Collection agencies/Court

[Todd R]

What is the name of your state?What is the name of your state? Minnesota

I'm looking for some advice on how to stay out of court while I settle up with 5 different creditors. I'm working with one now and will be settled with them in December. My plans are to take out one at a time by paying large chunks per month. The representative told me that as long as I pay the others any amount monthly they can not take me to court. That way I can knock each out in time. Is this true, was I lied too? Thanks for any responses.

 

[cmorris]

To avoid being sued, you have to pay them in FULL. Partial payments go to the balance, but you can still be sued for the rest.

I'd make sure I had a good paper trail...

A few pointers:
Stay off the phone.
Do everything by certified mail, return receipt.
Save everything.
Go to creditboards.com.

 

[TigerD]

The representative told me that as long as I pay the others any amount monthly they can not take me to court.

What representative?

As long as you are paying a decent amount every month, it isn't worth the time to take you to court. But frankly, a CAs opinion of decent and yours may be drastically different. Divide the balance into six payment -- make six monthly payments.

If you set this up with the CA it'll even stop the calls. If not, they'll keep calling to see if you can do more.

DC

 

[Todd R]

The rep was from NCO Financial Systems whom I am paying off at the moment. 6 payments is not a problem right now for any of them, just not all at once.
Thanks cmorris, I was planning on writing to the other creditors to explain my intentions and see if anything can be worked out.

 

[LSCAP]

I worked out a plan for my son a few years ago, and told the CAs. Most were okay, one was very unhappy and like deptcollector said they kept calling trying to make deals. No deals. Paid in full
Anyway it worked this way so none suffered too much. six debts, I sent them all the same amount.
When the smallest was paid I added that amount to the next one.When that total was paid I added that amount to the next etc.

DO NOT SETTLE FOR LESS THAN FULL PAYMENT. Or Paid in full, othewise the credit report continues to carry it as an agreement, AND YOU DIDNT PAY.
Paid IN FULL MEANS you are a late payer.