candydandy

Need Help and Advice!!!!

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I'm hoping someone here can help me get a handle on where to go from here. I'm listing my total debt, and the status of each one. What's the odds of them taking me to court for these accounts, and what percentage do you think each one will settle for?

MBNA $4,021.00 (Status is showing 120+ days past due, but I haven't made a payment in 12 months ???!!!!)

Citi Financial $2,424.00 (Status: Charge Off 12/2001)

Providian $1,913.00 (120+ Days Past Due. Last Activity 1/2003)

Household Bank $3,157.00 (Status: Charged Off Last Activity 12/2002)

NextCard $1,603.00 (Status: Charged Off Last Activity 11/2002)

JC Penney $337.00 (Status: Charged Off, Last Activity 4/2003)

Capital One $1,186.00 (Status: Charge Off, Last Activity 6/2002)

The SOL on these are not close at all, so I thought my best bet would be to try to offer settlements to each company and ask to have it reported as Paid As Agrees, or deleted completely from my credit report.

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First.. what state are you in ?

The dangerous ones I see are Crap1, Providian, and Citi - they ALL sue and for small amounts.

There are indicators most use to decide whether its worth it to sue you.

Do you own an home, how long, how much equity ?

Do you own other non-exempt assets that could be seized ?

Do you have a good paying job ??

Crap1 and Discover will sue for ANY amount, so you need to be careful.

How low creditors or CA's will go depends on the age of the debt. The older the debt and the more CA's its been thru, the lower the settlement you can negotiate for.

MBNA is a baddie.. for that amount they are likely to sue or at least try to force you into arbitration - and they're hard-asses about settling.

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I am in Alabama, so the SOL is 6 years.

There are indicators most use to decide whether its worth it to sue you.

Do you own an home, how long, how much equity ?

Buying, have about $2,000 in equity in it (if that!)

Do you own other non-exempt assets that could be seized ?

None at all.

Do you have a good paying job ??

Am not working right now, and haven't in over a year.

What about the other ones? Nextcard, JC Penney, Household Bank,

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Since the majority of mine are already showing "Charged Off", does that mean they might be willing to settle for the 30-45%?

MBNA $4,021.00 (Status is showing 120+ days past due, but I haven't made a payment in 12 months ???!!!!)

Citi Financial $2,424.00 (Status: Charge Off 12/2001)

Providian $1,913.00 (120+ Days Past Due. Last Activity 1/2003)

Household Bank $3,157.00 (Status: Charged Off Last Activity 12/2002)

NextCard $1,603.00 (Status: Charged Off Last Activity 11/2002)

JC Penney $337.00 (Status: Charged Off, Last Activity 4/2003)

Capital One $1,186.00 (Status: Charge Off, Last Activity 6/2002)

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Absolutely! You need to be firm with them. I negotiate these types of settlements everyday. I love it when an account first goes into collections. But heres the key. Do you have the money to pay them if you did negotiate a settlement? If not don't worry offer another 10% on each settlent if they will break it in installments.

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Within the next 60 days, I should have enough to pay out a total of about $2,000 in settlements to the companies I listed. Since JC PEnney is the smallest, I figured I would make them an offer for sure. Any suggestions on some of the other ones I could make offers to, as well as the amount I should offer?

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i'm in a similar situation to candydandy. i have 3 charge-offs on my CR:

MBNA $10,000

CITI $6000

METRIS $6000

CITI was last one i heard from. they tried a wage-garnishment about 3 weeks ago, but they had my employer wrong, so i did nothing and haven't heard from them. i can settle for 30-45 cents on the dollar, but i also want the TL's or the entire accounts deleted. i'm new to this and have heard of CHOD??? could this potentially remove the accounts from my CR or should i settle? any thoughts hugely appreciated

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clyde: Welcome to the CIC.

It sounds as if Citi already has a judgment against you so you need to deal with that account first. Were you served with a Summons and Complaint and did you respond (sounds as if they may have obtained a default judgment)? Are you receiving collection letters on the other two accounts? If so, then you need to DV them and include a limited C&D today.

Since you are brand new to all of this you need to read this entire board, most importantly everything under the links on the homepage and the stickies at the top of each forum. Use the Search function to search for terms that you don't understand. That will give you a good base for understanding how to deal with collection agencies and credit repair. Make notes and then come back to ask your questions.

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breathing: thanks for the info. i just joined, but have been reviewing info on this site for the last 6 months or so.

i've done the whole summons & complaint stuff; i showed up for the first few hearings for all these accounts & even spoke directly (but briefly) to the CA attorney's. then i started talking to my friend's lawyer on trying to settle; he went to them and basically offered $10,000 to satisfy all 3. we heard nothing until i got the wage-garnishment letter from CITI.

prior to the suits from all 3 accounts, i did the DV letters, but they just kept sending me my old billing statements and told me to pay up. MBNA even said they won an arbitration, but i haven't heard from them in months.

my thought is to write the OC's offering to settle for 30-45 cents on the dollar and get all negative TL's removed OR try the whole CHOD thing. the only thing i'm not clear on CHOD is if i do get the charge-offs removed from my CR, can the CA's still come after me for the alleged amounts? Thanks again.

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clyde: If the CAs have judgments on all three accounts I'm not sure how eager they will be to settle. If they do, my guess it will be higher than 45%. How did they respond to your demand for validation in the Answer you filed to their Complaint? It's odd that you haven't received any paperwork regarding the judgment. Have you moved recently? Yes, even if you get the TLs deleted from your CRs they can still come after you for the amounts owed.

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breathing: i guess i'm getting a little ahead of myself. i know CITI has a judgement, but i don't know for sure on MBNA or METRIS. i'm only assuming the worst because i haven't heard from them in a few months. one CA attorney is representing both MBNA & METRIS. when i showed up in court to answer complaint the judge granted me an extension at which time i DVed the CA again, but they always sent me my past billing statements with a letter telling me to pay up. i haven't moved, but keep waiting for a knock on my door from some guy in a trenchcoat who will make my life a living hell (sorry--a little paranoia). another thought i had was to try to settle with CITI for 50-80 cents on the dollar since they seem to be the ones taking the most action right now, then deal with the other ones as they come up. but i'm afraid if i settle with one, the sharks will smell blood in the water and demand money i don't have right now. any thoughts?

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