Collection agency - settlement offer

My original loan was sold to a collection agency, who then sold it to another. I now have funds to settle what they are asking. I sent a "pay to delete" offer letter to them first, saying I would agree to send the amount with a signed, returned letter from them, agreeing to delete the negative marks on my credit. They called and said they cannot do that because my loan was sold to them. Is this true? If not, how can I get them to agree - just keep pushing??

Corona, CA -

Attorney Answers (3)

Robin Mashal

Robin Mashal

Litigation Lawyer - Los Angeles, CA
Answered

Disclaimer: The materials provided below are informational and should not be relied upon as legal advice.

It they have a judgment against you, they can provide you with a acknowledgement of satisfaction of judgment which you can file with the court and record in counties where abstract of judgment had been recorded. You should consult your own attorney to protect your legal rights.

Curtis Lamar Harrington Jr

Curtis Lamar Harrington Jr

Bankruptcy Attorney - Long Beach, CA
Answered

Credit agency has its policy and operating parameters. I don't see "sold to them" as being as great of a prohibition allegation than any other.

Lots of people want to "make" credit agencies "do things". Given bureaucracy, paucity of specific operating rules and verifications, the credit agency becomes a third party.

What about a hypothetical statement "I'll pay your debt if you can force Mary to Marry me"? In essence they are saying that they have little control over this 3rd party.

If it is what you require for your settlement, then its what you require. They have their options as well.

Have you contacted the "credit" company and asked them what they required to "delete", or are you asking the collection agency to guess if it could meet the requirement for "deletion"?

Are you bringing these parties together, or giving the collection agency a set of scavenger hunt type demands?

What about the other two "credit companies" ? Are all 3 on board?

What does your bankruptcy lawyer think about this plan?

Do you have any defenses to the debt? Any offsets?

Good luck...

Curt Harrington Patent & Tax Law Attorney Certified Tax Specialist by the California Board of Legal... more
Jared B Gaynor

Jared B Gaynor

Bankruptcy Attorney - Sacramento, CA
Answered

I may be misreading this - but what I think the Collection agency may have meant is that they cannot get rid of all the other credit history of the OTHER two lenders who have owned the debt, so they can't get rid of all the negative history on the debt.

Example - Lender sells to Collection Co 1, and then to Collection Co 2. If you pay Collection Co 2, they are able to erase THEIR credit line item history, but not any credit report info for Collection Co. 1 or Lender.

Please clarify what they said to get an idea of what they are actually willing to do.

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