Dealing direct with Debt Buyers, bypassing the collectors.

[Anonymous]

Greetings from the tropics!

New Kid to the community, thanks in advance for any advice!

A bit of background; 2 years ago, i hired a debt settlement company ( disguised as a law firm), they managed to arrange settlements on 6 of my 12 derogatories.  I terminated the DSCs services in June, and since have paid off Cap One and BOA the full amount of the settlement which remained. Those 2 were simple, Cap One was a direct settlement, BOA had their Collection atty direct as well.

I have an agreement with 1 other OC, and they are not reporting to any CRAs, so I am still sending them Monthly payments.

Here's the rub, the rest of the settlements are through collection agencies, and I have sent multiple letters and made multiple phone calls, to try and pay them off in full, to no avail. Has anyone had expierence dealing direct with Debt Buyers in this type of scenario?

[Remedios]

@Anonymous  Hi and welcome to the forums 

Could you please clarify something for me

You settled collections for amounts less than owed, they are in closed status, but now you want to pay the difference so it reflects paid in full? 

[Anonymous]

@Remedios

No,Sir.

I simply wish to pay of the agreed upon settlement amount remaining, i.e. $2000 agreed upon, $1000 owed.

I have a new found sympathy for my former DSC, as the colllections agencies are super difficult to communicate with, let alone negotiate with.

[Remedios]

If you want to pay collection, you have to go directly to whomever currently holds the debt. Your CR should list who the collection agency is. 

With most collection agencies debt can be paid over the phone or via website. I'd call the collection agency to ensure settlement terms are in effect then pay it. 

What I'm unsure of is what do you mean by dealing with "Debt buyers". 

Just about all collection agencies are debt buyers.

Granted, there are some less savory companies that buy debts, then resell, but you would not be dealing with those people ever, as they deal directly with CA. 

[Anonymous]

Remedios,

The "Debt Buyers" are the ones who purchased my debts I'm referring to. The CA are the ones hired by the DB to collect on that debt.

Hence, the CAs negotiated the settlement with my former DSC, The CAs are the reps for the DBs, so prior to discharging my DSC, the CAs were paid from an escrow acct in my name, towards the debt that the DB now owns.

Thank You for your response and welcome. I will be updating this thread as my issue evolves.

Respect,

TRFM 

[RobertEG]

A debt buyer is a party who is attempting to collect on a delinquent debt that originated with another, and thus is clearly a debt collector under the definition provided in the FDCPA.

A debt buyer would NOT also be a debt collector if they purchased the debt while it was not delinquent (which is referred to as "factoring").

A debt buyer could additionally choose to assign collection authority on a purchased, delinquent debt to another debt collector, such as if they are not licensed in the state of residence of the consumer, and thus you could have a debt collector as owner, and another debt collector as their assigned agent.

However, you are still dealing with a debt collector, and all provisions of the Fair Debt Collection Practices Act (FDCPA) would apply to either debt collector.  

More specifically, you can request debt validation if timely, impose a cease communications bar, or otherwise rely upon any debt collection practices requirment of the FDCPA in dealing with any debt collector.

[Anonymous]

Update:

Well, one of the Debt Buyers filed suit, so much for trying to settle (LOL).

Funny how these shady lots call you a bazillion times a day, but when the consumer tries to negotiate, they pull the trigger and file a claim.

I hired an attorney, and will update as this evolves.