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CAC,Biased?


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I saw on the CAC page that it states that it is against California law to pay the the OC once a CA has control of the debt. They consider them selves the owner... is this a bogus claim or is their a place where I can actually see it in writing....

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4. Why can’t I just continue making payments to the original creditor to whom I owed the money?

In California, once the debt has been assigned to the collection agency, it is the collection agency that is entitled to receive all payments. The collection agency becomes the "owner" of the debt you owe. The collection agency is responsible for collecting the debt and is the only one who can agree to payment terms.

this is from the CAC page.. where is the leagal referance? is it true? :?:

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4. Why can’t I just continue making payments to the original creditor to whom I owed the money?

In California, once the debt has been assigned to the collection agency, it is the collection agency that is entitled to receive all payments. The collection agency becomes the "owner" of the debt you owe. The collection agency is responsible for collecting the debt and is the only one who can agree to payment terms.

this is from the CAC page.. where is the leagal referance? is it true? :?:

The bottom line to that is, if the OC reported the debt to a CA when they should not have, then the OC by rights should recall the debt from collections. Examples of this are; disputes on the bill, an OC charging a consumer for goods or services that were not delivered as promised or expected, or not ordered! A dispute with the amounts you were charged. Charging a consumer for products or services which the OC could not deliver on time or as promised, etc. In certain situations the bill should not have gone to collections, its up to the OC to help to resolve this issue, trying to perform a resolution with a CA is mute. I found a situation where an OC I have dealt with has been sued in several Class Actions because of the same exact issue that I had with them.

http://www.pcworld.com/news/article/0,aid,43202,00.asp

In this case the best chance for success is to inform the OC that you will precede accordingly based on how they work with you to resolve the issue. Just because something ends up in collections does not give exclusive obligation for the debt. Furthermore it is illegal for someone to hold your credit hostage over a charge and to attempt to extort monies out of you which you dispute and have good grounds for disputing. One could even file a police report, in certain situations if the circumstances constitute fraudulent charges on the part of the OC or if the CA, wants to assume the responsibility and liability of such a debt.

Nothing is cut and dry. This is why companies and individuals sometimes end up in court.

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