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settled vs settled in full?


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I don't know if reading too much info around these forums is making me paranoid or whatever is happening is how it works...Here's my situation.

BMW(OC) sold a balance of 13K from repocession to CA.I have been talking to CA over phone for settlement.They agreed to settle the account for 6K. Now I asked them to put the settlement offer in writing.They did type up something along the lines we discussed and faxed me.

My first question is : Is a fax considered valid settlement offer doc?

Now the letter is not signed.So I called back, somebody signed it.There is no designation or name of person who signed, however there is a phone number below the signature.

My second question:Is this signature wihtout designation or name valid?

In the content they mentioned something like, 'after the payment is made as per the following settlement terms the account will be considered settled.'

Now the real question:Does the word 'settled' give me any problem with this account such as re-selling this account to somebody else or any other problem?is there a difference that i'm missing between settled & settled in full?

Well, I called them again and asked them about adding 'full' to the word settled and they were showing frustration for a 4 letter word to be added.They kind of laughed at me and said, take the settlement offer, make payment and move on...

Am i too paranoid? or what should i do?

I asked for deletion...but they won't agree..I'm hesitating to press them because I don't want to miss this opportunity and don't want to deal with them or anybody else in a court at a later date.

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1. Request that the agreement be signed by either an officer of the corporation or the owner of the business if it is privately owned or at a minimum, someone with the legal authority to enter into such an agreement.

2. "Setteled" is NOT the same thing as "Setteled in Full". The agreement must use the phrase "Setteled in full" or trust me, they'll or someone else will come after you for the difference.

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I would ask for them to agree to delete the file from your credit record in exchange for the settlement.

You don't really need to worry about WHO signed it, as they are acting as the agent for the company and you can PERSONALLY sue the person who signed it if it turns out they misrepresented the facts to you. Just make sure they write their name down, so you can prove who signed it.

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Here's a settlement agreement I have had good luck with - you will have to amend it to address your particular settlement terms:

This Agreement is entered into on the date below between XXXXX, Creditor, and (your name), Debtor.

Whereas, Creditor has alleged that Debtor owes him $XXXXX, for (Acct # or Case #);

Whereas, Creditor and Debtor desire to settle this matter and put at end to all collection efforts in pursuit of this alleged debt;

Therefore, in consideration of the undertakings set forth below, Creditor and Debtor hereby agree as follows:

Debtor will, at the time of executing this Agreement, pay to Creditor the sum of $XXXXX (settlement amount) as full settlement of any claim of Creditor against Debtor. (If you are doing a payment plan, lay out the terms of the plan here. Creditor is agreeing that this is FULL SETTLEMENT of any claim - that means that there is no further balance to sell to another CA or JDB.)

Creditor agrees not to make any future claim or bring any future action against Debtor in pursuit of this alleged debt.

Debtor & Creditor hereby release each other from all claims each has against the other arising from this matter.

Within thirty (30) days of receiving this settlement (or final payment, if you are doing a payment plan), Creditor agrees to remove all negative information related to this debt from the files maintained by the major credit reporting agencies and report the account Paid As Agreed. (You probably won’t get this but it doesn’t hurt to try.)

This Agreement embodies the entire understanding between Creditor and Debtor relating to the subject matter of this Agreement and merges all prior discussions between them.

A facsimile or copy of this settlement/agreement may be treated as the original.

This is a legally binding contract. Both parties have entered into this agreement voluntarily and will be bound by it.

The person signing this for Creditor represents he is authorized to bind Creditor to this agreement, and Debtor relies on this representation.

This Agreement may be signed in counterparts. (This means the Creditor and Debtor may each sign separately and it is still binding – you are most likely faxing this thing back and forth.)

Insert a signature block here - include signatures lines, lines for printed names and dates for both Creditor and Debtor.

If this matter ever should come up again, you have this agreement. This should be the end but I am not a particularly trusting individual, either. However, if some sleazy CA were to come after you, you can tell them to go ahead and sue you, you have a release, or you could sue them for attempting to collect.

The attorneys may jump in here with suggestions on wording. This agreement has worked for me in the past but that doesn't mean it can't be improved upon.

Good luck -

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Something along the lines of :

A. The term "CONSUMER" as used in this Release shall mean YOUR NAME, as well as his heirs, executors, administrators, personal representatives, successors and assigns, singular or plural, jointly or severally wherever the context so admits or requires.

B. The term "CLAIMANT" as used in this Release shall mean the BANK OR CA NAME, and its employees, officers, shareholders, attorneys, agents, representatives, boards of directors, principals, successors, assigns, and any person or entity in privity with it, singular or plural, jointly or severally wherever the context so admits or requires.

C. WHEREAS, CLAIMANT has asserted that CONSUMER is indebted to the CLAIMANT and has reported such claim to the Credit Reporting Agencies.

D. WHEREAS, CONSUMER has denied and continues to deny any and all liability for the alleged claims and has denied and continues to deny any and all damages, if any, sustained by the CLAIMANT. However, CONSUMER is desirous of entering into this compromise settlement of a disputed claim in order to avoid litigation and attendant costs;

E. NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS: That the said and undersigned CLAIMANT, for and in consideration of the payment of the total sum of ONE HUNDRED DOLLARS ($100.00), do hereby remise, release and forever discharge CONSUMER, of this action and any actions, cause and causes of action, suits, contracts, torts, controversies, agreements, promises, variances, trespasses, damages, judgments, executions, claims and demands whatsoever, in law or in equity, which CLAIMANT ever had, now has, or which any personal representative, successor, heir, or assign of the CLAIMANT, hereafter can, shall or may have, against CONSUMER, by reason of any matter, cause or thing, from the beginning of the world to the date of that this Release is executed by the CLAIMANT.

F. CLAIMANT, as additional terms and conditions of settlement, will notify the applicable credit reporting agencies to delete the aforementioned collection item from CONSUMER's credit bureau report and will not report said debt to any credit bureau in the future.

G. CLAIMANT acknowledges and agrees that this Release and discharge set forth above is a Release of all claims. Both parties expressly waive and assume the risk of any and all claims for damages which may exist as of this date, of which the parties do not know or suspect to exist, whether through ignorance, oversight, error, negligence, or otherwise and which, if known, would materially affect the parties’ decision to enter into this settlement and provide this Release. CLAIMANT further agrees that they have accepted payment of the sum specified herein as a complete compromise of matters involving disputed issues of law and fact. It is understood and agreed by CLAIMANT that this is a compromise settlement of a disputed claim and that the payment of said amount and the agreement to the specifically named stipulations are not to be construed as an admission of liability on the part of any of the CONSUMER, by whom liability is expressly denied. CLAIMANT further recognizes that failure to comply with the terms of the Release shall release CONSUMER from allow CONSUMER to seek damages and relief under any and all applicable federal, state and local laws in any court of competant jurisdiction.

How is that?

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