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Just to share my experience, I didn't use a PFD letter. I paid what I owed directly to the Collection Agency. I waited for my collection accounts to show as, "paid" on my credit report and then I requested debt verification of the collection account from Equifax, Experian and TransUnion.
Equifax, Experian and TransUnion then requested verification of the debt from the Collection Agency. Since I already paid the accounts off, the Collection Agency didn't bother responding to Equifax, Experian and TransUnion, so the collection accounts were removed from my credit reports because they were not verified. There is absolutely nothing illegal, unscrupolous, unethical, immoral, dishonest or deceitful about asking for verification of your debt.
I'm not saying it will work for you, but it worked for me.
I too am interested in why not to use "dispute" in the letter but it is in the first sentence. Do you mean not to use it in the body of the letter? Also, I have 3 accounts with Bull City and one will fall off in August and the other 2 are medical bills. My question is do I send 2 separate letters after the biggest one falls off in August? Should I send them both on the same letter? And lastly what do I do for an account number since one isnt listed? I have requested a list of the bills from the Dr's office so I am hoping it will be listed there. Thanks in advance for your reply.
@sisyphuswins wrote:
@Tuscani wrote:Below is an example PFD (Pay for Delete) letter you can use.
-----
Collection Agency
1212 Maple St
City, State ZipRe: Collection Account for Original Creditor Account #: 00000xxxx
Amount: $25.00
To Whom It May Concern:
This letter is to inform you that the validity of this debt is disputed. I am not sure of the account number, as I have never heard from you regarding this account. The account number I have is the one listed on my Experian credit report – which omits the last few digits.
In the spirit of compromise, I am willing to pay this account IN FULL (or settlement percentage) if you agree to immediate deletion of this account from any and all credit reporting agencies (Equifax, Experian and TransUnion). The purpose of this settlement is merely to have this item removed from my credit files. It is not to be construed as an acknowledgment of liability for this debt in any form.
If you agree to the terms and accept this agreement, certified funds for the settlement amount of twenty-five dollars ($25.00) will be sent to Collection Agency in exchange for full deletion of ALL references regarding this account from my credit files and full satisfaction of the debt. As certified funds will be used for payment, there shall be no waiting period regarding the deletion of this account from the credit reporting agencies.
Collection Agency agrees to delete ALL information regarding this account from the credit reporting agencies WITHIN TEN CALENDAR (10) DAYS following receipt of payment as specified above and will not discuss the terms of this settlement with anyone, excluding your client on this account. If contacted by any third party, including credit-reporting agencies, Collection Agency will not acknowledge that any settlement offer was made, accepted or executed and will, in fact, deny knowledge of any such account.
If you agree to the above terms, please prepare a letter on your company letterhead explicity agreeing to the same terms as the above settlement offer and have it signed by an authorized representative of Collection Agency. It will be implied that this letter shall constitute a legally binding contract, enforceable under the laws of my state.
Your response must be postmarked no later than 15 days from your receipt of this settlement offer or this offer will be withdrawn and I will request full validation of this alleged debt, as provided for by the Fair Debt Collection Practices Act.
Please address all correspondence regarding this account to:
You
123 Any Street
City, State ZipPlease keep in mind that a PFD is a type of good will letter. Do not use the word dispute anywhere in the letter or it can cause problems. Also, you cannot give the CA/creditor any time limits on removing the debt if they chose to do so, or tell them who they can and cannot speak to.
Do not use any threatening language such as requesting validation if they do not accept your PFD.It is not necessary to send it CMRRR as it makes it looks forced.
guiness56, myFICO Moderator
Message Edited by Tuscani on 04-29-2007 09:55 AM
Message Edited by Tuscani on 04-29-2007 02:10 PMI am really really confused. You say don't use the word "dispute" but it's there in the first line of the letter. And you say don't say you'll request validation if they don't accept the PFD, but again it's right there in the penultimate paragraph. And you say don't put time limits, but there they are, in two places. So, is this an awesome letter, as all the comments indicate, or is it an awesome example of what not to do? I'm trying to put a PFD letter together for my BF's Capitol One account and i found this through a search, but it's made me more confused than when I started.
EXACTLY!
