I'm trying to rebuild my credit after I fell into financial hardship. I was out of a job and had to pick and choose what I could pay and couldn't. I spoke to my credit cards and was able to go on temporary alternative payment plans for most of them. However, two of my cards were not helpful at all. I decided to miss 2 payments for one of the unhelpful cards and miss 1 payment for the other. Of course, this caused me to get late payments reported on my credit report. I also have student loans, so I missed payments there as well. As soon as I got a new job, I began speaking with everyone and budgeting on how to bring all of my accounts current.
During this time, one of my unhelpful credit cards attempted to perform an autodraft from my bank account (even though I had cancelled autopayments.) [The autopayment was originally set up weeks before my due date. I cancelled it, because I didn't want to make an early payment as I was trying to closely manage money.] My dumb bank waited 7 days before notifying me. To make matters worse, my credit card company made an attempt on each of those 7 days; sometimes, even trying twice within a single day. I was super angry. I was charged a total of 13 late fees.
I called my bank, explained the situation, but they gave me the run around and told me to call my credit card company. My credit card company feigned ignorance and only offered to give me credit (which didn't help with my overdraft situation.) I called my bank again, further explained everything, and they told me they couldn't help. They wouldn't even forgive a single late fee. The icing on the cake, my bank asks me if I want to pay my overdraft fee that day.
The total amount ended up being $800. Because I explained I was in financial hardship and couldn't pay it completely off anytime soon, the bank said their Collections Department would takeover. I was given a number to call them. I called. They told me my account would be closed, but they could reopen a new one for me later after I repaid the debt. I explained my financial situation, and we worked out a repayment plan.
Per the agreement, I am to pay $150 each month directly to the collections department until my debt is gone. Fast forward to now, I've been making those payments each month on time. (I've made 2 payments so far.) Three days ago, I received an email from a collections agency saying they are trying to collect a debt...the debt I had with my bank. It shows I have a credit for what I've already paid and what I still owe. I am really confused. I thought I already had a payment arrangement with my bank's collections department. Did my debt get sold? Is this a scam? (I didn't find anything. It looks legit.)
I checked my report today, and the collection isn't listed on there. I'm not sure what else to do except call my bank tomorrow? I'm incredibly worried because I don't want this to get onto my credit report.
