Settlement offer: take it or leave it?

**JGjo** · 11-20-2007, 12:45 AM

i'm sorry if this is a dupe. i did a search, but didn't find anything on it. if there, point me in the direction. thanks!

on to my question...

i owe t-mobile $387.76 and i didn't make payments, so they sent it to collectors. the collectors offered a settlement of $232.66. if i pay the settlement offer, will that look bad on my report? i remember reading somewhere you shouldn't pay the settlement offer cuz it'll say i paid less for it on the report, but i could be totally off on that.

any advice is appreciated! thanks!

**Momof4cats** · 11-20-2007, 08:34 AM

Yes, they would most likely make that notation on the account. I've also heard of debt collectors selling off the remaining balance to bottom-feeding junk debt collectors to try to get the remainder.

If you do decide to settle, get everything in writing including the notation they send to the credit bureaus and stating the balance will not be sold to anyone else.

**Nightshade** · 11-20-2007, 02:10 PM

Originally Posted by Momof4cats

Yes, they would most likely make that notation on the account. I've also heard of debt collectors selling off the remaining balance to bottom-feeding junk debt collectors to try to get the remainder.

If you do decide to settle, get everything in writing including the notation they send to the credit bureaus and stating the balance will not be sold to anyone else.

Yes, these new "buyers of unpaid debt" are a mean unlawful bunch of
debt bounty hunters that operate just inside the law(and often outside).

Go bankrupt? Get ready, that unpaid debt will get sold to the money bounty
hunters who will hound you to death.

Pay the FULL debt and be 110% sure you get a receipt that says "Paid
in full" and KEEP IT!!

:COFFEE:

**PB&J** · 11-20-2007, 03:08 PM

How old is the debt? As in how long has it been since you have made a payment to them? Sometimes when debts are getting close to the statute of limitations for collection, they will try to get you to settle. Once you pay them a little bit, then the time limit starts all over and the persue the remainder of the debt.

Before you pay, you might want to check what the statute of limitations on debt collection is in your state.

**Nightshade** · 11-20-2007, 03:35 PM

Originally Posted by PB&J

Before you pay, you might want to check what the statute of limitations on debt collection is in your state.

Sorry, but to the Money Bounty Hunters time limits mean NOTHING!!

More than one state has these people up on charges for breaking debt
laws and yet they still continue to break the laws about money,debt,
and collection.

The old days where everybody played by "the rules" are gone.

**druidessemily** · 11-20-2007, 06:55 PM

On the "statute of limitations" ... is that determined by the state you reside in, or the state the debt collector does (or where the debt is originally from)?

**annymoll** · 11-20-2007, 07:15 PM

I think I would use all the frugal tips I could, then pay the debt in full.It is just as dishonest to me to not pay, or avoid paying as it is for a creditor to resort to a little underhandedness.It will look bad on the report either way.

**PB&J** · 11-20-2007, 09:50 PM

Originally Posted by druidessemily

On the "statute of limitations" ... is that determined by the state you reside in, or the state the debt collector does (or where the debt is originally from)?

The statute of limitations is determined by the state that you reside in.

They can still take you to court after the SOL has passed, but all you have to do is say, Past the SOL, and it will be dismissed. So they can send out their bounty hunters or whatever, lol, but they still have to abide by the laws. If they attempt to sue you, but you do not show up in court, they can make a judgement against you.

We had a medical bill from 1995. For some reason, the hospital never filed it with our insurance. WHen they tried to do so in 2005, 10 year later (!), the insurance said, NO WAY, are we paying that. The insurance told me about the SOL and told me I did not have to pay it either. Some collection agency had been (Boyajian Law) harrassing us for months, sending letters of 'intent to sue'. When I called them and told them the SOL had passed, they got rude and hung up on me! I never heard from them again and have since found out that particular company buys old debt and tries to get you to pay it by threatening you.

**bumplett** · 11-20-2007, 10:03 PM

I would pay the whole balance due - it's the honest thing to do; regardless of collections or credit reports, it's YOUR debt and you should pay it.

**cottageliving** · 11-22-2007, 12:32 AM

Pay the full amount owed. If you pay an old collection in full, it will show on your credit report as Collection - Paid Off and your score will increase dramatically. If you pay a settlement, it will show on your credit report as Collection - Settlement paid. Your score will increase a little from the full open collection, but not as much. Pay it off in FULL and keep the proof of the payoff. I have been an Underwriter and Credit Officer and have reviewed thousands of credit reports. I promise you this is how your report will be affected.