DV or Settlement negotiations

[TheLookingGlass]

I've recently received a settlement letter:

Previous Creditor: Southwest Bell

Current Creditor: Capital One

[...]

********60% SETTLEMENT LETTER***********

[...]

On behalf of Capital One, Capital Management Services, Inc. is willing to accept less the the full balance due as a settlement on the above mentioned account. The settlement offer shall be $xxx.xx due to our office no later than TEN (10) days...

[...]

The settlement amount is exceptable but I wish to negotiate how this debt will be reported to the bureaus of course.

I plan to start with DV. Will a short DV letter suffice or do I use the full letter often quoted? Where should I send the DV letter - Capital One, Capital Management Services, Inc., or both.

It is my debt so I expect it to be validated. After DV, I plan to counter offer with 20% and removal of TL.

Does this sound right? I've been reading the discussions and getting confussed.

[willingtocope]

IMHO, you should always DV a collection letter (which is what this offer really is). You may have owed Southwest Bell some money, but you really don't have proof that Crap 1 is entitled to collect it. Think of it as someone walking up to you on the street and saying, "hey, I know you had a SwB account...I'm collecting...hand over the money". You need to make sure that they've got the right person, the right account, the right amount, and the right to collect in your state. That's what the FDCPA is all about...making the CA play by the rules.

And, I'd send the DV letter to the address on the letter you just received. And, I'd use the full letter in the samples, with maybe a little paraphrasing to put it in your own words.

[TheLookingGlass]

Thanks I'll start the process today.

I am still reading but, I have not found a post that gave reasons for sending a letter with a simple request versus one with a request and the consequences spelled out to the CA. I would prefer to keep things amicable until the CA gets nasty (a violation or two). I did see a post that said the full letter was “not mean but legal.” Does that mean that a short one will not hold up in court, if it came to that?

I wish to ask them to do the right thing (I don't expect it though) rather than telling them what the law says they must do. I am paraphrasing the letter. My concern is that the “legal” form of the letter may get lost in my paraprhasing. For instance, if I say “stop” rather than “cease & desist” do I lose something? Here is the letter that I plan to send:

[…]

To [creditor]:

I am sending this letter in response to your settlement offer letter that I received on [date]. I was not aware of this debt, and under my rights under the Fair Debt Collection Practices Act, I am disputing and request that you validate your claim.

Please provide me with the following:

* What the money you say I owe is for;

* Explain and show me how you calculated the amount;

* Provide me with copies of any papers that show I agreed to pay what you say I owe;

* Show me that you are licensed to collect in my state

* Provide me with your license numbers and Registered Agent

I will need at least 30 days to investigate any information you send. During that time please stop all collection activity related to your claim.

If you are unable to validate your claim within 30 days from the receipt of this letter, please delete and completely remove all references to this account from my credit file and send a copy of the deletions to me.

I would also like to request that your offices make no telephone contact with me. This includes computer generated calls and calls or correspondence sent to or with any third parties. Make all future communications with me in writing and sent to the address noted in this letter.

[…]

[willingtocope]

I think your letter looks fine. You've touched all the bases without getting too formal. You might wait to see if someone else chimes in, but I'd say its a go!