Will not send letter that they will settle

Submitted by Shaquil on Thu, 02/19/2009 - 22:05
Forums

I have a problem I have been paying off some debt on my credit , however, I have ballys on my report for 2018.00, which is a fitness center. The kick is , I never signed a contract. Ballys has sold this to a a collection agency and Now I owe them 2018.00. I asked would they settler she said they would for 1514.00, i requested if I could get this in writing, however I never heard from her, I have called and left a message. what should I do, this has ruined my credit report and keeping me from purchasing a home. Any suggestions would help
Thanks

First of all if you never signed a contract and did not use their services then they should not be able to charge you. Did you call Bally's in the beginning and try to clarify the situation with them? Secondly before paying any debt that has been purchased by a bill collector you should send them a debt validation letter first. The debt validation letter is a letter that proves that they legally purchased the account from Ballys and are now the owner of the debt. The also would have had to have a copy of the original signed contract. You say you had not signed any contract. If this is the full truth then you need to send out the valdiation letter. They would then have 30 days to validate the debt. Without a contract they will not be able to so you can dispute the account with the credit bureaus and have it removed with out paying this debt.

Fri, 02/20/2009 - 12:45 Permalink

Thank You for your help, but no I never signed a contract and see this is on my credit report and it is really hurting it because my lender is stating that I have to have it paid, Im so upset I have really been working hard for the last year in a half on getting my score up.

Fri, 02/20/2009 - 15:11 Permalink

Hi Shaquil
To be sure whether the collection agency that claims your debt actually owns it, you need to send a debt validation letter by certified mail, which they need to answer within 30 days from the day they receive your letter. The validation should include the proof that they have bought the debt from Bally and details of the outstanding debt, including the late payments. If they can provide you with such documents, you can come to a pay for deletion agreement in writing and pay it off.

Wed, 02/25/2009 - 07:31 Permalink

I would send the validation letter and if they do not repond just dipute it. This will remove it from your report and you can get the loan you will need.

Wed, 02/25/2009 - 18:59 Permalink

true, I just called transunion and filed a dispute over the phone, I found that calling them is more effective. Which credit reporting agency is your lender using?

Thu, 02/26/2009 - 03:12 Permalink

It seems the phone dispute may be a lot quicker. Are these people hard to deal with that you have to speak to at the credit bureau? How long after disputing it did you see results? The poster could really explain in detail over the phone and it may be easier than doing it online or with the good old fashion pen and paper. Plus they would have the opportunity to have some question answered.

Sat, 02/28/2009 - 23:03 Permalink