I recently got overextended on one of my credit cards and fell 90 days past due. While I've always overused credit, I've traditionally done an excellent job of juggling my accounts but this one got away from me. Although I was told no action would be taken until I reached the 120 days past due, the debt was assigned to a collection agency some two weeks shy of that mark.
The very first day I heard from the collection agency, they insisted that some good faith payment arrangement HAD to be made that day. Once I got to work and confirmed with the credit card company that this collection agency was legit and check complaints against them with the BBB, I agreed to a good faith payment of $300.00 via check by phone with the understand that I would apply with a couple of other creditors to see if I could get further credit to cover the debt.
I did and was denied. I called back the collection agency to make payment arrangements. While we agreed on a bi-weekly amount, this particular company wanted either three (3) post-dated checks in advance or to set up post-dated bank drafts. As I simply wanted to send them checks on the agreed upon dates (with the understanding that they could begin legal action if I missed any payments), I was resistant to send them any post-dated checks. At that point, negotiations broke down and I told them not to contact me.
I intend to send them the payments to which we agreed but in the manner I wish to pay them. My question is: Should they accept my payments, can they continue to pursue other collection activity such as judgments, leins, etc? Also, I was told by a friend (who may or may not know) that if the original creditor will accept payments, I can just safely ignore the collection agency and continue to deal with the original creditor...even though they presently refuse to discuss that matter with me.
Any help or advice is very much appreciated. I do want to pay these people what I owe...but I do not quite understand why it has to be on all their terms. I have asked them to verify the debt which I believe stalls any further collection activity until this action is complete, yes?
Attache
The very first day I heard from the collection agency, they insisted that some good faith payment arrangement HAD to be made that day. Once I got to work and confirmed with the credit card company that this collection agency was legit and check complaints against them with the BBB, I agreed to a good faith payment of $300.00 via check by phone with the understand that I would apply with a couple of other creditors to see if I could get further credit to cover the debt.
I did and was denied. I called back the collection agency to make payment arrangements. While we agreed on a bi-weekly amount, this particular company wanted either three (3) post-dated checks in advance or to set up post-dated bank drafts. As I simply wanted to send them checks on the agreed upon dates (with the understanding that they could begin legal action if I missed any payments), I was resistant to send them any post-dated checks. At that point, negotiations broke down and I told them not to contact me.
I intend to send them the payments to which we agreed but in the manner I wish to pay them. My question is: Should they accept my payments, can they continue to pursue other collection activity such as judgments, leins, etc? Also, I was told by a friend (who may or may not know) that if the original creditor will accept payments, I can just safely ignore the collection agency and continue to deal with the original creditor...even though they presently refuse to discuss that matter with me.
Any help or advice is very much appreciated. I do want to pay these people what I owe...but I do not quite understand why it has to be on all their terms. I have asked them to verify the debt which I believe stalls any further collection activity until this action is complete, yes?
Attache
