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Yes, once the debt has gone into default, the entire balance is owed. By law, the collection agency does not have to accept partial payments. that they have, though, may offer you a loophole. Take proof of all payment history to court on the day of the hearing and present it to the judge. If you can demonstrate a good faith effort, and a good faith intent to continue to pay, it is possible the judge will not grant the judgment and allow you to pay off the debt voluntarily.
What else can I help you with?
Can a collection agency charge interest on an account they bought and do you have to pay them since you never entered into a contract with them?
Sorry but yes they can. In the original contract there was a clause about what actions could be taken if you defaulted on the agreement and one of those actions is that the account could be turned over to a collection agency. So, even though you didn't directly enter into a contract with the collection agency you agreed to abide by the contract and the collection agency now legally owns the contract. It works the same way as when you purchase a house. At some point the original lender on a house may sell the contract and you will be paying a different lender.
Can a 400 bill that is unpaid affect your credit report even if you make payment arrangements with the debt collector?
Yes, especially if the arrangement is with a debt collection agency and not the original company. That you're paying the bill is good, but the history of having trouble paying it and the bill going into collections will be reported on your credit history.
Can you get a arrested for not paying a car loan?
No - while you are financially obligated, the United States does not have debtor's prison. Any collection agency which threatens a debtor with arrest is in violation of the Fair Debt Collection Practices Act (FDCPA) and can be sued by the debtor for damage awards of up to $1k per violation. A judge may also award additional damages based upon the severity of the violations (a man was recently awarded a multi million dollar lawsuit against a collection agency which screamed racial obscenities to him - and he didn't even owe them money).
What legal actions can you take if a company that sent your account to a collection agency even though you paid in full and closed it 8 months ago?
None if it is indeed your account. However, your credit report should indicate that the account is paid and closed.
If a collection agency goes bankrupt how does someone find out who owns the debt?
Even if the collection company goes bankrupt, you still owe the bank whatever money you borrowed from them. The bank hires the collection company to get that money, so you still owe them
Can a hospital turn you over to a collection agency after a year even if you have been paying on it and not missing any payments?
yes
A collection agency reported you to the credit companies even though you are disputing the bill and have a scheduled date for a court hearing--can they do this even though you may soon win in court?
no
Can law collection agencies keep asking for more money even you can't afford it?
Yes, even though it makes very little sense for them to do so. A collection agency regardless of the status can continue collection attempts as long as they do not violate the FDCPA.
Can a collection agency charge interest on an account they bought and do you have to pay them since you never entered into a contract with them?
Sorry but yes they can. In the original contract there was a clause about what actions could be taken if you defaulted on the agreement and one of those actions is that the account could be turned over to a collection agency. So, even though you didn't directly enter into a contract with the collection agency you agreed to abide by the contract and the collection agency now legally owns the contract. It works the same way as when you purchase a house. At some point the original lender on a house may sell the contract and you will be paying a different lender.
How do you remove a paid collection from your credit report if you paid even though disputed and did not agree with it and provided proof to original creditor who still sent you to a collection agency?
Don't let a collection agency push you around. As a consumer you have many rights. The best places for anyone to exercise their rights are in small claims courts. For less than $100 you can bring a collection agency to their knees.
To file a bankruptcy do we input the credit card information or the collection agency information?
The safe way is to enter the credit card issuer information and under "additional parties" or "other notice," enter the collection agency info. The debt may have been sold to a collection agency, in which case the original creditor no longer owns the debt, but the new owner rarely notifies the debtor of the change, even though the law requires it.
Can a collection agency call from a private number even though there's no harassment involved?
No reason for them not to be able to, particularly if they are being professional. Such agencies have to protect their employees and offices from irate individuals that have not gotten their finances in order.
Can a collection agency put a collection on your credit even though you have a police report showing the car accident was not your fault?
Collection agencies only care about one thing...collecting money. More info is needed to answer this question but if this is a medical collection, you need to find out why your insurance company did not pay it. You are allowed to write to the Credit Bureau(s) and attach a comment that other creditors will see. Simply and briefly write your comment to explain the circumstances. Even if the collection agency won't listen, other creditors will see your explanation.
Can a collection agency file a judgment against you if you are working with a credit counseling agency paying them monthly?
Yes, a collection agency can still file a judgment against you even if you're working with a credit counseling agency and making monthly payments. While credit counseling can help manage your debts and may negotiate with creditors, it does not prevent legal actions if payments are missed or agreements are not met. It's essential to stay in communication with both the credit counseling agency and the creditors to avoid potential legal consequences.
Can a 400 bill that is unpaid affect your credit report even if you make payment arrangements with the debt collector?
Yes, especially if the arrangement is with a debt collection agency and not the original company. That you're paying the bill is good, but the history of having trouble paying it and the bill going into collections will be reported on your credit history.
Can a business garnish another business for debt?
A business can't garnish over another business, but if they hire a commercial collection agency to collect the debt, even then the agency can't garnish. When a business debt collection service goes to Court, the commercial debt collection agency can arrange a settlement to "force" the Court to garnish over the debtor. Collection Laws varies in every state
Is it legal for a collection agency to try to collect on a debt that was released in bankruptcy and then sold to the collection agency by the original creditor bank?
Legal or not, this happens every day. Inform the collection agency and the original lender that this was included in the bankruptcy. The collection agency may want to see proof but usually the original lender will call and request that - that particular account be sent back. Make sure you get something in writing from the original lender--and that the collection agency REMOVES their account off your credit report--check your report 3 to 6 months later, to make sure this has been done. If you don't want to wait--send a copy of the signed letter on the lender's letterhead to all 3 collection agencies and wait for their response. Even though it will take about 30 days--this is the quickest way.
