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New Contributor
Posts: 53
Registered: ‎03-31-2008
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VZW Settlement Letter

Hi all! I received a letter from VZW offering me a 50% settlement off of an unpaid bill from '08... To make long story short, I'm responsible for the debt... What should I do? I don't want a paid CO nor do I want a CA coming after me once VZW sells the debt... I've tried the Planetfeedback route for PFD (3x) but no luck... What the heck should I do? This debt has been a thorn in my side for two years!! :smileysad:  

Mega Contributor
Posts: 19,098
Registered: ‎03-19-2007
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Re: VZW Settlement Letter

Is VZW an OC, or a debt collector?

You have an unpaid debt.

Payment will, either with a settlement for less than the full debt or a settlement in full, close out the debt, and thus forclose any further debt collector reporting of the paid debt, and also, of course, any legal action to seek judgment on the debt.

But payment alone wont result in any CR deletion of any prior reporting of derogs.

If avoidance of futher creditor action, such as a CO, CA, or lawsuit is your primary concern, then negaitiate the best terms you can with them.

 

New Contributor
Posts: 53
Registered: ‎03-31-2008
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Re: VZW Settlement Letter

 


RobertEG wrote:

Is VZW an OC, or a debt collector?

You have an unpaid debt.

Payment will, either with a settlement for less than the full debt or a settlement in full, close out the debt, and thus forclose any further debt collector reporting of the paid debt, and also, of course, any legal action to seek judgment on the debt.

But payment alone wont result in any CR deletion of any prior reporting of derogs.

If avoidance of futher creditor action, such as a CO, CA, or lawsuit is your primary concern, then negaitiate the best terms you can with them.

 

VZW is the OC

If I were to accept the settlement can't VZW sell the balance to a CA?

Also, won't settling also bump up the DOLA?

I have no issue paying the complete balance in full, as a PFD of course.

 


 

Moderator Emeritus
Posts: 32,869
Registered: ‎08-04-2007
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Re: VZW Settlement Letter

If you're not wanting to pay without a PFD, then your only option is to keep sending PFDs. It took over a hundred PFDs before they finally relented. Keep trying.

 

Doing anything to any TL (dispute, letters, paying) will almost always reset the DOLA. The DOLA doesn't matter anyway though. The date that cannot change is the DOFD and that's the date that CRTP is based off of. Nothing can change DOFD.

 

 

New Contributor
Posts: 53
Registered: ‎03-31-2008
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Re: VZW Settlement Letter

Thanks llecs! I appreciate the info!

Regular Contributor
Posts: 199
Registered: ‎03-11-2009
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Re: VZW Settlement Letter

>>Nothing can change DOFD.

 

Except for Americredit who did re-aging to me

Mega Contributor
Posts: 19,098
Registered: ‎03-19-2007
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Re: VZW Settlement Letter

When you make a settlement offer, it has the terms of satisfaction of the debt, whether payment  is for the full amount of the asserted debt, or for some negotiated settlement amount for less than what they were asking. 

It settles the debt.  Sure, they can post a status code to your CR indicating that the debt was settled for less than the full asserted amount, but that only hurts you in a manual review of your CR. And sure the posting of the prior derog will still remain in your CR, and thus continue affect your credit score.

Settled means settled.  They cant charge-off or refer for collection a settled debt.

 

If you hold out for response to a PFD offer, they can just ignore it, and charge off the debt, refer it for collection, or even bring legal action.

A PFD is a gamble, in the hope of gaining the additional prize of CR deletion.

New Contributor
Posts: 53
Registered: ‎03-31-2008
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Re: VZW Settlement Letter

 


RobertEG wrote:

When you make a settlement offer, it has the terms of satisfaction of the debt, whether payment  is for the full amount of the asserted debt, or for some negotiated settlement amount for less than what they were asking. 

It settles the debt.  Sure, they can post a status code to your CR indicating that the debt was settled for less than the full asserted amount, but that only hurts you in a manual review of your CR. And sure the posting of the prior derog will still remain in your CR, and thus continue affect your credit score.

Settled means settled.  They cant charge-off or refer for collection a settled debt.

 

If you hold out for response to a PFD offer, they can just ignore it, and charge off the debt, refer it for collection, or even bring legal action.

A PFD is a gamble, in the hope of gaining the additional prize of CR deletion.


Unfortunately, the debt was charged-off in 2008... Am I just better off paying the settlement?  I've already sent 3 PDF letters with no positive outcome. Should I have one last PDF campaign before I settle?

 

Senior Contributor
Posts: 3,626
Registered: ‎10-13-2009
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Re: VZW Settlement Letter


RobertEG wrote:

When you make a settlement offer, it has the terms of satisfaction of the debt, whether payment  is for the full amount of the asserted debt, or for some negotiated settlement amount for less than what they were asking. 

It settles the debt.  Sure, they can post a status code to your CR indicating that the debt was settled for less than the full asserted amount, but that only hurts you in a manual review of your CR. And sure the posting of the prior derog will still remain in your CR, and thus continue affect your credit score.

Settled means settled.  They cant charge-off or refer for collection a settled debt.

 

If you hold out for response to a PFD offer, they can just ignore it, and charge off the debt, refer it for collection, or even bring legal action.

A PFD is a gamble, in the hope of gaining the additional prize of CR deletion.


Not unless it is clearly stated that the amount is in full satisfaction and you can evidence this with a notarized General Release further down the road. 

 

Unless one wants to risk this to come back and bite them in the rear at some future point, always -- always -- get a notarized General Release when making a settlement.

IAALBNYL
Moderator Emeritus
Posts: 32,869
Registered: ‎08-04-2007
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Re: VZW Settlement Letter


aot2002 wrote:

>>Nothing can change DOFD.

 

Except for Americredit who did re-aging to me


DOFD is the date you first went late and never recovered. If you became current after the first 30 days, then the DOFD resets if you become late again. Though I will say one thing about Americredit, if they changed your reporting history to show you were current when you were late, thus changing the DOFD, then it wouldn't surprise me. I have a redeemed repo with them and they report that the car was repossessed twice, one month after the other. Certainly not true and I've tried nearly everything to get them to change it.

 

I will tell you that if you send them GW letters, they will likely mark your account as being in dispute. If that happens, your FICO score will not score your lates and could increase your scores. I'll send a GW, they mark it in dispute, and my FICO goes up with the payment history changing from "good" to "great" and the annoying red flag on the Glance page disappears every time. On the flip side, some lenders don't like that comment.


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