CACH, LLC collection agency filed complaint. Can I ask court in Answer to settle debt amount for less than being sued for?

Asked 12 months ago - Louisville, KY

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Original debt 2006, $2,545. Last payment 2010. Lowest known balance $2,079
Collection agency wants judgement for $2,406.29 +$536.91 accrued interest =$2,943.20

Credit card in my name, authorized charge for son. Son paid credit card directly (statements in his name) but due to late fees and interest debt never got paid off. I offered $!,000 they countered $1,600, I don't have that so couldn't pay it. I received complaint showing the $2,943.20. Card use was in CO, I now live in KY.

Attorney answers (2)

  1. Contributor Level 10

    Answered June 13, 2012 19:54. If they have filed suit the Answer is generally not the place to ask to settle for less. I agree with Mr. Weiss that Court's generally will not negotiate on your behalf. But you can. Some of the collection firms will negotiate payment plans. Generally the more you pay up front the lower the amount you can negotiate. For example you may want to offer to pay the $1,600 with $1,000 down and monthly payments for the remainder. I would see if they are willing to work with you on a plan of that sort. Do not agree to a plan you cannot afford as that can possibly increase your final costs. Since suit has been filed, if you negotiate a payment plan be sure not to forget about the Court action. You will eventually need to file something with the Court to resolve the case. Best of luck.

  2. Contributor Level 14

    Answered June 10, 2012 11:23. The Court generally will determine only how much you owe. It can not negotiate on your behalf or impose a settlement that is not agreeable to all parties.

    Some court systems offer mediation services for small cases; your case may be a good one for this (if it is available).

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