credit card collection

Quote:

My wife and I both have credit cards we have both ended up is OSI Collections. A few months ago, I had finally recieved a lump sum settlement which enabled me to catch up a number of debts, 2 of them paying off the credit card balance....I thought!

OSI is famous for screwing up like this. unfortunately, unless you have proof that the payment you made was supposed to be 'payment in full', then you are basically out of luck. Or, if you have any kind of statement about the account balance at the time you paid, you can show that the payment equalled the amount due, and that should clear it up. One thing is certain--dont count on them admitting it unless you have proof.

Quote:

I tried to use my credit card the other day with the mind set of making small purchases and paying them off would start my credit on the right track. Well, my credit card was rejected and ended up talking to OSI discovering that paying off the 'settlement' offer pay off my balance, though I was told by the agent/operator/drone/shlub that is that was what the payment would be doing.

OK, let me ask this--what settlement offer? did they send you that offer, or did you send it and they agree to it? This could be the proof you need right here...as long as you can substantiate it. If they sent you a settlement offer and you can prove the details of it, then a simple comparison to your record of payment is proof. Hope this helps.

Quote:

Talking to them once again, I found out that we both have outstanding balances at 28.2% on a daily compound! Is that rate even legal? I have not received a bill or any other communication!

pardon me, did you just say compounded DAILY??

as far as I recall, a CA cannot charge you any additional interest on a credit card account other than what was in the original agreement you signed when you first opened the account. Section 808 of the fdcpa expressly prohibits a CA from charging you any fees, including interest, that are not present in the original contract or credit agreement that established the debt. So, if your original credit agreement did not allow such interest, then they are not legally allowed to charge it now. At this time, you may consider sending them a validation letter, requesting a full breakdown of the amount they claim you owe. They are required to provide this information if you request it. Send this letter by certified mail, return receipt--so you will have proof that they got it. Something else you should know--once they receive this letter, all collection efforts must stop immediately until they provide you with the validation you demanded. Now, this is OSI...and I have dealt with them myself, so I dont want you to have any illusions here. They have a history of not following the law. They actually had to file their own bankruptcy not too long ago because they cant even handle their own bills, how ironic....In the end, you may end up needing a lawyer--you are legally entitled to sue them for violations of the FDCPA. If you cannot find any satisfaction by dealing with them, I would then go to an attorney.