Advice needed for settling and credit report
Date: Fri, 07/15/2011 - 03:58
I stumbled across this forum on Google while looking for answers, so I hope this is the right place to post my question. I have accounts with collection agencies (most were bought by the CA rather then just assigned) that's been outstanding for the past two years, some nearly three.
Most of these are under $2500 for each. I am finally able to work now and I am trying to pick up the pieces. I've received some settlement offers from some of the CA's to settle the debt, but after reading on here I wanted to know the following...
1. For the accounts I know are legit and don't require validation, how's the best way to safely take advantage of what they're offering?
2. How do I know for certain or control how they will update my credit report following a settlement (so it looks the least harmful or can they remove it completely?).
3. I've pretty much lost everything I had, so I no longer have a checking or banking account. The only method I have for paying is money order, is this safe or is there an alternative method?
Thanks very much for your time.
Yes, you can pay the money through money order. There is no harm
Yes, you can pay the money through money order. There is no harm in doing that. Once the debt is settled, you should ask the collection agencies to update the account status as "Paid as Settled" or "Paid as Agreed". Glance through the following page to know how to settle debts yourself:
http://www.debtconsolidationcare.com/steps.html
Make sure you are getting settlement offers in writing. They sh
Make sure you are getting settlement offers in writing. They should be on official letterhead with name of the original credit and the assignee, the current balance and the settlement amount agreed upon. It should also have a date in which that settlement is good thru.
Once paid, if paying by money order, you need to get a copy of paid money order from the issuer. A money order receipt is NOT proof of payment. You need a copy front and back of the paid draft. Keep the copy of the settlement offer and paid item together.
Your credit report should be updated to a zero balance to reflect settled in full or settled for less than the full amount.
Thank you both for the replies and info. I will be checking out
Thank you both for the replies and info. I will be checking out the link you provided, but I did want to ask, when asking for a copy of the paid money order can they refuse (or have they been known to do so)?
A few of the settlements offers I've received have the following info:
Company name / letter head
Date (and how long the offer is valid)
The original account info
The offer amount
