collection agency

What is the name of your state? wisconsin

Ive been dealing with a collection agency a.k.a. lawyer firm. They filed with the court and we have a court date for the 22nd of this month. They tell me I owe them over $2800.00 from a AT&T univeral card, but I dont remember charging over 1500.00. They sent me a letter saying they would settle for 1400.00. I managed to get 1000.00 but they wouldnt take it. They told me the holders of the account would only take 50%. I then offered them another 100.00 to make it 1100.00 but they still insisted on 1400.00. If this goes to court, what percentage can they take? Should I get a lawyer? I called AT&T and they said they have nothing to do with this debt. So, am I settling with the collection agency?

[Ladynred]

Yes, you're settling with the collection agency. Its not surprising they're refusing your offers now, they figure they'll get it all in court anyway. Draw up YOUR offer in writing and take it to court with you. Start low and know exactly what you're top dollar is. If they take your offer, make sure you also have full deletion of the CA's tradeline on your CR a condition for payments.

How old is the debt, when did you last pay AT&T on this thing ?
Depending on how old it is, you may succeed with a lower percentage than 50%.

The last time I paid was in 98. The collection agency wants me to settle before the court date. They told me if I didnt settle before they were going to garnish my wages 20%. It was more of a threat. Is it in my best interest to settle before court?

[Ladynred]

If you can avoid having a judgment on your credit report, then it is advantagous to settle. They can't garnish w/o winning the suit first, no matter what they threaten.

This debts only a year away from the SOL expiring, which is probably why they've sued now. Its also OLD, so I'd start my settlement offer at about 20% and go from there. They bought this debt for pennies.. if you pay the CA even 50% it'll be a heck of a profit for them !