alicat125

How to negotiate a settlement with Midland

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Hi,

While living in California, I got into debt with an Amazon card (SYNCB/AMAZON PLCC) for $3,500. It was closed in 11/27/16 and bought by Midland around 4/27/17. I remember getting some notices (settlement offer then threat to sue) around that time but did not have the money to pay anything at that time. I moved to Lakewood, CO for school in August 2017. I am still in school so I don't have much money but need to find a way to settle the debt. I don't need to have it taken off my credit, I just want to settle with a smaller lump sum.

The original debt was actually around $2,600 but with all the interest and fees it ended up being $3,500 before the account was closed.

Is there a way to get them to settle for a smaller amount and by how much typically? 

Thanks!

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Have heard from them lately? Is there a reason you need to settle? 

If you need to settle (like to get a mortgage,) they will see that and not make a great deal. Depending on the debt, and if they are desperate to make Quarterly numbers, or whatever, the discounts vary from 20%  to 60% off. If you haven't heard from them lately, then contacting them will put you on their RADAR. Synchrony cards have a favorable Arbitration Clause in the Credit Card agreement. Unless there is a pressing reason to settle now, I would wait and see what happens. If they sue, come back here you will get help to utilize that Arbitration Clause to make Midland drop the case and you'll pay nothing and never hear from them again on that debt.

 

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You could bug the CRAs and try to get it removed from your credit reports and then considered it unofficially settled.  :) 

With that good Synchrony card agreement arbitration clause they wouldn't be getting a dime from me.

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On 8/23/2018 at 2:05 PM, Goody_Ouchless said:

Have heard from them lately? Is there a reason you need to settle? 

 

Hi Goody,

Sorry for replying so late, it's the start of the semester. I hate to have to deal with Midland but I applied for a student loan but was denied because of this negative account. In order to appeal their decision, I need to have any negative accounts cleared, paid or made payments toward it consecutively for 6 months. 

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On 8/24/2018 at 4:25 PM, creditsamurai said:

Have they committed any violations that you could cite in a lawsuit? That's how I was able to settle with them. Within a week of me filing, they contacted me with an offer.

Hi creditsamurai,

I only got a few notices from them that I was in collection and that they may sue. I moved shortly after that and have not received any notices at my new address. 

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On 8/28/2018 at 10:51 AM, fisthardcheese said:

You could bug the CRAs and try to get it removed from your credit reports and then considered it unofficially settled.  :) 

With that good Synchrony card agreement arbitration clause they wouldn't be getting a dime from me.

I wish I could go this route but one of my student loans considers my credit. I was denied the loan based on this one account in collection. The only way I can appeal is if I can have it cleared, show proof it is paid off or have made 6 consecutive months of payments. 

Do you have any advice on how to approach Midland to get the best deal on making payments toward this? I don't think I will have enough for a lump sum payment. 

Thanks!!

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Unfortunately you are in a "perfect storm." The student loan place won't allow any negative entries, because they want to be "first in line" if/when they need to sue you, and Midland will know - by virtue of you asking about settlement - that you "need" something, like a mortgage or loan.

Do you still have any of the old notices? I wonder if you were to send a Debt Validation request if that would re-start the automated process and they'd send another "offer" letter. Perhaps that offer would be better than you'd get from them if you called. Or I guess you could call and say that you got a letter and are wondering if they could make a "better deal." The main thing is to deal with them in such a way that they think you are doing this as part of general credit repair, or that this was just an account you forgot about and want to clear up - just don't let them know that this is blocking something else or they'll just sit and wait for whole thing.

 

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