First Source Advantage - Charged off AMEX - BEGGING FOR HELP

[Anonymous]

Hello,

Last year I opened an AMEX card to get me through the my senior year of college. I did not pay the bill and it was charged off. The total bill is $2300.

I have secured full time employment and want to clear my debt. I keep getting calls everyday from First Source Advantage. My credit score is tanked. I really am seeking advice on what to do. I do not know if I should pay off First Source Advantage. It all seems very weird when speaking to them.

I am begging for advice and what to do. I am only 23 and have no idea how to handle a situation like this.

Thank you

Jillian

[Anonymous]

I assume First Source Advantage is a collection agency? If so, does the entry in your credit files show as coming from them? If it does, you can ask them for a pay for delete. In other words, you agree to pay it off if they agree to remove the entries from your files.

[Anonymous]

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@Anonymous wrote:

I assume First Source Advantage is a collection agency? If so, does the entry in your credit files show as coming from them? If it does, you can ask them for a pay for delete. In other words, you agree to pay it off if they agree to remove the entries from your files.

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On my credit file it is coming from American Express and says charged off. I tried to directly contact American Express to pay the debt and was told to call another number that was First Source.

And yes First Source is a collection agency. From what I understand since its on my credit report from American Express if I pay First Source they have no power to remove the account off of my credit report.

[RobertEG]

The first issue to consider is whether the debt collector is an assigned agent of the OC, or whether they have purchased the debt from the OC.

If the OC has sold the debt, then they can no longer receive payment,, and you must deal with the debt collector.

Thus, payment to the debt collector could be offered under either the condition that they delete their collection if they have already reported, or not report their collection if they have no yet done so.

Any deletion of the CO would be pursued via a GW request directed at the OC.

However, if the OC still owns the debt, you could offer to pay either the credtior or the debt collector.

If the collection is of primary concern, then a PFD or pay for not reporting could be offered to them.

However, if deletion of the charge-off is of primary concern, such as if the debt collector has not yet reported, then a PFD could be offered directly to the OC.

[darwin_wins]

What number did you try? Have you tried Global Collection arm of Amex? If they still tell you to call First Advantage, can ask if First Advantage is authorized Amex collection or third party?

I was called by CCS (Central Credit Services) and I wasn't sure and didnt want to trust CCS that they are authorized by Amex. I called them and when I said I need to verify that Amex has indeed handed off the debt to be collected by CCS on Amex behalf, we had a conference call and Amex confirmed it. 

If they are a third party, make sure you tell them you want everything in writing. Ask if they are willing to do pay for delete (Amex authorized won't do it) and get everything in writing. Once they send you letters, you can either pay them in full or settle in less. If you settle for less and Amex still has your debt, Amex won't issue you any new cards till you pay off old debt. Hope this helps.

[sjt]

FYI-

Amex does not sell their debts. They assign them to various collection agencies and rotate them every 60 days, so you need to confirm if they still have your debt. You might also call Amex Global Collections to get the status of your debt and to see if they can accept payment or give you the contact information on where your debt is assigned. You should also try to see if they can get you a Optima Card application for paying the debt in full.

[darwin_wins]

You are right sjt. I wasn't thinking when I said you should ask if they have sold their debt.

[Anonymous]

I also have a charged-off Amex account that when I call them to settle it says AmEx no longer has access to my account and to call First Source at 888-263-1099. I talked to AmEx chat on the web site and the guy said they are authorized by AmEx collections. I'd like to work out a payment plan but want to make sure AmEx will update the balance after I pay. What are your thoughts? Should I call First Source?

[darwin_wins]

If Amex has confirmed that they are indeed collecting on behalf of Amex then you should updates to your CR. I just paid off with another authorized agency and they said it will reflect in 2-3 weeks so by the end of this month I will see Amex balance as 0.

I say start paying them off as soon as possible and in a year after you pay off if your credit report is clean they will approve you for something. They may even offer you Optima which is a builder card (only offered by solicitation).

[sjt]

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@darwin_wins wrote:
If Amex has confirmed that they are indeed collecting on behalf of Amex then you should updates to your CR. I just paid off with another authorized agency and they said it will reflect in 2-3 weeks so by the end of this month I will see Amex balance as 0.

I say start paying them off as soon as possible and in a year after you pay off if your credit report is clean they will approve you for something. They may even offer you Optima which is a builder card (only offered by solicitation).

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+1

First Source is one of the collection agencies that Amex contracts with. When you pay they debt it will reflect that on your credit report. You should ask about getting an Optima Card in exchange for completion of the payment plan.