Help! Need some fast advice!

[Chrisla2077]

Today I received a dunning letter / settlement offer from Midland Credit Management saying they have just recently purchased an old Verizon debt. This is my third Midland Collection This Year. Worst part is I was  just about to send a letter to Verizon hoping to arrange a plan. I am sure that the debt belongs to me. Their settlement offer is for 10% of the debt, but from previous collections (this sounds worse and worse) I know that they will offer me 40% off the total once the the date on the settlement/dunning letter has passed. I want to do anything possible to keep this off of my credit reports....I just had 2 collections deleted, I don't want another one reported. Should I call Midland and offer to arrange a payment plan if they promise to keep it off of my credit reports...or send a letter saying that I will pay 60% of the debt if they will keep it from my reports. I want this done fast...so they won't report. I know that Midland is notorious for refusing PFDs.  Please help....quick!

[RobertEG]

I think your plan is solid..... an offer to pay in exchange for not reporting. 

You could just pay and hope they dont report, but payment, even if before they report, wont preclude their reporting of a collection.  They have collection authority, and can report at any time.

If that is your plan, you might not want to DV them.  If you DV, they will be under a cease collection bar, which would put an obstacle in the way of any ongoing negotiations.

[pizzadude]

Does the settlement offer state that they will not report to the CRAs if you pay now ?   It looks like people have had success with Midland deletions based on a quick search of the forums....

[Chrisla2077]

I'm not planning on DVing...unless that will stop them from placing this there. Should I call...or try to send a letter offer. I have until 2/7/12 to reply to their offer. In my last collection with them they reported about 30 days after settlement offer expired.

[Chrisla2077]

pizza...it doesn't...but I just really can't afford this.. i'd rather take a settlement that will stay off my credit than to PFD...or anything here.

[SoulMaster]

Wait a second... I'm missing something.

Your scores (form you sig) are pretty low right now, why would you NOT take the 10% offer?  Regardless of it winding up on your credit report, 10% is a GREAT offer.  If you want to call them and try to get a PFD, offer them 20%, but get the new offer in writing, along with the PFD language, which will be your proof to the CRAs later when they report it.

If you pay it, it may or may not wind up on your report, but it will be "Paid - Settled" and closed, which is much better than it sitting there open racking up lates. Send them a cashier's check CMRRR with a copy of the letter they sent you and a letter stating that you consider the matter closed.  This seems like a no brainer.

-SM

IANAL, I'm a paralegal though and my firm requires me to clarify that none of what I write is legal advice in every post I make.

[Chrisla2077]

The offer wasn't for 10% of the debt...if it was , I'd have taken it in a second..no questions asked....it's for 90% or 10% OFF the debt.

[Chrisla2077]

Sorry..meant to type 10% OFF in my original post not 10% of