Need help with Portfolio Recovery to pay off CC

Tahoe70 · 08-25-2007, 01:19 AM

Hi-

I've been a lurker for awhile & I searched for this info but didn't see anything to help me.

I have a charged off credit card from 2 years ago that was purchased by Portfolio Recovery.
I want to pay this debt off.
At the time I owed $5200.
I am not looking for ways to get out of it.
I accured the debt & I want to pay it.
I recently received a letter that said that if I do not respond they will persue legal action.
I'm not willing to risk them getting a judgement against me.
I want a payment plan to pay back this debt so I I have two questions.
Since I live in California, can they continue to charge me interest on this charged off account?
Also what is the best way to communicate with this company?

Thank you,
C

Enigma · 08-25-2007, 01:25 AM

How old is the debt, are you sure of the balance, do you have funds for a quick settlement, have you contacted the OC to see if they will take it back?

But making payment arrangements, you will take an unnecessary hit on your FICO score.

hannah · 08-25-2007, 03:14 AM

Have you sent them a DV? I've never seen them have any docs.

Enigma · 08-25-2007, 07:53 AM

Quote:

Originally Posted by hannah

Have you sent them a DV? I've never seen them have any docs.

Tahoe70,

hannah raises an excellent point. You say you do not wish to try and get out of paying your debt, but, can the CA prove they have the right to collect the debt?

Why pay someone just because they claim you owe them money when they have not proven you owe them the money.

Hedwig · 08-25-2007, 04:58 PM

Enigma is right. You are no longer paying the person you owed the money. If they don't have proper documentation and right to collect, you could end up paying them and still have someone else come after you for the debt later. It's happened.

If they don't have the documentation you need not pay them. Only pay someone who can prove you owe them money.

roybean · 08-25-2007, 05:13 PM

What they said and trying to make payments to these folks may be a nightmare with your eyes open....keep reading!

Tahoe70 · 09-02-2007, 02:21 AM

Thanks for the responses.
I sent the DV & I got back a letter that said that they received my request for additional information.
In the letter was the original creditor's name, address, my name, my address, date of loan, last 4 of my SS & the current outstanding balance.
That was it.
Should I send another letter requesting more info?
I looked at the sample letters & I didn't find a sample that fit for this situation.
If anyone knows where I could find a second request for DV I would appreciate it if you could point me in the right direction.
Thanks,
C

Tahoe70 · 09-02-2007, 02:33 AM

I forgot to add that in the last letter I received from Portfolio they said that my account was selected for placement with a local attorney & that if they didn't hear from me by Sept 10, my next communication may be from a local attorney.
As you can see, I need to resolve this quickly since I would hate to be sued for this account.

hannah · 09-02-2007, 02:46 AM

Quote:

Originally Posted by Tahoe70

I forgot to add that in the last letter I received from Portfolio they said that my account was selected for placement with a local attorney & that if they didn't hear from me by Sept 10, my next communication may be from a local attorney.
As you can see, I need to resolve this quickly since I would hate to be sued for this account.

They sent me the same letter a few years ago and did sue me. After 3 years in court they could prove none of their claims and we settled out of court on my counters with me paying nada. Later they failed to delete as they agreed and I called their general council and collected yet another nice paycheck. Yes, they try to scare you and sound like they have everything they need to get a judgment but to date after helping at least 20 other so called debtors, no cases have had the docs to prove the debtors owe them in court. They are a junk debt buyer. They rarely have any documentation to prove you owe them in court. You do want you want but I would not pay them one thin dime. They love to report they are a factoring company and love to reage.

Enigma · 09-02-2007, 07:40 AM

What state are you in?

Tahoe70 · 09-02-2007, 01:38 PM

I am in California.

I would prefer NOT being sued because I don't want to risk having a judgement on my CR.
I'm going to buy a house in 2009 & I would hate to have that on my CR when I try to get my mortgage.
I am planning on sending a second DV letter requesting that Porfolio has proof that they now "own" this charged off account.
I'm still looking for a good 2nd DV request.

In case anyone is wondering, this credit card went into default in July 2005.

Thanks again for the help, I appreciate it.

-C

hannah · 09-02-2007, 02:02 PM

Send them a letter stating that while the information (reference the date of the letter) that they sent you was a general outline of an alleged debt, it in no way proves that you owe this alleged debt or that you owe it to them. Ask them to send you proof that you owe it, that the amount is correct, how they calculated the amount, and proof that they have the right to collect it.

Simple, direct, and to the point.

Tahoe70 · 09-02-2007, 02:05 PM

Hannah-
Thank you so much!
That's exactly what I was looking for.
Because I'm new to dealing with a CA I could not think of exactly what to write to get the info I needed.
Thanks,
C

Tahoe70 · 09-02-2007, 02:17 PM

Here's the letter that I am sending.
Does this sound like a good 2nd DV letter?
Thanks-
C

"While I did receive a letter from Portfolio, dated April 24, 2007, that letter was a general outline of this alleged debt, it in no way proves that I owe this alleged debt or that I owe it to Portfolio.
This is a second request for validation of my alleged debt to Portfolio Recovery Associates, account number xxxxxxxxxxxxxx.
I am requesting that you send me poof that I owe this debt, the exact amount of the alleged debt, how you calculated this amount and proof that Portfolio has the right to collect this alleged debt.
Be advised that I am not requesting a "verification" that you have my mailing address, I am requesting a "validation;" that is, complete and competent evidence that I have some contractual obligation to pay you."

hannah · 09-02-2007, 02:26 PM

Quote:

Originally Posted by Tahoe70

Hannah-
Thank you so much!
That's exactly what I was looking for.
Because I'm new to dealing with a CA I could not think of exactly what to write to get the info I needed.
Thanks,
C

They will in all probability not send you anything or if they do they will not include any sale information that shows they have the right to collect it. They will (if they have them) send you copies of old statements. If you are serious about paying them, I would contact:

Allison L. Cannizaro, Esq.
SESSIONS, FISHMAN & NATHAN, L.L.P.
Lakeway II, Suite 1240
3850 N. Causeway Boulevard
Metairie, Louisiana 70002

Telephone: (504) 828-3700
Facsimile: (504) 828-3737

I would tell her I would like to negotiate a settlement to pay it for deletion of the tradeline on your credit report. Tell her you know that they only paid pennies on the dollar and you're willing to give them dimes. And you want as part of the settlement agreement that they won't sell the balance to another debt buyer but consider the debt extinguished. Do not acknowledge that the debt is yours.

Take it from there.

Hedwig · 09-02-2007, 04:28 PM

However, paying it to the JDB can still result in a negative item on your report.

And why are you assuming that because they sue you they will get a judgment? Yes, that will happen if you don't show up. If you do, and say that they don't have anything to prove the debt is yours, they will have to provide proof. When they don't, the case is dismissed.

I would think even if they enter a suit, what you learn here will make them settle (mean paying you money) before it even gets to court.

Don't assume that a settlement means you have to pay them. Hannah said she got money from them, not the other way around.