When CC's Turn Over to CA's...

[BKINAZ]

What happens? Do most collection agencies start from the entire balance, 50%, or where the last negotiations with the credit card company left off?

Currently I am at 45% with Chase...I suspect lower next month and then the hand off...where with the Collection Agency start?

[landofpoor]

What happens? Do most collection agencies start from the entire balance, 50%, or where the last negotiations with the credit card company left off?

Currently I am at 45% with Chase...I suspect lower next month and then the hand off...where with the Collection Agency start?

I am kinda in same boat as they are starting to be handed off to collections now.Far as chase it was or sposed to be written off last night after 10 pm.desperate call came mid afternoon yesterday from chase on recorder saying call them before 10 pm where they would settle for 25%.so yeah I imagine you will get the same offer when its cutoff point with chase.
From what they said on message once sent to ca it will be full amount so guess time will tell what happens next with them.it dont matter if they offered 10% cant pay it

[BKINAZ]

Very interesting...that is helpful, thanks! How far are you behind with the chase account? Someone from chase told me a week ago that they get rid of them at 7 months...(we are six)...you? We are in a position to work with them on a settlement...so 25% actually would interest us at this point.

[landofpoor]

Very interesting...that is helpful, thanks! How far are you behind with the chase account? Someone from chase told me a week ago that they get rid of them at 7 months...(we are six)...you? We are in a position to work with them on a settlement...so 25% actually would interest us at this point.

I quit paying chase back in sep 09 too.I havent heard from them for a week or so .prob going to collections that is in theprocess prob?letters i got from chase which was the only one willing to cut to 80%. But then again I havent been reponding to any of them so who knows what they actually would have cut it to.

[BKINAZ]

I'm sorry...cut to 80% (???)...meaning they would settle .20 on the dollar? I ask because their first dealings with me after months was .85 (yeah) so I don't know if you mean early on as well.

The other thing...you said Sept of 2008 was when you stopped paying? Wow. They told me 7 months they would be sending it to collections. They lied to me! lol

[landofpoor]

I'm sorry...cut to 80% (???)...meaning they would settle .20 on the dollar? I ask because their first dealings with me after months was .85 (yeah) so I don't know if you mean early on as well.

The other thing...you said Sept of 2008 was when you stopped paying? Wow. They told me 7 months they would be sending it to collections. They lied to me! lol

No Chase they wanted 80% of the balance.BOA was willing for 25% of the balance And there have been no other offers from Chase and its prob written off I am assuming as of now or real close to it. So yeah its been just 7 months for mysself as well since last pd

[treehugger1]

"Do most CA's start with the last settlement offer?" Not that I'm aware of. The CC's will turn over the entire balance owed to a CA for assignment or sale. At that time, it's a new game.

[BKINAZ]

Whoo, hoo...cause this has been so much fun so far...thanks tree. lol

[treehugger1]

Just be aware that thre are two options for the original creditors. 1) they contract the debt out to a CA (NCO, Allied, etc.) In such a case the OC has control of the account and can direct the CA to approach the account in a legal manner (send account to a collection attorney that the CA is contracted with.) Who does this? In my experience, CAP1. I think Chase also is not willing to sell debt. 2) the OC sells the debt. In such a case, the debt is probably in a "portfolio" of debts that the OC sells. At this point in time you are really in the game. CA's and junk-debt-buyers may start negotiations based on the balance and all the fees added on. There is no way to know what they paid for the debt. Just keep playing the game with debt verification requests, cease and desist telephone communications letters, etc. I always assume that if someone wants their money bad enough they will order their contracted legal firm to initiate a suit. So far, I have accounts that have been through several "contract" legal firms, but I have not been sued with respect to a national CC.

