Debt Collectors
Date: Thu, 02/04/2010 - 17:33
We all need to start acting like creditors. I just spoke with a debt collector from M.R.S. Associates, LLC.
I walked her through how a credit card is nothing more than potential debt until it is used. Once it is used a receivable arises from such use. I then explained that the receivable is sold with a whole bunch of other receivables for the exact value of the receivable.
For example, a $5000 balance on a credit card account is sold by the issuing bank for $5000. The purchaser, such as the Chase Issuance Trust securitizes the receivable into a pool of other receivables and issues an investor certificate to bond holders.
The certificates are purchased and the proceeds are remitted to the issuing bank. The bank also receives a servicing asset in an amount usually the spread between the investor interest rate and the APR on the credit card account.
So, if I stop paying, the bank is only out the lost servicing asset.
I offered them .02 for every dollar on the account. She said two things that were not true and tomorrow I will be sending her an invoice and demand letter for violating my states debt collection statute.
I will then spend the $175 filing fee and sue them for $2500. . . I am thinking like a creditor
I walked her through how a credit card is nothing more than potential debt until it is used. Once it is used a receivable arises from such use. I then explained that the receivable is sold with a whole bunch of other receivables for the exact value of the receivable.
For example, a $5000 balance on a credit card account is sold by the issuing bank for $5000. The purchaser, such as the Chase Issuance Trust securitizes the receivable into a pool of other receivables and issues an investor certificate to bond holders.
The certificates are purchased and the proceeds are remitted to the issuing bank. The bank also receives a servicing asset in an amount usually the spread between the investor interest rate and the APR on the credit card account.
So, if I stop paying, the bank is only out the lost servicing asset.
I offered them .02 for every dollar on the account. She said two things that were not true and tomorrow I will be sending her an invoice and demand letter for violating my states debt collection statute.
I will then spend the $175 filing fee and sue them for $2500. . . I am thinking like a creditor
you're thinking like a scam artist. you sign a contract you agr
you're thinking like a scam artist. you sign a contract you agree to the terms of that contract. if you hired someone to do a service, signed a contract, and then they never provided the service, you wouldn't pursue restitution?
