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Is Midland likely to settle for 30%?


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Hello everyone, 

Long story short, had 2 cards with credit one (one is mines and one is the wife's card). We underwent horrible financial hardship (we both lost jobs at around the same time). We let our credit card payments go so we could survive.  All of this was at the beginning of 2016. By September all of our accounts went into collections. Midland bought a total of 4 of our accounts on the same day. The balances range from 900-1200. We both tried to get back on our feet and basically took any part time job or job that paid to keep us afloat. We don't make nearly enough as we did before. However, we were able to save a small sum of money. We want to settle some of our stuff before we get sued. We live in Texas by the way. 

How likely is it that midland will accept 30% of the balance they are trying to collect? I'm not highly optimistic as our accounts are fairly fresh. (They sent us the first letter around early December)


Thank you for all advice. 

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Did you respond to their first collection letter(s)? 

I would respond to the first letter they send for each account stating that I dispute the alleged debt and that I elect arbitration to resolve my dispute.  There are also good TX state protections, but I don't know the specifics of that state.  Read posts by @texasrocker that may help you preserve your consumer rights.

I would get copies of the credit one card agreement and read the arbitration section.  Midland will not pay the $5,000 required arbitration fees to JAMS and once you file an arbitration case, they are not allowed to sue in court.

You can read a lot about how arbitration can help you settle these accounts for $0 by searching arb in this site or looking through my previous posts.

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