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corkyhart

Settlement with U.S. Bank

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Does anyone have experience settling with U.S. Bank? I'm at the beginning of negotiations. I just wondered how reasonable they are to deal with.

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First off, give us a bit of information like how old is this account, and what is the current balance you are looking at now?

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The account is seven months past due (they are just getting ready to charge off). I owe about $8500; I offered them $3000, which is about 35%.

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Well, I am not one for advising on settlements - but I think this early in the game 35% is a mighty bit hopeful. Might be 50% you can start with but most likely 70-80 area is just my guess.

Give a wait see, for some of the other members - to add on this part.

What the hay - at the worse they don't respond, and you just drag out the negotiation process longer, but you have to start somewhere. Best of wishes, if you are fortunate - you may even wear them out. :-)

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Hate to burst your bubble, but I don't think you'll be able to SIF for very much of the balance. From my experience %50 for a SIF (settlement in full) is doubtful at this stage. Usually accounts at thier first agency (called "primes" in the industry) will settle for %80, and sometimes not even that for at least 2-3 months after placement. From my experience exections can be made for a documented hardship (give them a real sob story) or for large balances like this one.

Subprime accounts you can settle for less as well. If your card had a lot of fees added on (annual, appliction, proccessing, ect...) and a high interest rate it was probably a subprime. I was working Capitol One accounts that were at the 5th agency (called "quints", 3-4 years after charge off) that could be SIF'd for %20 3 months after placement, which you could tell from the CR the amount was close to what their original credit limit was.

Let me know how they respond. Good luck.

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I'm still waiting for this account to be charged off. I heard from U.S. Bank again today (phone). I normally don't answer the phone without checking caller ID, but I was caught off guard. It's been 11 months since my last payment. The man who called me is from the recovery department of U.S. Bank. Does U.S. Bank have an in-house collection department? I thought OC's had to charge off after 6-7 months. I want to send the DV letter, but from what I understand, you can't DV the OC. Is that correct? And, are they in violation of a law for not doing a CO.

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Cocky, I have an account with Chase that is over 7 months since my last payment. At first they wanted 80 % of the debt paid in a settlement. I rejected it and told them that I can only give them about 20%. They call again and wanted 50% and I still told them I can only give them what came out to be about $200. Finally, after 2 months of not responding to their letters or calls , I get a letter stating that they will accept 35% of the debt for settlement, but I didn't answer as i want to pay only 30%. For it is not greed or anything, for my reasons not to settle. It is because i dont have nothing, been unemployed for almost 1 and half years. But thinking how they called me after the deadline to settle at 35% had come and gone, and they still insisted on 35%. I took it as my opportunity to now accept it, but on my terms , which I state in my letter.

I dont know why my account did not get charged off , like I thought it was supposed to , like you stated also. Maybe some creditors are deliberately holding on to the debt past the 180 days , because they noticed that when in collections, within 2 months the collection got them to pay the debt or settle. I dont know just my guess when looking at why one creditor does something, and another doesn't.

Side note, I even had a creditor pay two months for me, as what look like their prevention of me going past the 180 day mark. Thing is I didnt ask them to do it. Tell them the amount you want to settle for, explain your hardship, but goodwill to want to settle account, stick to your guns. And just wait and see if they come around just around the 9 month period to settle. Try anything, but I think as many will agree , is that you dont want it to be charge off. Good luck to you.

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