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CA calling before they send out the first dunning notice?

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DaBears
Senior Contributor

Re: CA calling before they send out the first dunning notice?

They said they sent one on Nov 22nd and called yesterday?

Message 11 of 28
Shellie
Valued Contributor

Re: CA calling before they send out the first dunning notice?

Yes.  I had to tell him repeatedly that I this was the first I had heard of it and why hadn't I received and communication.  He finally told me that they had sent the notice 11/22.

Message 12 of 28
RobertEG
Legendary Contributor

Re: CA calling before they send out the first dunning notice?

They are permitted to wait indefinately after obtaining collection authority, either by assignment from the creditor or purchase of the debt, to initiate active collection on the debt.

The date they received collextion authority is only significant in that the DOFD they must also report on the OC account must precede the date they received collection authority.

 

Dunning notice requirement is triggered when they make any inital communication regarding the debt.

Initial communication can come prior to dunning notice, so their reporting and/or call is not a violation.

Their commencement of active collection activities then imposes a requirement to provide the consumer the name of the current owner of the debt, its amount, and advisement of your DV rights within 5 days after their initial communication.  Reporting to a CRA is considered an initial xommunixatiion that triggers dunning notice requirement.  While failure to send dunning notice within 5 days after initial communication is a violatioo of fdcpa 809(a), that is a separate debt collection practices issue, and wont impose any block of their ability to report their collection, or to delte it if it was already reported.

 

After receipt of dunning notice, you will have the name of the current creditor and the amount of the asserted debt.

Upon reviewing that info, if you contest the debt or its amount, you can send a DV request for validation of the debt.

If the name of the current creditor is not sufficient for you to identify the asserted debt, you can also include in your DV a request for the name or the original creditor.

 

You can send a DV at any time.  If sent prior to the date of receipt of dunning notice, or within 30 days of dunning notice, it will automatically impose a bar on them for any further collection on the debt until they have provided verification of the debt, and if also requested, the name of the OC.

 

Whether to send a DV depends upon the circumstances.  If you challenge the debt, you would want verifcation prior to considering payment.

Once you send a timely DV, it puts all collection on the debt into limbo until they choose to respond.  They have no set period to provide verification.

Their "penalty" in the interim is that they must cease active collection until they choose to provide verification.

Additionally, they can immediately send verification, and report their collection, so a DV could trigger reporting.

 

Sending a timely DV will thus also prevent you from any negotations with them, such as a settlement offer or an ofer to pay in exchange for their not reporting their collection.

If time is not of the essence, you may choose to wait for verification.

However, if you agree that the debt is legit and wish to get immediate satisfaction of the debt, a DV can delay that process, and could lead to credit reporting that you might avoid by immediate negotiations with them.  Sending a DV is not, in my opinion, an automatic next step.

 

 

 

 

 

 

 

Message 13 of 28
Shellie
Valued Contributor

Re: CA calling before they send out the first dunning notice?

I don't have any options at this ponit.  I don't have the $2100.  Period.  So I don't even know what to do. 

Message 14 of 28
RobertEG
Legendary Contributor

Re: CA calling before they send out the first dunning notice?

One option would be to offer a payment plan in exchange for their agreement not to report their collection as long as you abide by that plan.

However, such an agreement could have side effects should you fail to make the payments.

In some states, it could reset the SOL on the debt, and it could also provide additional basis for legal action based on that separate contract.

 

What is the SOL on the debt in your state, and are you still within SOL?

Does your state provide for reset of the SOL should you make a firm offer to pay?

Message 15 of 28
Shellie
Valued Contributor

Re: CA calling before they send out the first dunning notice?

He offered me two $1k payments yesterday.  I think SOL is 3 years. So, yes it is still in the SOL.

Message 16 of 28
RobertEG
Legendary Contributor

Re: CA calling before they send out the first dunning notice?

Do you wish to continue those negotiations, or place a cease collection bar on them until such time as they provde verification?

 

Message 17 of 28
Shellie
Valued Contributor

Re: CA calling before they send out the first dunning notice?

Yesterday wasn't the day to be handling anything so I told him that when I received the letter I would reposed appropriately.

Message 18 of 28
Shellie
Valued Contributor

Re: CA calling before they send out the first dunning notice?

Got a call back from this CA just a little while ago.  It's TransWorld Systems.

 

He reminded me that we spoke on 12/03, which is correct.  He asked if I'd received the letter he mailed on 12/03.  I question him on this.  I said "12/03?  On 12/03 when we spoke you said you mailed it 11/15?" He said that he had in fact mailed it 11/15 and manually re-mailed it 12/03.  Either way I've never gotten anything from them. He said they have proof that it was received.  I said you sent it certified?  He said no, we pay the post office to return undelivered mail.  So I said, " So you just haven't received any returned mail."  He then told me that the post office send them a little card telling them it was delivered.  Whatever, dude! He said the only options he could offer me was 2-4 payments when I told him that I didn't have $2190 to pay it immediately.  I told him I didn't have an extra $550 to make the 4 payments.  He asked what I could do and I told him that right now all I could afford was $25, he refused.  He almost laughed and said that they couldn't accept that.  He said he would mark my account as a breach of contract. And asked if I needed anything else and hung up. 

 

I had to ask him who he was with and everything, he didn't want to give me any info.

 

I called the OC and they told me about all the work they put into collecting bc when they send them to collections they split what ever is recovered with the CA.  I asked if they sold the debt or hired someone to collect but she couldn't answer.  I said so you sold the debt to them and she said I don't really like to look at it that way. 

 

To me if you are splitting the money recovered you sold the debt?

 

Either way looks like I'm about to take another hit when this reports.  I don't have the $2200 to pay in full now nor do I have the extra $550 to make 4 monthly payments.  I signed up for this mid-2011 and now, of all times, is when it's going to show up. 

Message 19 of 28
guiness56
Epic Contributor

Re: CA calling before they send out the first dunning notice?

If they own the account, you cannot have a breach of contract with them.

 

At any rate, anything they tell you they are going to record, like refusal to pay, is just intimidation.

Message 20 of 28
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