BOA than to deal with NCO's crap. What would you estimate offering them??

YAY!! Better pay BOA if they are willing to accept your payments. They will call NCO and make them aware of your payments and stop their collections.

Propose something that you are able to afford. It has to be a realistic amount, something that you don't want to default on.

Maybe $40??

natdust20,
If you decide to enter a payment plan,please ensure you get in writing to protect yourself.Orake is correct,you would have to have a reasonable payment setup to keep BoA interested and to cut Nco out of the deal.

BOA will not give me anything in writing regarding the payments. They just told me to keep up with my receipts. The lady that I talked to said that if I needed something in writing that I would just have to go thru the CA, which I will pass on.

I'm glad that they are willing to take payments from you. I've heard bad things about NCO. I'm making payments to my original creditor as well after it was charged off and sent to collections. The CA has not validated the debt and I'm in the process of sueing them for 6 violations of the fdcpa. I've been sending checks to the orignal creditor and they have not responded to any of my letters. They have cashed the payments and I'm printing off the cash checks from my bank's website. I'm also keeping my bank statements as proof positive in case this gets nasty down the road. One is almost paid in full though.

On the one account, I am sending in over 100 dollars per month. I can't afford to do it all in one week right now so I'm splitting it up in two payments every other week. This seems to be working for me right now. I know I will not default this way.

Well, the biggest payment that I could send them would be $60 a month right now. I have other bills and I don't want to default on them. Also, NCO has reported this on my CR and I am in the middle of disputing it. Since I am making pmts with BOA, would you think that NCO will take it off??

I'm not sure. Has NCO validated the debt with you?