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Collectors offering to extend Credit to pay off Debt? I


Desi Rae
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Is this Real?

Has anyone heard of PRM Financial Services?

Here’s the short story:

I bought a car in 1999 from Ugly Duckling ( I know first mistake) The car did not run properly so I asked them to pick up the car

There is a Voluntary Surrender from Ugly Duckling on my credit report.

In 2001 Midland Credit was handed over the debt and I asked them to Verify, wich they didn’t and the line was removed.

Now PRM is sending me an offer to settle the account by offering me a “unique opportunity to apply for a MasterCard credit card issued by 5Star bank.

Here’s how their program works:

If I agree to participate and are approved, (This was the part that got my attention: I mean I just bought a new car!) a mutually agreed upon amount of your outstanding obligation ($9440.37) will be transferred to a new MasterCard issued by 5Star Bank, with an initial credit limit equal to the amount transferred plus a $30 annual fee. PRM will then send me a letter releasing me from my original obligation.

As I make monthly payments under my Mastercard credit card agreement, I will have available credit I can use for purchases and cash advances, and 5Star Bank will report the payment history on my NEW MasterCard account to the credit bureaus. This is my chance to take control of my financial situation….

Does this sound like a load of horse apples to anyone????

• If I am approved to participate in this program I can

• Get a discount on my old debt

• Establish a new unsecured MasterCard credit card account

• Transfer a mutually agreed to portion of the $9440.37 I owe to my Master card account, and repay it in manageable amounts

• Enjoy greater spending power as I pay down my principal balance

• Experience the purchasing power a credit card provides to travel, make online purchases…and more!

Please let me know what you think.

Thanks,

Desi

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Thanks, I didn't know I could post once and it would reach other topics. cool!

If this PRM collector is not showing up on my reports what is to dispute?

Should I ask them to verify??

Also should I try to have the OC verify?

Thanks for all your help :)

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I think Lyle means that you shouldn't post the same situation/topic/discussion in more than one forum. That usually confuses members (& the OP themselves) when reading & responding. So any other questions you have should just be asked in the thread that's already been started and responded to...

http://www.debt-consolidation-credit-repair-service.com/phpBB2/viewtopic.php?t=46342

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This is a one of the new bottom-feeder techniques to get you to pay debts you have NO LEGAL OBLIGATION TO PAY. As soon as you agree, they get to start it up like a new account AND you pay interest on it usually at a higher rate than it was on the default.

Don't fall for it.

Based on the date of 1999, this is way past statute (4 years in your State) and they can't even win a lawsuit over it. It also will fall off your credit report in less than a year (7 years from the surrender).

Ignore their letter...they can do nothing to you, legally. And, if I'm not mistaking (correct me peeps if I'm wrong), under California law its not even legal for them to demand payment on it any more.

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Can you dispute the activity date on a credit report? they're showing 2005 and 2004, but I haven't done squat with these since 2000.

If I dispute it now. won't that change the activity date? And isn't that how statutes begin?

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Disputing CAN NOT change the DOFD or DOLA, and that has nothing to do with statutes of limitation. If you haven't done anything since 2000, they may have re-aged the account. It's a common thing CA's do to hurt your credit so that you'll pay up. DV them and make them show you that you have any reasno to pay them. http://www.creditinfocenter.com/rebuild/debt_validation.shtml

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DV them and make them show you that you have any reasno to pay them. http://www.creditinfocenter.com/rebuild/debt_validation.shtml

Do not use DV method. This can inadvertantly renew the statute of limitation. Any admittance that the debt is yours in writing can trigger this. So don't go there.

Send a cease and desist notice, which is different. Tell them the statute has run on this item and that you have no legal liability to pay it. Further you had a warranty claim of merchantability on the merchandise in the first place, so they have even less of a leg to stand on. You do not have to pay for defective merchandise, and they know it. That's why they are trying to trick you into accepting the debt.

The reporting of the DoLA incorrectly is a seperate and distinct matter. You will need to include in the C&D letter a very firm notice that they are reporting a false DoLA and that it is a violation of Federal law to do that. Tell them they must correct their error or remove their tradeline from your reports or face prosecution under the FCRA for willful non-compliance.

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Methuss,

I find this thread a bit confusing. Can you please clarify?

You advised to not send a DV as "Any admittance that the debt is yours in writing can trigger this [nadvertantly renew the statute of limitation]. So don't go there."

A DV doesnt necessarily admit the debt is yours. Isnt DV an attempt to have them prove it is yours? How will that change the SOL?

Like hinky, I also have never heard of a DV notice changing the SOL. Can you please explain how that would happen? This could be very important to know.

You suggest a C& D instead of a DV with a "notice that they are reporting a false DoLA and that it is a violation of Federal law to do that. Tell them they must correct their error or remove their tradeline from your reports or face prosecution under the FCRA for willful non-compliance."

I agree that sending a C&D should cause them to stop attempts at collecting, but this seems to contradict your above statement. How would Desi know the dates are wrong if the debt isnt hers? Wouldnt this be an inadvertant admission of the debt? This is confusing.

I was under the impression that the best way to remove negative information (when disputing directly with the CRA failed) was to DV and then have them delete when they didnt have the supporting documents as requested. Or in this case, get them to report the info accurately so that it will fall off when it should have.

Can you or someone please clarify? Thank you.

Kat

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