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Will a collection agency or the original creditor accept monthly payments to pay off a debt that is in collections?
You aren't suppose to contact the original creditor once it goes into collections but the Collection agency will accept payments. They are happy to get any money they can. (they get 50% of what they collect)I used a collection agency for a tenant who wouldn't pay for months who I had to evict(went to court) and I received a couple of small payments until the person ran away and hid again. Both the collection agency and I were glad to get any money possible. Unfortunatly, this will show up on your credit report whether you pay or not........... But it is ALWAYS better to pay if in your future creditors eyes (fico score)
What else can I help you with?
What happens if I do not pay my credit card bills?
The first thing is that the original creditor will charge this off. Which means that the original creditor is no longer financially liable. This credit card will remain closed; which will decrease your credit score. Non payments for each month will also decrease your credit score each an every month. Late payments give you the same results. If this account is sold to a collection agency then your best bet is to negotiate a settlement, and get everything in writing before making a final payment.
What if your out on worker's comp unable to pay your bill's you try to make payment agreement creditor says it's not acceptable can they sue you or can a collection agency who brought the debt sue you?
First, collection agencies do not typically buy debts. They recover them under contract for the original creditor. Second, regardless of your ability or lack of to pay, the debt is still owed. By law, the creditor need not accept anything less than the amount owed or balance in full. Third, keep all records of payments made to all creditors including mortgage and utilities and basic living needs, plus all income received, and when you receive the service to appear in court, show up and present this all to the judge. He will not likely forgive the debt, but he will order payment arrangements based on what you bring, especially if you have in writing any refusal to accept payments, and this will reflect poorly on the original creditor.
Can a debt collector take legal action when you are making regular payments and they have ceased accepting installments?
If you have a written agreement from the collection agency specifying the terms of your repayment plan and you have fulfilled (and are fulfilling) those terms as specified in the agreement, they probably cannot. If the collection agency is empowered by the original creditor to file suit and you do NOT have a written agreement from the collection agency as specified in paragraph one (1) above, they probably can. The laws of your state will prevail.
Can a collection agency report you to a credit bureau if you are making payments to the creditor?
Yes, they can. However, most don't provided you make a payment agreement with them and honor it until the bill is paid in full.
Can you legally pay a collection agency what you can afford each month?
Yes, you can negotiate with a collection agency to pay what you can afford each month. Many agencies are willing to work out a payment plan that fits your budget. It's important to get any agreement in writing and to ensure that the payments are reported correctly to credit bureaus. However, be aware that the original creditor may still pursue the remaining balance.
Can a collection agency report you to the credit bureau if you are making monthly payments on your medical bill?
If the debt was properly assigned by the original creditor, yes. If you are making payments to the Original creditor than ask them to pull it back from there Collection agency, then dispute with the CRA's and when they update it should delete
What does it mean if the original creditor recalls your account from the debt collection agency?
Same thing happened to me..... what does this mean? I have not heard anything back from original creditor and was making timely montly payments to collection agency... I am confused and a little scared
Can your account be given to a collections agency if you have arrangements to pay the original bill and payments are being made on a timely basis?
Legally, yes. But it is unlikely that a creditor would take such action.
Do collection agencies have the right to collect payments since you never signed or agreed to a contract with that company?
Yes, they are contracted to collect on behalf of the original creditor and it's contracts with you.
Can an account be sent to collections if you are making monthly payments?
If the payments are not suitable in size to the creditor, then yes. This commonly happens with medical bills. Hospitals and clinics are not required to extend the courtesy of credit to anyone. Payment in full tends to be the policy. If you owe thousands and are only paying a small amount (like 50 every month) they will send it to collections.
Can a creditor put an account into collections multiple times?
This will depend on where you live.Where I live the Creditor can put the debit into collections as many times as he likes as long as:It is being pursued by only one collection agency at a timeIt has not expired under the lawIt has not been "Satisfied" under the law. Bankruptcy is an example. So is a valid payment plan as long as the payments are made on time.
Is it better to pay original creditor who still owns account or debt collection agency who is collecting for original creditor?
Paying the collection agency will clear up your account much quicker and some creditors will return the payment to you if you send it directly to them. Most creditors sign a contract with a collection agency and cannot discuss the debt with the debtor once they place it with the agency, they must refer all correspondence, communications and payments to the agency for the life of that contract.
If a few payments were made to a collection agency for a repossession after the fact will the repo come off of the credit report 7 years after the repo or 7 years after the few payments were made?
The report will be removed 7 years after the date of the last on time payment to the original creditor.
What is a Derogatory public record or collection?
== == A Deragatory record is an account that has had a history of late payments. A collection account is an account that was not paid on time or at all, and was closed by the creditor and sold to a collection agency.
If you are willing to make payments on a debt can a collection agency refuse the payments and continue to harass you?
A collection agency is not hired to get the amount paid in payments they are paid to get the amount in full. At this point the place you originally owed the money to and did not pay may or may not be willing to take payments being that they have now hired the collection agency to get the money from you. YOu can call the original creditor and tell them you are willing to pay and if they say no then you must pay the collection agency, I have never heard of any of them taking payments. When they get hired they try to collect as much as possible of the owed amount so they can get a higher commission. They dont want payments they want money in full....
Why can't you get a detail Billing statement from a collection agency?
You can, but not directly from them. The debt collector is the agent of the original creditor and does not likely have all records of the debt or contract. The collector, as the agent of the creditor can go back to the creditor and request a reconciliation of payments and history, and will in fact be required to so that it van be verified if you notify the collector in writing that the debt is invalid due to payment or some other reason.
What happens when a creditor turns the debt over to a collection agency after Chapter 13 is filed and payments have begun?
When a creditor turns a debt over to a collection agency after Chapter 13 has been filed and payments have begun, the collection agency is typically required to cease collection efforts due to the automatic stay provided by the bankruptcy filing. The creditor must also adhere to the terms of the Chapter 13 repayment plan, which may include specific treatment of the debt. If the collection agency continues to pursue the debt, it may violate the bankruptcy court's protections, potentially leading to legal consequences for the creditor. The debtor should inform the court and their attorney about any such actions.
