final settlement

[apertyx]

Good Day,

 

I have reached a settlement with a CA. They have offered to waive all fees and penalties and cut the interest in half.

 

They say this will settle the debt in its entirety (actually 3 different loans) and are going to provide me with something in writing tomorrow stipulating this.

 

I am naturally suspicious of these folks and am wondering if they might be playing some game and try to get some of what they "waived" in the future.

 

The agent specifically told me not to write anything like "final settlement" oon the check, which I find odd.

 

Advice on whether this seems on the up and up would be appreciated.

 

Thanks

[joshmerd]

I wouldn't do anything until you send them a 'pay for deletion' letter which will get them to delete the account from your credit report when you have paid the settlement amount to them. Also, as long as you have a letter from them agreeing to this and to the fact that your 'settlement' will be accepted and regarded as PAYMENT IN FULL FOR THE TOTAL DEBT, you should be fine to go ahead and send a MONEY ORDER or CASHIERS CHECK ONLY (NO checks!!!)

 

Hope this helps!

[LynnInMN]

I wouldn't do anything until you send them a 'pay for deletion' letter which will get them to delete the account from your credit report when you have paid the settlement amount to them.  Also, as long as you have a letter from them agreeing to this and to the fact that your 'settlement' will be accepted and regarded as PAYMENT IN FULL FOR THE TOTAL DEBT, you should be fine to go ahead and send a MONEY ORDER or CASHIERS CHECK ONLY (NO checks!!!)

 

Hope this helps!

<{POST_SNAPBACK}>

 

You will not get a paid for delete for federal loans. Ain't going to happen!!

 

When I was collecting student loans, we returned all checks that had restrictive endorsements. This was a client requirement. We frequently sent out settlement letters on behalf of our clients which included DOE, EDfund, NELA and many others. These letters are legit!

[slave]

Good Day,

 

I have reached a settlement with a CA. They have offered to waive all fees and penalties and cut the interest in half.

 

They say this will settle the debt in its entirety (actually 3 different loans) and are going to provide me with something in writing tomorrow stipulating this.

 

I am naturally suspicious of these folks and am wondering if they might be playing some game and try to get some of what they "waived" in the future.

 

The agent specifically told me not to write anything like "final settlement" oon the check, which I find odd.

 

Advice on whether this seems on the up and up would be appreciated.

 

Thanks

<{POST_SNAPBACK}>

 

Just my 1 cent opinion. You are a lucky duck! Take the offer!

[joshmerd]

I wouldn't do anything until you send them a 'pay for deletion' letter which will get them to delete the account from your credit report when you have paid the settlement amount to them.  Also, as long as you have a letter from them agreeing to this and to the fact that your 'settlement' will be accepted and regarded as PAYMENT IN FULL FOR THE TOTAL DEBT, you should be fine to go ahead and send a MONEY ORDER or CASHIERS CHECK ONLY (NO checks!!!)

 

Hope this helps!

<{POST_SNAPBACK}>

 

You will not get a paid for delete for federal loans. Ain't going to happen!!

 

When I was collecting student loans, we returned all checks that had restrictive endorsements. This was a client requirement. We frequently sent out settlement letters on behalf of our clients which included DOE, EDfund, NELA and many others. These letters are legit!

<{POST_SNAPBACK}>

 

Thanks for clearing that up. At least heed my warning to only send MONEY ORDER or CASHIERS CHECK. You don't want to give them too much info.

[TxQuiltGirl]

First of all, congratulations on reaching the agreement with the CA; that's great.

 

Secondly, there really isn't a need to be suspicious of the offer the CA made you. This isn't standard consumer debt, and most CAs dealing with SLs are on a different playing field. You want to be smart, but you don't really need to be suspicious. They are in the business of collecting money, and down payments on rehab loans notwithstanding, they are generally geniune in their offers like this one.

 

Third, I have been in a rehab payment for a year and I have always paid them from my regular checking account; there has NEVER been a problem. They haven't dipped into my account and taken money they weren't authorized to take; they aren't trying to rip me off. They've been fair and mostly easy to deal with.

 

Good luck!