corkyhart Posted August 17, 2003 Report Share Posted August 17, 2003 I have been offered a 45% settlement on my Bank One/First USA credit card through Encore Receivable Management.First of all, I told them the most I could pay is $5000, especially since I will be responsble for the tax liability on the difference. They said this is the lowest they will go. I told them to send it to me in writing. The man also told me that he didn't think Bank One issues 1099 for settled debts. That was on August 7.I finally received the letter yesterday (8-16-03). In the letter it says I have until 8-28-03 to pay, and that I have until 8-17-03 to contact them to make arrangements. If they have not heard from me by the 17th, the offer is off. That's today!In their offer letter there is no mention that there will be no further attempts to collect the balance by them or any other party. Of course, I won't pay until I receive that assurance in writing. By the way, I have been trying to call their number all day. Should I contact Bank One? Would they still deal with me? Link to comment Share on other sites More sharing options...
sisflomi Posted August 18, 2003 Report Share Posted August 18, 2003 When did you last pay this with no late fees and what state are you in? How much do you owe? Link to comment Share on other sites More sharing options...
corkyhart Posted August 18, 2003 Author Report Share Posted August 18, 2003 When did you last pay this with no late fees and what state are you in? How much do you owe?It's been eight months since my last payment.I am willing to pay the settlement amount, but I want it in writing that this will end the collection process, that my account will be considered paid in full. I just got off the phone with the CA and explained what I wanted. He basically told me that I was stalling and refused to help me. He was totally unreasonable and wouldn't let me get a word in. Should I send a letter to the CA, stating that I agree with the settlement amount, but that I won't pay until I receive a letter from them with the assurances it will be considered paid in full. Isn't that my right? Link to comment Share on other sites More sharing options...
sisflomi Posted August 18, 2003 Report Share Posted August 18, 2003 Who is the original creditor? You can probably get them to reage this card and bring it current. If you tell me who the oc is, I will look up what they usually will do for reaging an account and post it for you. You can read about reaging here:http://debt-consolidation-credit-repair-service.com/phpBB2/viewtopic.php?t=6594 Link to comment Share on other sites More sharing options...
corkyhart Posted August 18, 2003 Author Report Share Posted August 18, 2003 The account is with First USA/Bank One. The balance with all the fees etc. is about $14.700. I can pay the settlement amount because I have it in a lump right now (inheritence), but I can't afford payments. Even after the settlement I would still owe about $8,000. So, as you can see reaging isn't what I'm after.I think he's just messing with me because now he won't get his commission by the 28th. Link to comment Share on other sites More sharing options...
sisflomi Posted August 18, 2003 Report Share Posted August 18, 2003 I agree, he prob is messing with you. Here is what I would do: Send this letter crrr to the OC. Keep sending this to them until the OC agrees. Do all you can to settle with OC and not the CA. What state are you? You may be able to do a restricted endorsement.AN AGREEMENT TO COMPROMISE DEBTNEVER settle a debt with a creditor without getting it in writing from them. Here is a letter you can send them to sign. Be sure to insert your terms for the debt within, and don’t pay it until you received an original copy with a signature on it.Max Creditor, referred to as CREDITOR and Jane Doe, referred to as DEBTOR, agree to compromise the indebtedness as between them. CREDITOR, hereby agrees to compromise the indebtedness due the CREDITOR on the following terms and conditions:The CREDITOR and the DEBTOR agree that the present debt due is $1436.18 (one thousand four hundred thirty six & 18/100 dollars). The parties agree that the CREDITOR shall accept the sum of $1000.00 (one thousand & no/100 dollars) as full payment on the debt. The acceptance of the payment will serve as a complete discharge of all monies due. The payment shall be made in cash.This compromise is expressly conditioned upon the payment being received by <date>. If the DEBTOR fails to pay the compromised amount by <date>, the original amount owed by the DEBTOR will be reinstated in full, and immediately due.Max Creditor hereby declares that he is authorized to act as an agent of the credit agency.This Agreement shall be binding upon and inure to the benefit of the parties, their successors, and assignees.Dated: Signature: Max CreditorCREDITORSignature: Jane DoeDEBTOR Link to comment Share on other sites More sharing options...
corkyhart Posted August 18, 2003 Author Report Share Posted August 18, 2003 What would happen if I just don't do anything right now. The CA may come back again, but this time with the offer I originally asked for. Don't you think time is on my side in this case? Link to comment Share on other sites More sharing options...
md Posted August 18, 2003 Report Share Posted August 18, 2003 I wouldn't go so far as to say that time is on your side. They can file suit and that wouldn't help you any. Have you tried contacting the recovery department at Bank One? Explain what is happening and that you would really like to give them the money but can't until so and so is in writing. Link to comment Share on other sites More sharing options...
corkyhart Posted August 18, 2003 Author Report Share Posted August 18, 2003 I will give that a shot. Thanks for all the advice. Link to comment Share on other sites More sharing options...
corkyhart Posted August 18, 2003 Author Report Share Posted August 18, 2003 By the way, I have not validated this debt. Should I do that before I do anything else? And, from what I've heard, it sometimes take months for suits to be filed, which gives me time to continue negotiations. Advice? Link to comment Share on other sites More sharing options...
sisflomi Posted August 19, 2003 Report Share Posted August 19, 2003 I think you owe too much for them to just sit on it and give you time. There next step could be to sue. Be cautious with what you do with this debt, its just too much money to play with. Link to comment Share on other sites More sharing options...
corkyhart Posted August 19, 2003 Author Report Share Posted August 19, 2003 What's the worst they can do to me? I own a house, but have no intention of ever moving, so if they put a lien on it, it will sit until I die. Does anyone know how the procedure goes when you're sued? Link to comment Share on other sites More sharing options...
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