10% settlement?
Date: Sun, 09/27/2009 - 00:49
I figured it was worth a shot. Attorney told me to just file chapter 7, seems how my house isn't worth what I paid for it 10 years ago and my only other assets are a couple of cars, KBB value being around $8k for both of them together (one is just a beater), plus I already had to sell my motorcycle. The account was charged off and bought by a local CA, so I guess they are in position to sue. I also have 3 more acounts that were charged off totaling another $10k.
My thought was try it as a last resort vs. bankruptcy, my income has declined 60% in the last 2 years due to the economy.
Plus I'm reading here that OC's are jumping at 33% settlements, and watching news reports of people who aren't even dealing with junk collectors or charged off getting as low as 20%.
Again, the OC charged off and sold to a local CA, I did get verification that they own the debt and I will have a settlement agreement written up and reviewed by my attorney before sending a money order, if the CA agree's to 10%, if not? Who knows.
Thoughts? I will be sending the letter out in 2 days. Let me know what you think.
10% is a very low offer. especially as a first offer! whether
10% is a very low offer. especially as a first offer! whether its accepted depends on the CA youre dealing with, but i would be very surprised it they accept an offer that low. be prepared to be let down on this one. but who knows...
When you concider that the CA probably bought the debt for .07/d
When you concider that the CA probably bought the debt for .07/dollar, if that, and they are tacking on intrest, which put me into a tail spin (didn't think they could do that after "charge off", which they shouldn't be able to IMO), am I being rediculious? And yes, it is a FIRST offer, they want to go up, I would want to go down of course...
Had a second thought and will consult my attorney first, did not mail the letter, but was interseted in thoughts....
BTW, 11k became 15k with interest and late fees, actually over 1
BTW, 11k became 15k with interest and late fees, actually over 15K now........