amount of money
Question
How can I make payment arrangements with a difficult collections agency?
The collections agency started calling me back in August. It was assigned to one agent and she worked on the file for almost two months, and now it’s been assigned to a pool of agents. Anyone who answers the phone will assist me. I have been going around in circles with them. I told them I couldn’t afford to settle for 50% of the debt and make three lump payments. I also told them I couldn’t afford to pay $50 per month which is supposedly their minimum hardship amount. I know I owe the debt but I want to be 100% the dollar amount they are claiming, which is a little over $1,200, is legitimate before I commit to making any arrangments. The only correspondence I’ve received from them is dated back in August. I have spoken to several agents and requested all contact be made in writing. They have made several claims that I said I’d agree to this or that and their claims aren’t true. They have also given me conflicting information regarding their policies and procedures. One agent said she’d mail me a debt verification letter out. Another told me they couldn’t mail anything other than what I’ve already gotten. One agent told me they prefer I use my checking account to setup auto payments, but I could send in a check or money order – if it were a day late my arrangments would be null and void. Another said a checking account is mandatory. There are many more instances I could give. Obviously, it makes no sense to give these people access to your personal checking account. I am a member of another message board and many have advised me to stay off the phone with the collections agency. I thought I was doing the right thing by keeping in contact with them, but apparently that is the wrong thing to do. They recommended I send a limited Cease & Desist letter that states all communication should be made in writing. I accidentally answered a call from the collections agency yesterday. The guy told me there is nothing else they can send me in writing and they will continue to call until a settlement or payment arrangements are made. I just said okay and hugn up. Here are my questions: 1) I want to setup an arrangements but I refuse to give them my personal checking account information. By law, can they refuse an arrangement if I agree to mail in the payment using a post office money order? 2) By law, do I have a right to be contacted in writing versus talking over the phone? I don’t trust these people. They have tried putting words in my mouth too many times. 3) What should I include in my letter requesting a payment arrangement? I want to be sure I don’t pay them and they continue to pursue this debt, sell it to another collections agency, etc. 4) Although it’s been over 30 days since they mailed their letter, is it too late for me to request a debt verification? By the way, this is for a business debt but they are coming after me personally. I never used my social security number of signed a personal guarantee. I know this for sure. All I gave them was my business Tax ID number. But they have pulled my personal credit and are asking how I am paying my other creditors, where my husband works, etc. 5) By law, do I have to give them any information about how I’m paying my bills, where my husband works, etc.? They keep saying they need to ‘update’ their information. One agent said they can’t accept arrangements from me without knowing how I will repay them. Does this make sense?
4 weeks ago - 3 answers
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1. They are not required to accept "arrangements" at all. You always have the option to pay in full with a post office money order. If you cannot or will not pay in full, they can refuse any other "arrangement" that you want. 2. Yes. You should never, ever, talk to a collection agency on the telephone. The only exception is that, if you do not have their address and cannot obtain it any other way, you can use the telephone to obtain their address, but only as a last resort. As soon as you have their address, you should immediately send them a letter by certified mail, return receipt requested, telling them not to communicate with you by telephone and to communicate with you only in writing. 3. Do not request a payment arrangement. Based on the information in your "By the way", you do not personally owe the money and do not have to pay it, unless you make a payment arrangement. If you do make a payment arrangement, you may be required to continue it, even if you were not originally required to pay. 5. No, you do not have to give them any information. However, as noted earlier, they can refuse to allow you to make payment arrangements if they do not have what they want. The only arrangement that they must allow is full and immediate payment. Partial payment or payment over time are acceptable only if they decide that they want to agree. Never tell them where your spouse works. If you do, they will illegally call him there.
4 weeks ago
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Other Answers
Read the fair debt collection practices act. 1) yes they can refuse but DO NOT GIVE THEM THIS INFO. They will take money as they see fit. 2)Not only do you have the right(send a certified letter telling them you will only communicate through the mail), it is a bad idea to do business with them over the phone. You need a copy of all of your communications in writing. 3)I wouldn't send them a letter for arrangements. First send a request for debt validation (google 'debt validation letters' for examples). Request a full account history, a copy of the contract giving them the right to collect and a copy of the original contract you signed. Do not except anything less. They will try but make them provide all of that information. 4)Nope. they have no proof the initial letter was delivered to you. 5)Don't give them any personal information. EVER! Do not take their word for it. Do not trust them. Do not give them any personal information. They lie for a living. You may also want to check the statute of limitations in your state. They may not be able to collect it anyway.
by timothy p- 4 weeks ago
- NEVER give out your checking account/bank routing numbers to debt collectors for making electronic debit payments. This is like giving the keys to your front door to a burglar. Once they have this info they can attempt to withdraw any amount from your checking account at any time. Pay only via USPS money orders. - When did you default and stop making payments on this debt? It may be outside the statute of limitations. There is a statute of limitations for credit card debt, which is the amount of time that they can successfully take legal action against you for the debt. This time period varies for each state. You can find this time period for your state by going to the link below and looking under "Open Accounts." www ... ===================== If you pay them, offer to settle at 25% and go from there: - Get all terms of any settlement deal you reach with debt collectors IN WRITING BEFORE you give them your money. This letter should state the settlement amount and that the account will be “paid in full” upon receipt of this amount from you. Keep the letter in a safe place. Never accept settlement deals over the phone that are not backed up in written terms. If you don’t, the debt collectors will deny that any settlement was ever made once they get your “settlement” money and will come back demanding more money from you. - By themselves, debt collectors have absolutely no legal power over you., they cannot garnish your wages or freeze checking accounts...only a court can authorize this and they’d have to go through the court system to do this.
by CatDad- 4 weeks ago