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Quick Question on Sending a payment to a CA.


marinewhyfe
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I am about to make a payment to a CA and I am going to send a cashiers check via certified mail. I was just wanting to make sure I am fully covering myself before i do send it. I will write on the Cashiers check the account number, My name and original creditor. Should I enclose a written letter from myself stating upon cashing of the check that per our agreement that the status of the account shows "paid" on our reports?

This was an agreement that the CA said she would make if paid. I went for the paid to delete and that didnt work so I opted for the "Paid" status.

Are there any such letters which I can go off of?

Thank You all so much...

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unless you received a letter from the CA outlining the terms of your "settlement" I would not send anykind of payment to them... If it is nto in writing it never happened, besure the letter is signed by some one who has the ability to approve such an agreement ie. a company officer.

I would send them a letter CMRRR outlining the agreement as you understand it and tell them they have X days to respond and you will send payment to them. Look up settlemet letters on here there is other stuff you should add like that it is concidered paid in full and will nto sell the balance/difference to another collector or JDB... Are you sure you owe this dept also? if not DV them

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What might work is to send the settlement agreement YOUw ant (complete with the PFD) along with a photocopy of the Money order along with a note saying "upon execution of the attached Agreement and its return to me, I will forward the original of the attached Money Order..."

Let's see what they want more - the TL or the money

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Maybe someone could clarify this for me, but more importantly ...

1. If you pay the debt, it gets reactivated. So from the date you paid it, it will remain on your credit report for ANOTHER 7 years.

2. the difference between a paid collection and an unpaid collection is very little in the eyes of a lender and SCORING.

3. double wammy - if you pay the debt, it is now viewed as new and will actually LOWER your score more than if you ignored it and left it as an old aged item on your cr.

4. Paying the debt will bring the many collection agencies hiding in the woodwork to come pouring out with your new found contact information and start harassing you...even ones that are far beyond the SOL or have fallen off.

5. If the debt wasn't yours and you make a payment, you lost your right in the future to prove it wasn't yours and are now able to be sued for the remainder?

6. If you owe them money on another account, they could split the money up between the two accounts, reactivating BOTH accounts, and then demand payment for both or 3 or 4 accounts you have with that CA and possibly even sue as you have 'admitted' guilt.

Just my 'learnings' from hanging on these forums...I would really love to hear from the experts or at least those knowledgeable of what is correct or incorrect about my statements currently. My state is PA , don't know about the OP.

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Maybe someone could clarify this for me, but more importantly ...

1. If you pay the debt, it gets reactivated. So from the date you paid it, it will remain on your credit report for ANOTHER 7 years.

2. the difference between a paid collection and an unpaid collection is very little in the eyes of a lender and SCORING.

3. double wammy - if you pay the debt, it is now viewed as new and will actually LOWER your score more than if you ignored it and left it as an old aged item on your cr.

4. Paying the debt will bring the many collection agencies hiding in the woodwork to come pouring out with your new found contact information and start harassing you...even ones that are far beyond the SOL or have fallen off.

5. If the debt wasn't yours and you make a payment, you lost your right in the future to prove it wasn't yours and are now able to be sued for the remainder?

6. If you owe them money on another account, they could split the money up between the two accounts, reactivating BOTH accounts, and then demand payment for both or 3 or 4 accounts you have with that CA and possibly even sue as you have 'admitted' guilt.

Just my 'learnings' from hanging on these forums...I would really love to hear from the experts or at least those knowledgeable of what is correct or incorrect about my statements currently. My state is PA , don't know about the OP.

1. True

2. True except in Mortgage Loans

3. FICO swears this is false but no one believes them

4. False. it doesn't take a paid debt to bring them out from under the rotting logs they live under.

5. True. make that assertion now.

6. False. You have the right under FDCPA to designate which account it is to be applied to.

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1. True

2. True except in Mortgage Loans

3. FICO swears this is false but no one believes them

4. False. it doesn't take a paid debt to bring them out from under the rotting logs they live under.

5. True. make that assertion now.

6. False. You have the right under FDCPA to designate which account it is to be applied to.

I respectfully disagree with 1, (despite he flys piper products :wink: ) Reorting of neg TL is set by DOFD and not last activity.

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I respectfully disagree with 1, (despite he flys piper products :wink: ) Reorting of neg TL is set by DOFD and not last activity.

Correct. The only way you can reset the reporting period is to bring the account back to a current status with the OC and then default again.

Also, California is one of the states where a payment will not reset SOL unless accompanied with a written acknowledgement of the debt and wriiten promise to pay.

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My one comment is that a paid collection scores as bad as an unpaid collection and since the account updates when you pay it will decrease your score more as a "new" account. The only way it makes sense (FICO wise, not moral obligation wise) to pay old collections is for a mortgage. Mortgage loan companies do like to see things paid off. I had it happen to me with some old tickets. I paid them and the parking authority said they would remove them from my reports. They didn't and have't and the paid collection tanked my score for quite a few months. It still comes up as a one of the bullet-point problems in my credit score analysis. "You have one collection of $128".

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