browneyes Posted July 5, 2007 Report Share Posted July 5, 2007 I was wondering what happens after a c & d has been sent. The collection agency is adhering to not contacting me by phone which is great. They have also not contacted me by letter or any other form. Since I still owe the balance and I know I do (charge off with a remaining balance of $5200), will they try to sue me now or how do I need to handle this? I was originally paying them monthly (before I knew about this site), but it had become difficult to keep those payments because they were so high and they were unwilling to decrease my payments so I sent the C & D. There was nothing else I could do because I could not agree to those astronomical payments and they wouldn't agree to anything less.Any advice on what I should expect or anything I should do get this paid. Link to comment Share on other sites More sharing options...
Debt Guy Posted July 5, 2007 Report Share Posted July 5, 2007 will they try to sue me now?Well, by sending the cease and desist, the only choices they have is to forget the whole thing or to sue you. My guess is they will sue -- the amount is not small and you admit you owe the debt. In my opinion, the C&D was a mistake and a common one for rookies who get all caught up in the hormones of anti-creditor forums.You can rescind the C&D, in which case they will start calling again. You can call them but they might not even talk to you because of the C&D for fear that you are trying to entrap them into an FDCPA violation.You can send a written offer to settle the debt.You can always wait until you are sued and then try to settle with the lawyer -- but it will be more expensive then rather than just dealing with it now. Link to comment Share on other sites More sharing options...
Southerngirl Posted July 6, 2007 Report Share Posted July 6, 2007 Now it also depends on the SOL. I'm not sure what Arkansas sol is but if the debt is out of stature that would be your defense if they tried to sue. I wouldprobably send them a letter letting them know if this was the case...this information may make them decide to let the debt go. The debt will then go to another CA and you start the process over again. Good Luck! Link to comment Share on other sites More sharing options...
Ahntara Posted July 6, 2007 Report Share Posted July 6, 2007 Read your state's SOL laws. You need to know if making payments affected the SOL. If it did, this debt is ripe for a lawsuit. You may have shot yourself in the foot by C&D'ing. Link to comment Share on other sites More sharing options...
browneyes Posted July 6, 2007 Author Report Share Posted July 6, 2007 So I'm wondering if I should contact the OC and maybe get this cleared. They hadn't been talking to me because it was a charged off account and I was always directed back to AllianceOne Receivables. I suppose it's worth a shot. I really don't want to be sued and this debt is no where near the SOL. Link to comment Share on other sites More sharing options...
astiman Posted July 6, 2007 Report Share Posted July 6, 2007 You need to determine, without a doubt, who OWNS this alleged debt.Then go from there.Unless it's out of SOL, you will most likely be sued. Link to comment Share on other sites More sharing options...
Debt Guy Posted July 6, 2007 Report Share Posted July 6, 2007 Since the debt is not SOL, you definitely need to know who owns the debt. Alliance One might own it or they might just be third party collector for someone else.You will probably end up dealing with Alliance One in any event. If the owner is someone other that Alliance One, they are just going to refer you back to Alliance One.Once the debt is in default, the creditor has the right to demand payment in full immediately. You don't have any right to "make" them negotiate or do anything the way you want. Your only protections lie in the FDCPA and that governs the collection tactics of the CA. If the OC or CA won't talk to you -- you can't make them.Here are your options to figure out who you are dealing with:1. Call the original creditor. Ask.2. Call Alliance One. Ask.3. Review your credit report. You can get a free one at annualcreditreport.com.4. Ouija Board and the trusty old Magic 8 Ball. Link to comment Share on other sites More sharing options...
browneyes Posted July 6, 2007 Author Report Share Posted July 6, 2007 My CR lists this debt as a charge off account and it shows the balance. I guess the problem is I shouldn't have started paying the CA. I sent the C & D about 2 months ago. I also sent a letter to the OC requesting to settle. I suppose now all I can do is contact the OC and see if they will negotiate a payment plan with me. I just really want to get this cleared and off my CR. I wonder how long would it take the CA to sue, if they decide to? Link to comment Share on other sites More sharing options...
Debt Guy Posted July 6, 2007 Report Share Posted July 6, 2007 You have really created a mess for yourself.You can call the OC and ask for anything. It is very unlikely they will work out a payment plan because you've shown a pattern of not keeping payment plans. It is very likely they will just send you back to the CA. The CA will probably negotiate a settlement but they are not likely to have much enthusiasm for a payment plan for the reason discussed above.You just don't have much leverage. You will have even less when the summons has been served. How long it will take to sue is anyone's guess. Every creditor has different guidelines and some go fast and some go slow. They do not make these decisions one at a time -- they just say "sue everyone more than x dollars and y months delinquent. Link to comment Share on other sites More sharing options...
browneyes Posted July 6, 2007 Author Report Share Posted July 6, 2007 Well I somehow had enough courage to just call the CA and they informed me they no longer had my debt. She said as far as she knew it went back to the OC. I'm assuming it would have been on my file if a lawyer had been contacted or if they were suing me. I'll call the OC and find out and see what happens. Hopefully, God is turning this thing around for me. Link to comment Share on other sites More sharing options...
Debt Guy Posted July 6, 2007 Report Share Posted July 6, 2007 Personally, I think that is a good thing.It means that the account has been recalled from this CA. In the normal course of events it will be assigned to a different CA or to a law firm for suit.If you can catch it while it is with the OC and before they have assigned it to someone else, you have your best chance.If they have already sent it to a second CA, then try to make a deal. I discourage you from sending a C&D to the new CA.Likewise, even if they send it to a lawfirm, the lawyer will generally try to contact you to work something out before filing suit. Again, I discourage you from sending a C&D to the lawyer since that will automatically trigger the lawsuit.Don't get discouraged if the CA or lawyer does not care about your problems or are "nasty". For them, it is just business and just a job. It is not personal. Link to comment Share on other sites More sharing options...
browneyes Posted July 6, 2007 Author Report Share Posted July 6, 2007 Well, I'm not being sued. This debt is back at the OC and I have made monthly arrangements to pay this off. They're asking that it be paid in full within 10 months. Whew! (didn't want to be sued over this) Link to comment Share on other sites More sharing options...
Debt Guy Posted July 6, 2007 Report Share Posted July 6, 2007 Congratulations. You should be OK if you are dealing directly with the OC. Make sure you get statements each month and can track the progress. Link to comment Share on other sites More sharing options...
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