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DV - good idea or bad?

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Anonymous
Not applicable

DV - good idea or bad?

Hi,  I'm slowly starting to rebuild my debt.  I am confused about one thing right now.

 

I have 7 accounts in collection, all of them are valid debts.  All of them are within the SOL (live in a state with 6-years).  By the end of the year I will have enough to pay off the debts, but right now I don't have enough to pay off 100%.

 

Is it a bad idea to send debt validation letters, or settlement offers?  Will this just "wake the beast" and create a headache/lawsuit for myself?

 

Here is what I owe and to whom:

 

Verizon - $518

DOFD: 11/14

Date of Removal: 10/21

 

American Collections - $682

DOFD: 8/13

Date of Removal: 7/20

 

Transworld Systems - $1,467

DOFD: 2/13

Date of Removal 1/20

 

Suburban Credit Corporation - $614, $620, $230

DOFD: 7/13, 7/13, 7/11

 

 

Kohls/Capital One - $284

DOFD: 11/12

Date of Removal: 10/19

 

 

Message 1 of 3
2 REPLIES 2
RobertEG
Legendary Contributor

Re: DV - good idea or bad?

A DV request is for validation of debts.

If the debt is conceded as valid, there is really little basis to challenge its validity.

Even if you wish validation, a DV request must be sent within 30 days after dunning notice in order to be timely.

I assume, based on the age of the posted collections, that dunning notice was sent more than 30 days ago.

 

Even if timely, a DV does not require any response.  A timely DV imposes a cease collection bar, which remains in effect until validation is sent.

The debt collector can choose to remain under a cease collection bar, and not respond.

If the DV is not timely, the debt collector can chuck it in the trash can....

 

Finally, if your DV is timely, the cease collection bar it imposes cuts two ways. It prevents the consumer from making any PFD or settlement offers, as the debt collector is precluded from any collection activities, which includes payment negotiations.

 

As for making a settlement offer, the peril is slim to none provided you are willing, if they do bring civil action, to simply pay the full debt.

You might wish to make a PFD offer, preferably for the full debt, if deletion of the reported collection is your primary goal......

Message 2 of 3
Anonymous
Not applicable

Re: DV - good idea or bad?

When I was cleaning up collections on my CR I decided to reach out to all of them at the same time - before I had the money to settle - but I was able to set up payment arrangements in advance so I kind of staggered it to what I could afford. I always asked for home to send me back up and I got back in touch with them right away.  Most deleted the debt once it was paid and I didn't pay any in full. I think creditors, as long as you communicate and then arrange to settle are willing to wait a bit for payments. Just my two cents. 

Message 3 of 3
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