BlondaVenus

NCO Financial 18% Settlement

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Did anyone have success in settling with NCO Financial @ 18% on a $29K American Express debt? They sent me several months ago a letter stating they have my account. I never sent them a DV 30 days after I got their letter, as I didn't know that I needed to do that. Should I try sending a DV letter now, or just offer them 18% hoping they will take it? This account went from Amex to Nationwide credit, then back to Amex, then to NCO Financial since Feb, 2012 (I believe). Your advice will be greatly appreciated. Thanks!

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The way you have written your posts leads us to believe the actual owner of the account is still AMEX. Is that correct.

Also, you are saying 18% settlement like it's routine. Not saying you can't get that, but that would be a kick rear type settlement if AMEX still has it.

What are you basing your post on where you can get 18% settlement if you just ask them. Again, not saying you can't. You just seem so matter of fact about it.

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AMEX NEVER sells, I sent it to arbitration before any suit was filed, AMEX and its CAs did not want to participate in JAMS.

Here is how it gets passed down; first , NCI, NCO and then Zwicker or some other firm if Z is busy.

If arbitration is exercised it must be specified as JAMS. Get a card agreement with JAMS.

I didn't get a letter from NCI just calls and later one settlement offer, I countered with " I elect arbitration" same with the other two , I got tired and sent a certified JAMS complaint to all.

$29K is a high number, but JAMS is high in cost, so I would want it to hurt if suit was filed.

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It is with NCO Financial. Last year Nationwide Credit offered me a 20% settlement. I didn't take it because I didn't have the funds. They gave the debt back to Amex, and then Amex sent it to NCO Financial. I wanted to offer NCO 18% based on the fact that the Nationwide Credit offered to settle at 20%, so I might try to offer 18%. But I wanted to find out if anyone was successful in getting a 18% settlement with NCO Financial and if there is a strategy how much to offer and how much to settle it for. I stopped paying about 2 years ago when I lost my job, so I doubt the debt is with Amex.

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I am sorry, but what is JAMS... I tried to search for it, but I couldn't find it...

AMEX NEVER sells, I sent it to arbitration before any suit was filed, AMEX and its CAs did not want to participate in JAMS.

Here is how it gets passed down; first , NCI, NCO and then Zwicker or some other firm if Z is busy.

If arbitration is exercised it must be specified as JAMS. Get a card agreement with JAMS.

I didn't get a letter from NCI just calls and later one settlement offer, I countered with " I elect arbitration" same with the other two , I got tired and sent a certified JAMS complaint to all.

$29K is a high number, but JAMS is high in cost, so I would want it to hurt if suit was filed.

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So I shouldn't even bother offering 18-20%? What would be a reasonable amount to offer? Thank you.

The way you have written your posts leads us to believe the actual owner of the account is still AMEX. Is that correct.

Also, you are saying 18% settlement like it's routine. Not saying you can't get that, but that would be a kick rear type settlement if AMEX still has it.

What are you basing your post on where you can get 18% settlement if you just ask them. Again, not saying you can't. You just seem so matter of fact about it.

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You say the account is with NCO. I understand that. What I'm talking about who owns the account. Like Houcan2 said, I've never heard AMEX selling off the account.

Of course that does not mean they can't. If NCO actually owns the debt, not just has it right now, then offer it if you want. All they can say is no and settlement talks can't be used in court against you.

Actually even if AMEX still owns it you can still make the offer. It can't be used against you and all they can say is no.

How you fight this, if it goes to suit, will be night and day. Right now all anybody can say is no.

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So... you recommend to not settling the debt with NCO? My debt is $29K ...what are the chances that if go with JAMS I will not loose? Thanks!

JAMS is one of the arb selections you can choose. It's the best one to pick. Choose it. See Linda7
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How can I verify if the debt is with Amex? Is there a difference in settlement percentages between one over the other? I don't want them to say no, because the debt is keeping me awake at night. Last year I had a garnishment, so I want to avoid any potential garnishments with my current creditors, that's why I want to settle my CC debts. Because I am thinking that it might be easier for NCO to find out where I work because of that garnishment. Is there a % that you think might satisfy them, if 18-20% is too low? Thanks bunches!

