what should i do if associate wouldn't renegotiate for a settlement of $780 for a credit debt of $995?

Question

I have a credit card debt of $995,called the collectors & asked them if i could make a monthly payment but the associate i talked with offered to give me $780 to settle the debt,so of course i jump at the offer,but i told her that it'll have to be on my next paycheck since i don't have the money right away i gave them a check with my routing & checking account # ,so then comes the day, that they were suppose 2 take it out of my checking account,i waited past the days,2 to 3 days,then a week & a half.so by that time i needed the money to pay my rent,food,& 4 my toddler.so i used it & then a few days went by, a message from my bank informed me that a returned check was made due to insufficient fund(of course it was insufficient i used it since the collection agency didn't take it off my bank, i needed the money), i called the agency & spoke with the same woman & she wasn't really nice & didn't want to renegotiate wants me to pay it as we agreed.

i wanted to pay it but she's not giving me a way to pay it off.And she's like saying that if i don't pay it, she'll have it sent for litigation.it's not like i'm running away from my debt.I was thinking of trying to talk with a diffrent person who'll be willing to negotiate with me and understand where my situation is.Pls. help what should i do?! I don't want this on court when i know i can pay it off!T_T

Answer 1

Sounds like you need to sign up for financial education classes. Are you one of those people who thinks they must have money in the bank because they still have checks? C'mon! You made an agreement and then didn't stick with it. And you wonder why the collector/associate was upset? Especially when you act as if it's their mistake?

Now, on a different note, even if you reneged on an appropriate offer of settlement, with your debt of $995, most of that is probably interest and fees. I will bet that most "good" collectors will still work out a reduction or an acceptable installment payment plan with you. What you need to do, is talk to another collector or supervisor. Explain "respectfully" what happened last time and that you overstepped your capabilities. Then negotiate a plan that you can actually handle or live up to. They are not truly interested in litigating a small debt like this if they don't have to. If they do, you will incur substantially more fees and costs and inability to pay is NOT a defense. So do your best to work out another deal with this collector or his/her supervisor.

Answer 2

Well i dont feel that sorry for you, you told them it was okay to take it out of your account, so you knew it would happen sometime soon, you shouldnt have spent that money, if you needed it for rent, etc. you should have thought about that before hand and set up a payment plan instead. Usually you can talk to the people who actually sent the debt to collections they can also give you a lower payoff amount.

Answer 3

First off... DO NOT LET THEM FREAK YOU OUT.

Tell them right off that you will pay them but unfortunately THEY NEED TO WORK WITH YOU.

If they tell you that they won't work with you then tell them that you will see them in court and when you get to court talk to the lawyer and they will "Settle" for about 1/2 of what you owe if you can pay them off at the time.

We are going through this with American Express... They changed the terms of our card without notifying us from a "Credit card" that would take monthly payments to a "Line of credit" that is required to be paid in full each month...

We couldn't pay it all at once, they refused to take payments, so they sent us to collections...

They threaton, scream, and bully but I keep telling them "I can write you a check for one million dollars RIGHT NOW but it isn't worth the paper it is written on... Either you take my payments when I can give them to you or I will see you in court..."

If they refuse to work with you then there is nothing you can do to change the situation...

Pay them what you can, when you can, and tell them, nicely, to go Fook Themselves...

I back-tracked their company info and the name of our rep to a call center in Phoenix (near where I used to live) so when that final payment comes due I'm going to do my damnedist to go down there and hand them the check in person... Just to let them know that if they keep bullying and screaming that it isn't that hard to find out where they are... and that they are lucky that I'm a nice person because the next person that they drive to insanity might not be so cool...

Answer 4

Talk with her supervisor. You are trying to make arrangements and it sounds like they did not follow promptly on their end. Next time get the agreement in writing and send them a check.

Answer 5

My god. Why would they work with you again. You stiffed them with a bad check. When you put the money in to cover the check you gave them you should have left the money alone not spend it again.