Jump to content

How do I settle with citi?


3amores
 Share

Recommended Posts

Hi, I very new to this, please be kind.

Can somebody tell me how to settle with Citi Cards?

I owe Citi about $4112, the account was charged off in 2003, I have been receiving collection letters from "Associated Recovery Systems" demanding payment. They also sent me a settlement offer for 50% of my debt, I was so busy I forgot the date to respond, so now they send me a letter, stating my failure to respond and that my status will be downgraded to "Refusal to pay".

I really want to pay, but a I want to settle, my next question is:

Should I contact Citi and try to settle directly with them o contact ARS, and try to settle?

Citi hadn't sold the account to JBPs yet, because ARS demands to write check to Citi Group.

So I assume that Citi, still owns my account.

Thanks alot in advances for your help

Link to comment
Share on other sites

I had a 7,100 CL Citi account CO. It compounded to 14k. I setteled with ARS for 50%. They e-mailed me a letter stating all the terms. I called citi to confirm and the offer was legit. CIti will send a statement out showing a zero balance after the billing cycle that the payment posts, but you have to call and request it.

Don't forget you will get a 1099 any the forgiven amount and will have to pay taxes on it.

Link to comment
Share on other sites

Hi,

How did you settle with them? Did you respond to the settlement offers they send you?

Or did you call or send them a letter with an offer to settle?

I didn't respond to their settlement offer and they send me another letter stating my failure to respond.

Should I wait for another letter with another settlement offer or just call them? :?

Thanks alot for your help.

3amores.

Link to comment
Share on other sites

First, most people will say never deal with CA's on the phone. I did because I knew Citi still owned it and I was ready to settle. I would never do it over the phone with a JDB. I did here and it worked out ok, but be warned it is not advised by most.

I was assigned to Collect Corp. I paid them $50/mo for a while. When Citi reassigned it I wanted to settle. I returned ARS's call and said I might be able to come up with 5k if they would settle. That kicked me up to a manager. He said nope, the best they could do is yada yada. I said, look I see online Citi is settling for 50%, if they agree to that I would do my best to make it happen. He starting asking how and where I would get the money. I just stated I didn't have it but there was a good chance I could get it for a 50% settlement.

He put me on hold for a couple of minutes. He came back and gave me a number and a date. The number was exactly 1/2 the current balance on my CR and the due date was the next statement date.

I said ok; send it to me in writing. I said make sure it states that Citi will forgive the remaining 50%. He e-mailed me a letter and company stationary. I stated the terms that citi would forgive the rest and I would get a 1099 to pay taxes on the rest.

The offered required a check that day. It could be dated the end of the billing cycle. If the check bounced, I had until the 15th of the next month (about 18 days) to make it good.

I did a check by phone, which I hated to do. It made me nervous as hell. But they the offer required them to get a check that day. It took a few days after the date the check was dated, but it came through in the right amount. I called citi; they put me on hold for a while, then came back and said it was settled. I had to call back after another billing cycle to request to statement showing a 0 balance.

Link to comment
Share on other sites

Thanks alot Debtor1 for all the info.

Here's the thing, I'm terrified to call them.

When I was going through a terrible financial situation back in 2003-04 I fell behind in my Citi payments only a couple times, then a paid, got behind a again and couldn't afford the payments and late fees so I stop making payments.

A few months letter this guy "Mr. Dean called saying he was calling in behalf of Citi Cards, he was the biggest jerk ever!! He demanded a payment inmediately, saying that if I didn't pay a was going to get sued etc.

I had a mortgage at the time and he said how can you afford a mortgage and not a citi payment? (I was late with my mortgage too, they even send me a forecloser notice).

a few times hung up on him, since he didn't even let me, talk, he would yell.

Once he called my neighbor and my husband called him back because we didn't know who he was.

He demanded 1/2 the amount but I didn't have it, and he wanted a payment over the phone. I told him I was going to try to come up with the moneyand I needed some tim, he asked me how? I said I'm going to ask a family friend for a loan.

He was so rude and yelling at me that I hung up, he kept calling, I never answer again.

Now I terrified that someone like "Mr. Dean" would answer the phone and he won't even give me the chance of a settlement.

I'm in a better situation now and I can afford the 50% of the balance, that by the way it was $1780 and now is $4112.

I'm thinking of writting a settlement letter, I search ARS and found a address in Escondido, CA, thats where the letter are coming from.

I don't know exactly but I have to do something before they sue me.

(I was sued by UNIFUND for a Discover account )

I don't want another lawsuit.

Thanks alot for your help.

3amores.

Link to comment
Share on other sites

I would contact ARS, the collection agency and tell them you would like to accept the terms of their recent offer. Explain your hard times situation and mention that you are mulling over a bankruptcy filing. Foreclosure notices can work magic with creditors as there is proof you are underwater and they will be compelled to collect whatever they can from you now. If you were to file they would be SOL! (S--- out of luck) They know that.

Link to comment
Share on other sites

  • 2 weeks later...

I have an amazon credit plan provided by citi according to the statements that i have been receiving. it has been 2 months that i am experiencing financial difficulties due to income loss, medical expenses and poor money management too--- anyway, i havent paid my amazon account for the past 2 months because I cant afford to pay it. What should I do? Should I call and see if they have a hardship program or do I write someone? Should I request for settlement. I believe i can alot about $200 to my debt which totals 27000 (thus I can't pay them all every month). Anyone could help me out with citi? By the thread of post it looks like citi is an uphill battle----any input would help. thanks.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.