You say the account is with NCO. I understand that. What I'm talking about who owns the account. Like Houcan2 said, I've never heard AMEX selling off the account.

Of course that does not mean they can't. If NCO actually owns the debt, not just has it right now, then offer it if you want. All they can say is no and settlement talks can't be used in court against you.

Actually even if AMEX still owns it you can still make the offer. It can't be used against you and all they can say is no.

How you fight this, if it goes to suit, will be night and day. Right now all anybody can say is no.

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You think that since NCO sent me a letter several moths ago, they might pass it to Zwicker or other firm shortly? Also, Amex called me and my significant other at 5 am one time. Can I use that somehow to my advantage in negotiating with NCO?

What happened when you sent a complaint to them all? Did you use an attorney? What was the amount of your debt? Thank you!

AMEX NEVER sells, I sent it to arbitration before any suit was filed, AMEX and its CAs did not want to participate in JAMS.

Here is how it gets passed down; first , NCI, NCO and then Zwicker or some other firm if Z is busy.

If arbitration is exercised it must be specified as JAMS. Get a card agreement with JAMS.

I didn't get a letter from NCI just calls and later one settlement offer, I countered with " I elect arbitration" same with the other two , I got tired and sent a certified JAMS complaint to all.

$29K is a high number, but JAMS is high in cost, so I would want it to hurt if suit was filed.

Edited by BlondaVenus
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Zwicker is not licensed to practice law in California- as far as I know... that does not mean that they won't contact you.

Coltfan is right - AMEX never sells their accounts - that being the case NCO is just acting as a collector at this point... since you missed the DV deadline, there is no point in doing so now.

Here's what I'd do - send a copy of the settlement offer to AMEX and ask if they authorized it. Sometimes, they will fire the CA - because they never authorized that low of a settlement. It also opens communication with AMEX - you can try to settle this on your own if you want.

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If you want to know who owns it then pull your credit reports (get hard copies of all 3) it will definitely show there.

Even after 3 years has past, CRAs still show AMEX is the due holder of the alleged account that was in dispute and arbitration !

The alleged debt was for a low amount but OC/CA's violations were in HIGH HIGH amount.

If you start documenting all those calls , letters and offers you maybe able to force a better settlement.

Specifically keep those documents sent by NCO, when it pretends to be AMEX. Using Oc's letter heads.

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Should I purchase all 3 credit reports from Equifax, or there is another source? They have 2 options: 1) for $39.95; 2) for $29.95.

Will the cheaper version suffice or I need to purchase the more expensive one? In regards to NCO, so you think I will start getting offers from them? Maybe I should wait until they start offering it first instead of me going to Amex with a settlement? Thanks!

If you want to know who owns it then pull your credit reports (get hard copies of all 3) it will definitely show there.

Even after 3 years has past, CRAs still show AMEX is the due holder of the alleged account that was in dispute and arbitration !

The alleged debt was for a low amount but OC/CA's violations were in HIGH HIGH amount.

If you start documenting all those calls , letters and offers you maybe able to force a better settlement.

Specifically keep those documents sent by NCO, when it pretends to be AMEX. Using Oc's letter heads.

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Go to www.annualcreditreport.com and get your FREE credit reports. Remember, the CRAs are competitors...they will not sell complete and up to date info thru each other.

As for settlements...do the math. How much does an OC pay a CA to collect? $50, $500, $1000? If your settlement offer just pays the CA's bill, what is the OC going to do about the rest of the debt? If the CA says "yeah, we'll accept 18%", you'll need a lawyer to look over the agreement to make sure the OC agrees and won't try to collect the rest.

