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Should I pay the collection agency?


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I have an account unpaid since 2005. The account has been moved to a collection agency which has listed April 2008 as the date of major delinquency.:confused:

It is a legitimate debt but I am not sure if the amount is correct or not. Would it be wise to settle this account at this point and restart the clock ? or I should try to be offensive on the CA and see if it can be deleted? If this thing doesn't work, then only settle with them?:confused:

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You should DV the debt. Even though you know its yours, you need to know if the CA collecting is the legal owner or assignee. It also sounds as though they have reaged the account, which is a violation that you can use as leverage in a settlement and/or PFD agreement.

Have you received the initial letter from this CA? When? If more than 30 days ago, then they are not obligated to respond to your DV, but you should still attempt to get a response.

Follow the DV flow chart in the stickies.

:goodluck:

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Debt Consolidation Company = Just Say No!

Why pay a company to do something that you yourself can do? It's a waste of money.

Besides, if you dig deeper, you'll find that a lot of times these companies make your situation worse.

Keep reading here and good luck!

StressPot :)++

NOTE: In answer to your question: No, more then likely your first few months of payments to a Debt Consolidation Company would be their fee.

OK.

Does anyone know if these debt consolidation companies, which settles an account on our behalf, actually get any commission from the collection agencies??

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How bad it is to pay a collection 2-3 months prior to buying a house? Will it help me if I get a secure card to compensate a decline in my credit score by making my account active (paying collection)?

Please help me understand my ups and downs in paying this legitimate collection account.:confused:

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