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Should I settle with NCO?


learlywine
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NCO has picked up an old Capitol One debt of my hubby's. It is a tad over $3K. They have sent me a letter saying they will settle for $1,600. He does owe it, and now they are calling saying they are going to turn it over to their attorney dept. Should I go ahead & settle with them? Should I ask for a lesser amt.? I would like to spread it over 3 payments. Do they normally take payments? Any and all help is appreciated. Thanks!

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If NCO is collecting for Cap1 my research tells me that they will take 40%. I'd counter offer a little below that and let them talk you up to whatever the 40% amount is. Talk in dollars, not percentages. "This is all I can come up with"--that sort of thing. And they will take payments. It's tough to get more than 3, but if you are a good talker you might be able to get it extended to 6.

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DO NOT HOWEVER DO ANYTHING WITHOUT IT BEING IN WRITING FIRST.. also do NOT give them bank info.. If you make payments.. make sure they are NOT auto draft and open up another checking account just for this.. more times then I care to count a JDB can go in and help themselves to your account with no warning.. no its not legal but it is done more then you think

also do not expect it to be off your CR.. chances are that may not ever happen but you can ask.

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DO NOT HOWEVER DO ANYTHING WITHOUT IT BEING IN WRITING FIRST.. also do NOT give them bank info.. If you make payments.. make sure they are NOT auto draft and open up another checking account just for this.. more times then I care to count a JDB can go in and help themselves to your account with no warning.. no its not legal but it is done more then you think

also do not expect it to be off your CR.. chances are that may not ever happen but you can ask.

I agree, NEVER give any CA your bank info. I've done this in the past and have had the inconvenience of the CA taking money out of my account earlier than they said, causing several of my checks to bounce (arghhh...)

I am currently settling an account with a $831 balance with NCO for $300 (36.1%). Approach I took was to 1) send a settlement agreement in writing (see below), certified/return receipt, 2) follow up email/fax/phone 3) get NCO agreement to settle in writing 4) pay settlement.

As everyone said before, everything is negotiable. Speak with the CA and try to settle for as little as possible (25-35%). Don't be afraid to ask to speak with another associate or to call back to speak to someone else.

There's plenty of sample letters on this site to request a lower settlement. Try this one: http://www.creditinfocenter.com/forms/sampleletter6.shtml

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