Best way to deal with Collection Agency that won't settle?

[samF]

I have settled 3 credit card accounts that were about $5000 each for $1000 each with a 4-5 year repayment plan. However, I have an 3 yr charged off US bank CC for $8k that US bank won't discuss and the CA Portfolio Recovery is demanding $6k minimum repayment. I had a heart attack several years ago that put me out of commission so I receive SSDI after 40 yrs of employment with a small nest egg. There is no way for me to pay back $6k, so does anybody have any tips to convince a CA to settle for less? I don't have any real estate because of a divorce ten years ago so they can't attach a lien on me or garnish my SSDI. My retirement and disability pensions are protected. I just can't figure out why they won't settle like everyone else has. Any ideas?

[justbroke]

They don't need to settle. Especially if they look and see that your other accounts were "settled for less than owed' on your credit report. If you are collection proof, then why even worry? You can wait for them to sue or wait them out. If you wait them out, they may resell the account and you get to deal with a new CA which may be more amenable to settling.

Besides, settlement is not always the best financial course of action.

[catleg]

It's not a material amount of money for them either way.
They've done the math, and the model says: don't settle.
They are betting that they can dirty up your credit for long enough that you will eventually pay them to go away.
The question is, can they sue you for cheap in Oregon and convert it to a judgment before it gets beyond statute of limitations.
The judgment would then start another 7 year clock running on the derogatory item.
So they can stink up your credit for 14 years.
My impression(of their business) is that if you just hoover up people's bad debts for 1c to 2c on the dollar and report them to credit bureaus and send an occasional letter, enough people probably come to you with payment to make it profitable. (heirs, spouses, parents, ch13s,etc).
In addition some states like NJ have made debtors court very efficient and inexpensive, so in those states they may use legal capabilities as well, in others they may just sell their out of statute debt.

[wildamative]

i am dealing with a debt collector that won't settle and work out an agreement to close out the account. so i told them that i qualify for a chapter 7 and that i plan to use it!! after threatening to put me in jail for not paying my bill LOL and after i told him that i had an FDCPA violation on them. the idiot still didn't seem to care!!

[LadyInTheRed]

wildamative, please do not revive old threads.