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Two Chargeoffs - How should I deal with CAs?


BeInformed2
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I have two credit card chargeoffs from Capital One - each for approx. $1,000. I have been getting calls from ACS (Academy Collection Services) on both accounts. They are offering a settlement (which I can't afford now). I have offered to pay $50 a month for the next couple of months and hope to increase the amount after that. They won't listen to me (or accept payment) and just continue to say "that is pitiful", "we are going to take this to small claims court", "your wages may be garnished", etc, etc.

How should I handle these folks. I am new to this site and have read a lot of great info. Should I start with making them validate? Should I continue to try and get them to accept somesort of payment plan? What is the best path?

Thanks!

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Thanks WillingToCope - at the end of the day, when I actually can pay this debt, I will have to go through the CA, right (assuming they are legit), not Capital One. And when you say "they will state, in writing, that the original trade line will be deleted from your credit report", what do you mean - the listing from Capital One that shows the chargeoff, or some entry from the CA?

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Well, if you come up with some money before the OC actually marks your CR "Sold / Transferred to another lender", you can try calling Crap1 and see if they'll deal. Since a JDB (Junk Debt Buyer) would only give them pennies on the dollar, you might get them to settle for 40-60%. Again, try to get your TL cleaned up or off the credit report (a little harder with the OC).

And yes, by all means, go ahead and DV. The FDCPA only says that if you don't DV within 30 days, the CA can assume the debt is valid and continue collections. Some CAs have taken that to mean that they don't have to validate past 30 days, but, there's a lot of discussion about whether that would hold up in court. Besides, if you miss the 30 days, the FDCPA says thats NOT an admintion of anything.

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