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work2fix

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Debt Collector sent notice with $0 due each month to settle?
I just received a note from a debt collector stating, "Our client, [client name], will allow you to settle your account balance of $XXX.XX in 12 payments over 12 months starting on 8/1/15."

This is where is gets squirrelly...

"...Once all 12 payments of $0.00 have been paid to our office on time, a letter will be sent confirming the above referenced account has been resolved."

Out of curiosity, can I hold the collectors to the latter statement of paying "12 payments of $0.00" to clear out the debt?

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Obviously an error made by the person typing the letter. No you cannot hold them to it, it would not hold up in court. When they do send a revised offer, you may want to think twice before you enter payment plans, many times they will charge added fees for doing a payment plan and if you ever miss a payment on the plan then it can reset the statute of limitations to be sued for the debt (it would not change the credit reporting time period). When dealing with debt collectors it is always best to try to negotiate a "pay for delete". Pay for deletes are more apt to happen if you are ready to pay one lump sum, usually at face value.

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work2fix

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Thanks!

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