Keep in mind that I answer all calls. If the CA is new to me and I have never received a letter from them, I simply tell them to send me what they have in writing. So far, they have all obliged. I then send out the DV and C&D letter. Now, I have no assets other than wages. I don't mind speaking with CA's. I do make it clear that I don't discuss personal finance matters over the phone. Sometimes I even ask them if this is some kind of ID theft scam (Who knows, it could very well be)? They have no idea how to respond because this is not part of their script. Most of my national level credit cards have original applications that are a decade or longer old. There are no phone numbers or addresses of past references that have any value. I doubt that any national CC has any clue what my street address is. I'm registered to vote through my PO and my driver's license is through my PO. My PO has a street address and a box #. I've used a PO box for an address for 12 years. I'm not concerned about any CA contacting relatives or friends; good hunting there. LOL

I always assume that on any given day I can be served. I read the legal notices in the paper everyday and check with any counties in which I have lived in the past for possible lawsuit actions. I don't care about my credit score. I have no assets. Given these parameters, I am left with only wages to garnish. I can survive on 25% of takehome (better for me than a BK 13.) Worse-comes-to-worse, I quit my job, retire and eventually file for a BK 7. Not everyone on this board is in the same place that I am. It all depends upon what you have to lose.

[albacore44]

Just be aware that thre are two options for the original creditors. 1) they contract the debt out to a CA (NCO, Allied, etc.) In such a case the OC has control of the account and can direct the CA to approach the account in a legal manner (send account to a collection attorney that the CA is contracted with.) Who does this? In my experience, CAP1. I think Chase also is not willing to sell debt. 2) the OC sells the debt. In such a case, the debt is probably in a "portfolio" of debts that the OC sells. At this point in time you are really in the game. CA's and junk-debt-buyers may start negotiations based on the balance and all the fees added on. There is no way to know what they paid for the debt. Just keep playing the game with debt verification requests, cease and desist telephone communications letters, etc. I always assume that if someone wants their money bad enough they will order their contracted legal firm to initiate a suit. So far, I have accounts that have been through several "contract" legal firms, but I have not been sued with respect to a national CC.


Keep in mind that I answer all calls. If the CA is new to me and I have never received a letter from them, I simply tell them to send me what they have in writing. So far, they have all obliged. I then send out the DV and C&D letter. Now, I have no assets other than wages. I don't mind speaking with CA's. I do make it clear that I don't discuss personal finance matters over the phone. Sometimes I even ask them if this is some kind of ID theft scam (Who knows, it could very well be)? They have no idea how to respond because this is not part of their script. Most of my national level credit cards have original applications that are a decade or longer old. There are no phone numbers or addresses of past references that have any value. I doubt that any national CC has any clue what my street address is. I'm registered to vote through my PO and my driver's license is through my PO. My PO has a street address and a box #. I've used a PO box for an address for 12 years. I'm not concerned about any CA contacting relatives or friends; good hunting there. LOL

I always assume that on any given day I can be served. I read the legal notices int eh paper everyday and check with any past counties in which I have leived for possible lawsuit actions. I don't care about my credit score. I have no assets. Given these parameters, I am left with only wages to garnish. I can survive on 25% of takehome (better for me than a BK 13.) Worse-comes-to-worse, I quit my job, retire and eventually file for a BK 7. Not everyone on this board is int he same place that I am. It all depends upon what you have to lose.

Agree with you on Cap 1. when reviewing the court docket, I saw a dozen or so cases filed using some small law firms in a neighboring county. They all seemed to be relativly small amounts $1-2K. No Chase or B of A. What has been your experience with Citi, if any ??

[BKINAZ]

Thanks TREE...very helpful.

[treehugger1]

My experience with CITI has been pleasant. We tried to work out an agreement, but eventually I couldn't live up to my end. I have no idea where the account is. They sent it to a legal firm in Washington. I DV'd about a 2 months or so ago and never heard back. My other account with Citi charged off a couple of days ago, so only time will tell where this account lands.

"Your mileage may vary."

[treehugger1]

I forgot, "objects in the rearview mirror are closer than they appear." LOL