BoA settlement with CA questions

jeduhi · ‎08-10-2011

I have a charged off account with BoA DOFD 8/2009. The amount of the charge off is currently $2,319. BoA has apparently amped up their efforts to either collect on this money as the third year approaches for SOL. Being afraid of a lawsuit, I agreed to settle with the CA for 25% of the account balance. I know this is not suggested on here but my reasons are as follows:

I've contacted BoA multiple times via phone and letter to try to get somewhere on the debt. I'm not wanting to be sued for the balance, plus lawyers fees, plus court cost, etc. 25% also seemed like a decent compromise to no longer worry about the account.

I had the CA to post date the check for 8/24 giving them two weeks to send me a letter stating the account would be "resolved" once said payment is made. To any experts on here, will the CAs verbage of resolved stand up in court should BoA or any other CA try to collect on the debt? Also, I spoke with the CA about PIF for deletion from CRAs, they stated they do not report to CRAs, and they have simply been hired by BoA to collect the debt, they haven't purchased the debt. I asked that somewhere on the settlement form they're sending me that they notate that this account would never be reported to the CAs. Rep stated a uniform letter is sent out and no verbage can be added to the letter, seems unlikely to me, but I spoke with two other reps who also stated letter can not be altered. They stated the account was submitted to them on 8/3 and currently CA is not reporting on any CRA. Does this make sense to anyone with experience, and should I be okay with them verbally agreeing it will not be added to any of my CRs. My main goals here are to cease collections on this account, make sure this never hits any CR as a collection, and make sure no one can ever harass for another dime on this account. I understand BoA will update the account, and I will GW them until the give up or I have my credit re-established to a level this account is no longer effecting me greatly. I have documented all information and will put a stop payment on the check if anything seems out of place. Thanks in advance.

Booner72 · ‎08-10-2011

Hi there - the only concern is that you sent them a check w/ your personal banking information. If they did not follow their word and moved forward to sue you, it would be easy for them to get at your bank account. Don't mean to scare you but I never thought once about sending CA's checks, and read about this risk factor here at MYFICO. Probably too late to do anything about it now, though, since you sent it in.

STARTING: 11/24/10 EQ-584 EXP-648 TU04-595
CLOSED FIRST HOME 8/19/11 EQ-630 EXP-691 TU04-653
CURRENT: EQ-701 EXP-??? TU08-720

jeduhi · ‎08-10-2011

@Booner72 wrote:
Hi there - the only concern is that you sent them a check w/ your personal banking information. If they did not follow their word and moved forward to sue you, it would be easy for them to get at your bank account. Don't mean to scare you but I never thought once about sending CA's checks, and read about this risk factor here at MYFICO. Probably too late to do anything about it now, though, since you sent it in.

They haven't threatened to sue, but since it's entering the third year I figured since the calls have escalated the lawsuit isn't far off, and better to settle now. I didn't mail them a check, I provided the info over the phone which is essentially the same. I don't think they would suddenly begin reporting to the CRAs after payment however I want to ensure this doesn't happen.