Thanks to everyone who answered my first question. I should have mentioned that it was a Collection Agency and not the Original Creditor who refused a monthly payment plan.
Is it best to contact them once more or just write a letter along with my first payment explaining my situation, or should I do both?
2006-10-10 05:33:06 · 9 answers · asked by Anonymous in Business & Finance ➔ Credit
Once the collection agency has the debt it is out of the hands of the original creditor. Collection agencies buy the debt. The original creditor is done, contacting them will get you nowhere.
Keep a journal of everything you are doing to pay this off including payments, letters and phone calls.
2006-10-10 05:58:08 · answer #1 · answered by porkchop 5 · 0⤊ 0⤋
Some collection agencies buy the debt which makes it theirs so contacting the original creditor wouldn't help. Some agencies are hired by the original creditor and work for them. It is important to know which one you're dealing with. I would write a letter to their correspondence address, certified return receipt requested. I would also send a payment to them ASAP, whatever you can afford. A lot of agencies have goals for their collectors to meet. Who can get the most payment in fulls in a month, who can get the most first time payments in a month, things like that. Anyway, send a payment, they will take it then wait for them to contact you about your letter. If it take more than 30 days send another payment. Most agencies have a rule that they can't sue you if you've paid within the last 45-60 days. Depends on the agency as to how many days it is.
2006-10-10 06:09:28 · answer #2 · answered by NETTA M 3 · 0⤊ 0⤋
I ran a debt recovery team in the 1980's. Every company is different except - they are want to do business & will do as much as they can to find a solution. They should have told you what the minimum solution was. You might want to check with a credit counselling service - sometimes having someone else call the creditor will carry more weight. Your creditor may not have believed you, when you said it was the minimum you could afford. One tactic, is to list all your debts, bills & expenses. Then match them against any income. You need to show the creditor that you really can't afford to pay any more than you are offering & That if they take you to court, they won't get any more out of you. BUT - be very sure you don't try to pass off optional expenses as essential - if you are buying something on installments - see if it can be returned, to get rid of the repayments - even if you lose moeny on the deal, it can still cut your expenses. BTW - I'm going through some of this myself - I just got laid off from a $100K job - it went offshore for the third time in 5 years. So I know a little of what you are going through.
2016-03-28 03:47:55 · answer #3 · answered by ? 4 · 0⤊ 0⤋
Write a letter with your first payment and keep good records of your payments. It is against the law for them to refuse your payment however small it may be. You are making an effort to repay the debt. Make them aware that you have a legal right to make payments if you cannot afford to pay the full amount.
It would benefit you greatly to learn your rights. Go to www.aaapersonalfinace.com for more information on this matter. There is a 16.95 fee but it is worth every penny to learn about your legal rights where credit is concerned. Also, once the debt is paid in full, make sure that this company reports this to all three credit bureaus and you will have to make them do this because they won't do it unless you force the issue.
2006-10-10 05:53:05 · answer #4 · answered by Gussyellis41 2 · 1⤊ 0⤋
I would contact the original creditor and arrange a payment plan with them. Once things have been resolved with them, they can get the collection agency off of your back. But the agency alone is not authorized to do payment plans.
2006-10-10 05:40:30 · answer #5 · answered by Pink Denial 6 · 0⤊ 1⤋
I would send a payment to them, if they accept the payment. But you don't have to explain yourself to them, and they are just interested in collecting on the debt. If they send back your payment then you know they won't accept payments. So then the next time they call you, tell them since they refuse to accept your payments, you are setting that money aside, and as soon as it has accumulated to the amount owed, you will pay them. Most likely if you send a payment, they will accept it. And if they are threatening to take you to court, you should visit this website.
http://www.ftc.gov/bcp/conline/pubs/credit/fdc.htm This provides facts from the Fair Debt Collection Act, and lets you have more of an idea about your rights.
2006-10-10 10:16:11 · answer #6 · answered by Anonymous · 0⤊ 0⤋
you should call them and ask to speak to a manager/supervisor. most collection agencies will set up a monthly payment plan. if you are taken to court, generally they set up a monthly plan - so really, it sounds like the person you are dealing with is just trying to scare you.
i would also devise a payment plan and send it to them in writing with a "down-payment" amount and then a monthly payoff schedule. that way, if they do take you to court, you will have proof that you have tried to settle this. BUT, until you get an ok from them, i wouldn't send any money.
2006-10-10 05:43:08 · answer #7 · answered by kiki 3 · 1⤊ 0⤋
Contact the original creditor and make arrangements with them. Ask them to also notify the collection agency. You need to tell the collection agency you will only deal with the original creditor and please do not call you anymore.
2006-10-10 08:19:26 · answer #8 · answered by kathy p 3 · 0⤊ 0⤋
If u write a letter they are not going to respond to it! I have tried many times! Call them and tell them u would like to work something out, they cant force u! They sure wont turn what u can do down.
2006-10-10 05:41:36 · answer #9 · answered by smile114 2 · 0⤊ 0⤋