judgement

Submitted by Anonymous (not verified) on Fri, 01/30/2009 - 05:19
Forums

Settled with debt collector last year about providian debt,,for around 9,000, paid montly payment and all of a sudden they stopped sending invoices,,few months later another agency starts sending letters and they say they have now taken over trying to collect debt but they are asking for the original amount not the amount i settled on last year. what should i do??

If you have the invoices with you, which shall prove that you have paid off the debt and the agreement papers which will prove the settlement amount agreed between you and the original creditor, you should not continue paying off he debt to the new collection agency. Just stop paying to the original creditor as well since they have stopped sending you invoices. The first step you need to follow is to send the new collection agency a debt validation letter by certified mail and wait for their response. If they do not validate within 30 days, you need not come to any negotiation with them.

Fri, 01/30/2009 - 08:59 Permalink

You should immediately stop making any further payments and send a debt validation letter by certified mail to the new CA who claims the debt. If they cannot validate the debt by providing you with details that the debt has been purchased by them, there is no need to worry about and you can just avoid paying them. However, if they validate the debt, but demands the entire settlement amount (including the amount you have already paid), you should again avoid paying them. This is because you have already the settlement agreement with the OC and this will help you in case they sue you to the court.

Fri, 01/30/2009 - 11:09 Permalink

Once a settlement offer is reached can they resell an account that is being paid on? Also didn't providian sell out to another compnay.. i remember hearing they were no longer in business.

Fri, 01/30/2009 - 15:06 Permalink

Agree with justin if you have if you have paid all the debt ,you have all the paper and agreemant of settling the debt so you should ask the other debt collector agency about alll this issue and you can show all the validated papers and the invoices.i think there is some misundestanding in the debt collector comapany or there misspace some document of yours

Sat, 01/31/2009 - 04:43 Permalink

If the OC with whom you have made the settlement agreement, sell off the debt to a collection agency, then only the portion of the settlement amount that is still outstanding can be sold and you remain liable to pay only the outstanding amount and not the full settlement amount to the collection agency. However, you should have the proof that Providian has agreed to settle off the debt for a lesser amount and the statements that you have made payments to Providian as per the settlement amount.

Sat, 01/31/2009 - 12:18 Permalink
Debbie (not verified)

Ok,,to start with i have not paid the judgement in full,,lg funding took out judgement and i made payment until they stopped sending me invoices,,later another debt collector starts caling and so forth as i said above, at first they were saying they wanted to collect the full amount which is not what i settled on,,i settled on paying part of it,,about 9,000, so i sent this new collector a debt valadation and what they have sent me back is just a copy of the judgement from lg funding?? so now what,,they say i need to call them within 30 days but did not send the letter certified??

Wed, 02/18/2009 - 19:41 Permalink

If the new collection agency did not validate the debt, it means that they cannot prove that the debt has been sold off to them. So you are in no way responsible to pay them off. You can pull out the credit report and check whether their name is listed there. If they are listed in your credit report, just send a dispute letter to the bureaus and ask them to remove the name of the CA from your report.

Thu, 02/19/2009 - 10:40 Permalink

Scott, if the new collection agency can not validate the debt and the collection agency with the judgement has sold it then how would the poster get rid of the judgement? Should they call the one who had the judgement placed and continue payments with them or what??

Sat, 02/21/2009 - 01:02 Permalink

If the CA has sold off the debt along with the judgment order, the new CA can use the judgment order to recover the debt. Now the judgment money can be collected till the time the SOL on judgment expires. SOL on judgment varies from state to state. Now, if the new CA sends you a collection notice, you can ask for debt validation to be sure whether the new CA owns the debt or not.

Tue, 02/24/2009 - 10:29 Permalink

Alright now if the poster had arrangements to pay a certain monthly amount and a new colection agency buys the debt does the payment stay the same? I am not sure if once a judgement is reached if the judge helps set the repayment amounts but if they did would that order still be followed?

Tue, 02/24/2009 - 12:01 Permalink

Sounds familar to me -my creditor all of the sudden the name changed and the amount paid disappeared. I stopped payment and wondered whether it was legal for them to sell my judgement. I didn`t pay or respond for 8 months now and all the sudden my bank account showed a WRIT for 160 -called the bank and they explained it`s a garnishment for Palisades and gave me a lawyers number and name. I did reconize the collector from my credit report so I know who it is despite the lawyer collector change. I expected they would have to warn you legally before they can just take your money out. I`m thinking I should change banks without notice and see what happens.
You should definately try to clear this up with the original judgement collector before this happens to you!!

Tue, 02/24/2009 - 15:50 Permalink
Debbie (not verified)

Im confused now as what to do,,actually when i sent them letter wanting them to valadiate,,exactly what should they have done,,as i said all they did was send copy of my judgement from previous debt collector???

Wed, 02/25/2009 - 04:05 Permalink

I don't think that just sending a copy of the judgment from the previous debt collector is proper debt validation. In addition to this, the creditor must send you the proof that they have bought the debt from the previous creditor or the previous creditor who has brought judgment against you have transferred the right to collect the debt to this new collection agency.

Wed, 02/25/2009 - 13:31 Permalink
debbie (not verified)

today i got more mail,,and it is a notice of assignment of judgement and substitution of counsel,,and along with it is the same judgement as befoe,,should i just keep this as it was or try to get amount lowered again??

Wed, 02/25/2009 - 20:35 Permalink

You may be able to get them to come down on the cost if you have good negotiating skills. Depends on how willing they are to negotiate with you and how much you can pay them up front. If you can come up with a good part of it that you can give them right a way you have a better chance of getting them to come down on the figure. Hope this helps, hope it all works out for you, goodluck and keep us updated.

Thu, 02/26/2009 - 02:51 Permalink
Irene (not verified)

I was served with lawsuit papers from a collection agency who purchased my debt from another agency in 2007. I made payment agreements until I could figure out what to do. I looked in my credit report and they are not there. Do I still have time to negotiate before this goes to court?

Mon, 07/27/2009 - 21:05 Permalink
Irene (not verified)

By agreeing to make payments have i validated the debt. also,bshould i retain an attorney or try to settle on my own before a judgement is place against me.

Mon, 07/27/2009 - 21:08 Permalink
Suzana (not verified)

Debt consolidation can be a trap if you use your home etuqiy to pay off credit cards. That is one reason why so many homeowners are finding themselves in foreclosure these days.Debt settlement is a better option for most people.Both are equally effective the question is what do they leave in their aftermath? Debt consolidation can be expensive and lead to a situation where your home is not worth what you owe on it. Debt settlement can leave you with less than perfect credit, but that can be fixed over time.I would be more concerned about the side-effects of either situation.

Tue, 10/30/2012 - 06:19 Permalink