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I pulled all 3 Credit reports. It seems Amex is closed. One credit reports states: "Account closed at credit grantor's request." Another report shows: “Status: Account charged off. $29,2XX written off. $27,XXX past due as of Jul 2012.”? What do they mean by “written off”? Also they have been checking my credit report constantly. Last time they checked was on 6/01 then on 6/22. What does it mean? Amex called me and my significant other last year I believe at 5 am in the same day. Should I make any reference to that in my settlement offer? Should that help me somehow? If it states closed, does it mean that it is no longer with Amex? It doesn't show where it went. Thanks!

You say the account is with NCO. I understand that. What I'm talking about who owns the account. Like Houcan2 said, I've never heard AMEX selling off the account.

Of course that does not mean they can't. If NCO actually owns the debt, not just has it right now, then offer it if you want. All they can say is no and settlement talks can't be used in court against you.

Actually even if AMEX still owns it you can still make the offer. It can't be used against you and all they can say is no.

How you fight this, if it goes to suit, will be night and day. Right now all anybody can say is no.

Edited by BlondaVenus
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Thanks for the tip.

I understand. I will offer 20%, because I can actually borrow up to 25%. If I offer 25% from getko, and they ask for more, I will not be able to come up with more. But if you guys are more experienced, please advise. If you believe they will not take 25%, I'd rather not make Amex an offer, but keep getting/saving more money for a more reasonable settlement. It's just I don't want to drag it too much, because I don't want to get sued or garnished, but in the same time, don't want to open a can of worms by making an offer.

Go to and get your FREE credit reports. Remember, the CRAs are competitors...they will not sell complete and up to date info thru each other.

As for settlements...do the math. How much does an OC pay a CA to collect? $50, $500, $1000? If your settlement offer just pays the CA's bill, what is the OC going to do about the rest of the debt? If the CA says "yeah, we'll accept 18%", you'll need a lawyer to look over the agreement to make sure the OC agrees and won't try to collect the rest.

Edited by BlondaVenus
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Hi Coltfan1972,

I sent my 19% settlement offer to Amex more than 1 mo ago and I have never heard from them. Should I contact them again and offer 20% or should I send the same 19% offer to NCO? What should my next step be? You seem very knowledgeable. Also Asset Acceptance sent me a letter re a Citi $11K debt telling me that my account will be reviewed for placement with an attorney. Should I offer them $2400 to settle? Thanks a lot!

The way you have written your posts leads us to believe the actual owner of the account is still AMEX. Is that correct.

Also, you are saying 18% settlement like it's routine. Not saying you can't get that, but that would be a kick rear type settlement if AMEX still has it.

What are you basing your post on where you can get 18% settlement if you just ask them. Again, not saying you can't. You just seem so matter of fact about it.

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I had almost an identical account. 29K, stopped paying because they jacked the rate up so high (their 'best' market rate), that I couldn't afford the payment.

We tried to settle with AMEX directly - no luck. Then it went to NCO. We were making the payments like agreed to NCO and out of nowhere, they switched on us AGAIN. New collection agency, new DV letter. They didn't respond, so we tried AMEX and they wouldn't speak with us because our account had been moved to 'legal department'. We were doing exactly what they asked...why couldn't they work with us? Then, we got a letter from Zwicker and Associates that we were being sued.

In my experience, AMEX does not sell their debt. They hire outside agencies to collect for them, but the account never leaves AMEX's books. Definitely try to settle, but keep in mind that this company is one of the oldest out there, and they are RUTHLESS in collection. I think these agencies must get a portion of what they collect from the debtor on AMEX's behalf, which is how the account still stays with AMEX. You do not want to go to court with these guys. They have a million peons that do nothing but inundate you with paperwork.

I am sure they will laugh at 18% of $29K, but I hope they don't. Good luck.

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I settled with AMEX thru NCO for 15%, paid in a lump sum. Got the deal in writing first. Less than three weeks later AMEX reported on my trade lines that the account was settled/paid for less than full balance.

15% sounds pretty good assuming one is able to pay it.

Wonder if offering to settle through the DC nets you a better deal than with the OC. Makes a bit of sense since the DC is in a much stronger negotiating position with the OC than an individual.

Regardless, it is usually a good idea to have a plan "C" just in case the first two plans are terminated by an adversary with more net worth than some small countries.

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