With most debt collectors, I'm in the camp that you do, in fact, need something in writing before you pay/settle with them. There are just too many horror stories of collectors saying they'll accept a settlement, and then applying the payment to the balance, and saying you still owe the rest. With no settlement agreement in writing, you have no recourse. That said, in 2021, snail mail just isn't the preferred method unless you're doing debt verification or something where you need a certified mail receipt. I have recently settled mutiple collections and charge offs during my rebuild, and once I had reached an agreement to settle, I simply asked the rep on the phone to email me a standard settlement agreement saying they will consider the account 'settled in full for a payment of $xxxx.xx'. All but one sent me the email almost instantly while I was still on the phone with them, and I then paid the agreed settlement amount before I ever hung up the phone. One took an extra day to send me the email, and I called them back and paid them the next day. If you're negotiating for PFD (and you should be for any collection) they may not agree to put PFD in writing, and that's ok. A standard settlement agreement shouldn't be a big deal to get, and you absolutely should in my humble opinion. Maybe the only exception in my mind is PRA.
Maybe and its a long shot. Have you checked your real reports and see if the remaining collections are actually owned by the CA? Go to free annual reports. If there is a balance at all on those 4 original creditors. Thats probably why they wont send anything with a plan. Because they dont own it. They just might be collecting on the OC's behalf. If so. Then settle with the OC.
@Anonymous wrote:
@CyberChick wrote:Don't make this unneccessarily hard. Don't wait for anything in the mail, it won't happen.
Just call - be ready to negotiate and then pay. When it is done - you'll get a letter or email that the account is settled/closed. Don't overthink it. And then it will fall off your report (they all delete, they just won't make any promises).
Assuming you have checked your reports and the debt is not with the original creditor...
Wow. I think you are the first post I've ever read that advises to just pay and not worry about getting agreement in writing. You must have gotten lucky in dealing with some very nice debt collector who were completely honest.
Yea, that's not particularly great advice. Maybe the 'negotiate and pay' part, but that's about it. All CAs most certainly do not PFD, and it won't just 'fall off your reports' until 7 years after DoFD if they don't agree to PFD. A standard settlement agreement should be obtained in writing or by email before paying the agreed amount. PRA is literally the only debt collector I'd be OK with just blindly paying with nothing at all in writing. Maybe others have dealt with CAs they 'trust' too, but PRA is it for me.
@Anonymous wrote:Hello, Here is some progress since first week of Sept. for my rebuild and questions:
Merrick/Carson Smithfield continues to give me the runaround. I have verbally talked about a settlement, yet they still have not sent me a letter about it. Each time I call, they act as though it's my first time requesting something in writing. Then yesterday, they repeated my address back with a different apt number. Interestingly, I know they have my correct apt number because when I first contacted them, within a week I received a "this is an attempt to collect a debt" letter from them. Is this some kind of stalling tactic?? Why wouldn't they want to get me the letter asap so I can pay asap? What benefit would there be to put me off?
Genesis/Columbia Debt Recovery went over a settlment offer by phone and splitting into 3 payments and said the only way they could send me a letter about the settlement offer is if I made the first payment by phone that day. I refused and told them I needed something in writing. They quickly said, too bad, the offer is off and the total due is the full amount, and good luck. Wondering if I will still hear from them in the mail with an offer to settle... or if they will just leave it and possibly take it to court for a judgment now.
Indigo card/Spring Oak went over settlement offer by phone and payment plan, but they refused to send me something in writing. The website shows only the full amount and on the payment plan section, shows the reduced amount split up. I don't trust it, though, without a letter.
On one hand, I think, why do I need to be so untrusting? Should I be grateful for the verbal settlement offers and just pay that with fingers crossed they don't demand the full balance beyond what I pay? In other words, what is the harm in trusting that? Is it worth it to stick to my guns and insist on settlement offer in writing?
Comcast/Waypoint - I settled and paid, they have since updated the amount and shows closed paid on credit report. Was told they would remove from credit reports, but that has not happened yet.
First Premier - settled, paid, still no update to credit reports
Credit One/LVN funding - settled, paid, still no update to credit reports
Progressive - settled, paid, still no update to credit reports
Capital One auto - settled, paid, still no update to credit reports
You can initiate the settle through mail, just send them a settlement letter to them, have them sign it they will return it to you after that you can pay whatever the amount on the agreement. Or you can just send them a validation letter through certified mail, ask them to validate the debt they claim you owe them. 99 percent of the time these jokes can't validate the debt therefore they have to remove the account from your report otherwise you can actually sue them for not validate or remove the account.
