Jefferson Capital Systems, Legit?

Anonymous · ‎11-13-2008

I have an old debt from MBNA loan that I took out back in 1998. The total amount on the debt is around $3500. Obviously MBNA has closed my account and sold it off to debt collectors now and it has been through several of them. Pinnacle recently had it and they were trying to charge me nearly $9,000 on the old debt.

The debt has now switched to Jefferson Capital Systems. I received a letter from them stating they would allow me to pay $76 a month which would come to a total of $1368 off the entire balance. After paying that much, they would then place the remaining amount on a credit card/line and allow me to pay it off like it was a credit card account or loan.

This seems like a really good deal to get rid of the biggest of the 3 monkeys on my back regarding delinquent credit. I'm just not sure if this is a legitimate deal though. It offers me convenience in getting this debt paid off and I know I will have to pay it off eventually and so far this has been the best offer received from a debt collector.

I have done some minor research on the Internet and I have seen some negative things said about them (as with all credit and debt companies) but I have also seen some pretty positive things said about their services.

Has anybody used this company before to get out of a debt? Anybody know if this is a legitimate company with good intentions? Any information or assistance would be greatly appreciated. Thank you.

llecs · ‎11-13-2008

http://ficoforums.myfico.com/fico/board/message?board.id=creditnews&message.id=1926&query.id=123010#...

Anonymous · ‎11-13-2008

if this is from 1998 then it is way old, depending on your state the statute of limitations is likely 3-10 years so more likely than not this is obsolete and since older than 7 years shouldnt go on your credit either

Anonymous · ‎11-14-2008

@Anonymous wrote:
if this is from 1998 then it is way old, depending on your state the statute of limitations is likely 3-10 years so more likely than not this is obsolete and since older than 7 years shouldnt go on your credit either

That's the thing, the original creditor claim on this debt is set to go off my report next year but now Jefferson Capital Systems owns the debt and is reporting it to credit bureaus as it is on my credit reports. What options do I have?

Message Edited by phillyeagle on 11-14-2008 06:33 AM

Anonymous · ‎11-14-2008

@llecs wrote:
http://ficoforums.myfico.com/fico/board/message?board.id=creditnews&message.id=1926&query.id=123010#...

So, is this a good thing or a bad thing?

Message Edited by phillyeagle on 11-14-2008 06:34 AM

llecs · ‎11-14-2008

hayhayday wrote:
if this is from 1998 then it is way old, depending on your state the statute of limitations is likely 3-10 years so more likely than not this is obsolete and since older than 7 years shouldnt go on your credit either

I read it as the loan was opened in 1998. It could have gone south much later than that.

llecs · ‎11-14-2008

phillyeagle wrote:
@llecs wrote:
http://ficoforums.myfico.com/fico/board/message?board.id=creditnews&message.id=1926&query.id=123010#...

So, is this a good thing or a bad thing?
Message Edited by phillyeagle on 11-14-2008 06:34 AM

As evidenced by the info in there, it isn't a good company. I read through the FTC complaint and there's some real horror stories in there.

Plus they have been opening TLs with your own debt. But now they are closing those TLs. Salute Visa and Aspire Visa are great examples and many in here have been impacted by that.

FretlessMayhem · ‎11-14-2008

@Anonymous wrote:
That's the thing, the original creditor claim on this debt is set to go off my report next year but now Jefferson Capital Systems owns the debt and is reporting it to credit bureaus as it is on my credit reports. What options do I have?

Once 7 years has passed from the DOFD, all related collection accounts should be removed from your CRs.

Here we go again...

Anonymous · ‎11-14-2008

@llecs wrote:

I read it as the loan was opened in 1998. It could have gone south much later than that.

Yes, it was opened in 1998 but went south in 2003. On my credit reports, the original creditor's claim was last updated in November of 2003 and it is estimated to come off my report on February 2010 but what does that all mean? Is that good for me? What options are there?

Anonymous · ‎11-14-2008

Also, I'm not up on the acronyms used here. What is TL and DFOD and such? Is there a thread that explains acronyms used anywhere?