Help! A question about Zip Cash (Advice on Settlement Offer)

Hello Everyone:

I have been working with a debt settlement company that handles pay day loans. About two months ago, they settled with Zip Cash for $650.00 because the original amount was $825.00. I told my settlement company that the $825.00 was wrong. I didn't owe that much. And at the time, I couldn't find my original loan document to prove it.

So, the debt settlement company contacts them and states that I didn't agree with the amount. Zip Cash said that because I didn't make any payments on it is the reason I owe the amount.

So, I agree to make payments over the course of a few months. In any case, I located a copy of my bank statement that shows I only received $500.00 from Zip Cash in January 2008. Now I have proof that I didn't owe them the full $825.00. I know most traditional loans if you wanted to pay the balance in full they will drop the interest. Also, I made arrangements with a payday loan myself without the help of the debt settlement company and they dropped the interest and told me since I wanted to pay them off that all I needed to balance was the balance minus the interest.

Am I correct for thinking that I owe them $500.00. And if Zip Cash is going to settle, they need to Settle for less than $500.00. Why didn't my debt settlement company ask for proof? They are my representatives. I feel that they didn't do what they state they are the experts on to do.

Your advice is appreciated. What should I do? Should I finish paying the $650.00.

Sincerely,

Kimberly
Mississippi

P.S. I applied for the loan online.