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If you are summoned to court for a collection of debt can you settle out of court by paying the debt before the court date?
Wiki User
∙ 15y ago
Yes, and the court would love you for it so it does not have to spend any time on it. But don't offer to pay the whole thing right away. Try to work out a settlement with the creditor to pay about 70-80% of the debt claimed. Many creditors go for this because of the assurance of being paid a substantial amount of the debt without going through complicated, expensive and time-consuming collection methods.
Wiki User
∙ 15y ago
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If you settle an old credit card debt with a collection agency paying the negotiated price in full will the collection agency remove the collection from your credit report?
No the collection will not be removed from the credit report. They will show it paid in full.
Your spouse dies without a will and the collection firm wants to settle for less than is owed how will this affect the surviving spouses' credit?
Consult a lawyer before paying them a penny. Depending on the nature of the debt, it may not be yours to worry about.
Is it legitimate if a collection agency sent you a letter stating that their client would settle for a certain amount if paid by a certain date and they want you to fax the letter to them?
Before making any commitments to a collection agency, you should get confirmatio from the original creditor that the collection agency has legal authority to collect at settle the debt.
Will a collection agency sue for 1200.00?
Yes, many have a $1000 minimum. Best to try and settle the account or negotiate a payment plan before it goes that far.
Is the Executor responsible for paying credit card debt when the debt is being held by a collection agency there is a will the only asset is a home surviving children?
Yes, the Executor is responsible for paying off all the debts, or as many as possible, of the deceased using the assets of the estate. If the house has to be sold to settle the estate, then it must be sold.
If you settle a chargeoff or collection does this increase your credit score?
Yes! I settled 2 collection accounts and my score stayed exactly the same.
Can I settle my credit card without paying late payment and interest?
Yes you can. If you have the funds available, you can pay off the whole balance before the 'dues date' - and accrue no interest or charges.
I am currently and have been paying faithfully a collection agency 50.00 a month to settle a medical debt. The agency is now threatening to garnish my wages for more. can they do that.?
NO. If you are paying a little at a time they can not garnish wages. The collection agency can not garnish your wages.The only agency that can do that is the Internal Revenue Service. It is better to pay the account in full when settleing a debt it show's on you credit report that you took a settlement. 50.00 a month try that toward your outstanding balance and pay more if you can.
Can you settle for less in a collection agency?
Yes, sometimes a collection agency will let you settle for less than the total amount owed on the debt. Most times this means they will want all the money in one, two, or three large payments.
Should a collection account be paid in payments or paid in full for a better credit score?
Paying a collection will decrease your score within the first 30 days, but keep in mind that in time your score will start to increase due to the fact that you are decreasing yoru debt vs income ratio. Your best bet is to settle at least 30% of the high credit limit.
If a car written off amount is 900 dollars and company will settle for 692 dollars should this be put in writing before exchange of money and title is released?
definitely. i owed eight thousand on a reposession, they said they would settle for sixteen hundred, i hired a lawyer for six hundred and let him get everything in writing. the reason being they said to my husband they would settle for sixteen hundred, they told me they would settle for three thousand. so i had lawyer to talk to them and take care of it. get lawyr and everything in writing before paying.
If you settle for a lesser amount due from a collection agency will it have a negative affect on your credit report?
Any collection account on your credit report is considered a derogatory listing regardless of status (unpaid, paid or settled). All accounts of this type have a negative impact on your score depending on when they are last reported/updated. Since settlement is paying less than the full amount due, this is obviously seen as less favorable than paying in full. But, once again, it is the date last reported that impacts the score.