It's like this letter is what NOT to do (per the disclaimer) yet it is being lauded as the greatest thing since sliced bread.
I dont get it.
Which is it????
@liveguy wrote:
@sisyphuswins wrote:
@Tuscani wrote:Below is an example PFD (Pay for Delete) letter you can use.
-----
Collection Agency
1212 Maple St
City, State ZipRe: Collection Account for Original Creditor Account #: 00000xxxx
Amount: $25.00
To Whom It May Concern:
This letter is to inform you that the validity of this debt is disputed. I am not sure of the account number, as I have never heard from you regarding this account. The account number I have is the one listed on my Experian credit report – which omits the last few digits.
In the spirit of compromise, I am willing to pay this account IN FULL (or settlement percentage) if you agree to immediate deletion of this account from any and all credit reporting agencies (Equifax, Experian and TransUnion). The purpose of this settlement is merely to have this item removed from my credit files. It is not to be construed as an acknowledgment of liability for this debt in any form.
If you agree to the terms and accept this agreement, certified funds for the settlement amount of twenty-five dollars ($25.00) will be sent to Collection Agency in exchange for full deletion of ALL references regarding this account from my credit files and full satisfaction of the debt. As certified funds will be used for payment, there shall be no waiting period regarding the deletion of this account from the credit reporting agencies.
Collection Agency agrees to delete ALL information regarding this account from the credit reporting agencies WITHIN TEN CALENDAR (10) DAYS following receipt of payment as specified above and will not discuss the terms of this settlement with anyone, excluding your client on this account. If contacted by any third party, including credit-reporting agencies, Collection Agency will not acknowledge that any settlement offer was made, accepted or executed and will, in fact, deny knowledge of any such account.
If you agree to the above terms, please prepare a letter on your company letterhead explicity agreeing to the same terms as the above settlement offer and have it signed by an authorized representative of Collection Agency. It will be implied that this letter shall constitute a legally binding contract, enforceable under the laws of my state.
Your response must be postmarked no later than 15 days from your receipt of this settlement offer or this offer will be withdrawn and I will request full validation of this alleged debt, as provided for by the Fair Debt Collection Practices Act.
Please address all correspondence regarding this account to:
You
123 Any Street
City, State ZipPlease keep in mind that a PFD is a type of good will letter. Do not use the word dispute anywhere in the letter or it can cause problems. Also, you cannot give the CA/creditor any time limits on removing the debt if they chose to do so, or tell them who they can and cannot speak to.
Do not use any threatening language such as requesting validation if they do not accept your PFD.It is not necessary to send it CMRRR as it makes it looks forced.
guiness56, myFICO Moderator
Message Edited by Tuscani on 04-29-2007 09:55 AM
Message Edited by Tuscani on 04-29-2007 02:10 PMI am really really confused. You say don't use the word "dispute" but it's there in the first line of the letter. And you say don't say you'll request validation if they don't accept the PFD, but again it's right there in the penultimate paragraph. And you say don't put time limits, but there they are, in two places. So, is this an awesome letter, as all the comments indicate, or is it an awesome example of what not to do? I'm trying to put a PFD letter together for my BF's Capitol One account and i found this through a search, but it's made me more confused than when I started.
EXACTLY!
It's like this letter is what NOT to do (per the disclaimer) yet it is being lauded as the greatest thing since sliced bread.
I dont get it.
Which is it????
This really confused me, too!
Does this still really work?
"Just to share my experience, I didn't use a PFD letter. I paid what I owed directly to the Collection Agency. I waited for my collection accounts to show as, "paid" on my credit report and then I requested debt verification of the collection account from Equifax, Experian and TransUnion.
Equifax, Experian and TransUnion then requested verification of the debt from the Collection Agency. Since I already paid the accounts off, the Collection Agency didn't bother responding to Equifax, Experian and TransUnion, so the collection accounts were removed from my credit reports because they were not verified. There is absolutely nothing illegal, unscrupolous, unethical, immoral, dishonest or deceitful about asking for verification of your debt.
I'm not saying it will work for you, but it worked for me."
I REALLY like this idea...
Following the example fo PFD, you state time limits cannot be given yet in the example, it states a 10 day limit. Also, it says not to use the word "dispute" yet "disputed" is used in the first sentence. Please advise.