how to initiate contact for settlement

[bettynoodles]

My husband had 2 loans with pioneer military loans.

his credit report indicates they were charged off in 2011.

we currently have no contact with this company.

pioneer military loans has an in house collections department.

while the amounts on his CR's is about $5,000 and $235

he logged on today and the computer offered him an option to Payoff for $9500 and $940 respectively.

I had intended to pay full amount for $235, and offer $1000 to settle the $5000

My husband defaulted due to a severe war injury, and is 100% disabled. He receives disability pay from the VA. Even in case of a lawsuit/ judgment it is my understanding that this can not be garnished.

We would like to buy a house, and are eligible for a VA loan, we are approved with the contingency that this debt is cleared.

until my husband discovered these new, larger, amounts.. I felt like I was going in with the upper hand.

now I don't know what to do.

any advice will be greatly appreciated.

[TomnTex]

Your dealing with a OC, not a  JDB. I would not pay them a dime, they will threaten you etc. but, they can not hurt you or jail you. They can not touch his income as long as it's disability. Make sure that you keep that money seperate from other incom that they might be able to touch. I used to live in TN but can not recall if it's a community property state.

 

If it's not, your golden. Just keep things seperate. Get on here and read and research, by doing so, you will learn and put your mind at ease. But, if you want to buy a house, just saw that. You will probably need to settle with the OC. Original creditor to get the VA loan.

[bettynoodles]

I have the intent to settle, I am concerned about the doubling and tripling of the amounts when he logs on to the website. Is this just a ploy to get more? I assume if they have legal grounds to ask for larger amounts, those amounts would be reported on the credit report.

In truth the only reason that we have not attempted to make contact is a fear of something worse showing up on the report, and the concern that my husband doesn't remember taking out the loan( his injury causes severe memory loss) so all I have to go on is what the Creditor gives me, which puts me at a great disadvantage.

are they required to provide original documents to us, I have read about 30 day windows for secondary collectors, but that doesn't apply here.

[energizer]

@ bettynoodles

 

is this debt reported on credit report? what amount does it show? what is the DOFD? what is your state statute of Limitation?

If reported on credit report, have you disputed three different reasons a) Amount? not mine c) ??????

 

do it soon so you have an idea what exactly is the real amount you owe?

then call the OC and offer settlement (in writing only)

[ArtVandelay]

I would contact @TNConsumerLawyer and get his opinion.