Bank still calling despite settlement.

[wavehopper27]

What is the name of your state (only U.S. law)? Massachusetts

Back in 2003, I made the HUGE mistake of cosigning a car loan for someone. Well, the car eventually got repoed and the bank started calling me to recover money thatI they lost in the sale.

Back in 2008, I was offered a settlement from a collection agency. I have a signed letter from the account manager at the agency stating that the bank has offered to settle the account for an immediate payment of x dollars. I made the payment by bank debit right there over the phone.

I keep getting calls and letters from the bank asking for payment on the remaining balance. They claim having no record of the settlement despite me sending them a copy of the signed settlement letter on several occasions. They refuse to close the account and insist that I still owe them money.

What should I do?What is the name of your state (only U.S. law)?

 

[Antigone*]

What is the name of your state (only U.S. law)? Massachusetts

Back in 2003, I made the HUGE mistake of cosigning a car loan for someone. Well, the car eventually got repoed and the bank started calling me to recover money thatI they lost in the sale.

Back in 2008, I was offered a settlement from a collection agency. I have a signed letter from the account manager at the agency stating that the bank has offered to settle the account for an immediate payment of x dollars. I made the payment by bank debit right there over the phone.

I keep getting calls and letters from the bank asking for payment on the remaining balance. They claim having no record of the settlement despite me sending them a copy of the signed settlement letter on several occasions. They refuse to close the account and insist that I still owe them money.

What should I do?What is the name of your state (only U.S. law)?

Send them a copy of the signed letter you have showing the settlement. Also send a copy of your cancelled check or portion of your bank statement showing the payment.

 

[KakitaOCU]

Should go with outsaying but send that certified mail with return reciept. Also, don't just send it to the bank in general, next time they call advise them again of the settlement and ask them point blank exactly what address your proof of settlement needs to be sent to. Last thing you want is to send it off and have it bounce around somewhere without getting to the collections department.

 

[wavehopper27]

Send them a copy of the signed letter you have showing the settlement. Also send a copy of your cancelled check or portion of your bank statement showing the payment.

I have on multiple occasions.

 

[davew128]

I have on multiple occasions.

Then feel free to be extremely rude and hostile the next time they call. I have zero patience for stupid people and in this case you have nothing to lose.

 

[swalsh411]

Send them a letter stating you will not pay any more and to stop contacting you. Their only recourse then would be to sue you.

 

[wavehopper27]

What about the continuing negative reports on my credit?

 

[davew128]

What about the continuing negative reports on my credit?

Is there some reason you think your report shouldn't reflect that you made a settlement on that account for less than you owed?

 

[wavehopper27]

I mean that they have not reported it settled. They continue to report my balance as overdue. In all fairness, my report should state that this account was settled and closed as of 2008.

 

[KakitaOCU]

You said you've sent them the letter repeatedly. Was that directly to their collections department via certified mail with a return reciept proving that they got it?

As a side note, do settled car loans and such get reported to the IRS as income the way settled credit accounts do?

 

[davew128]

As a side note, do settled car loans and such get reported to the IRS as income the way settled credit accounts do?

They are supposed to. Although in this instance I would not be certain since the OP was a co-signer and not the borrower.