Question. Need Advice...Please!

[larosa7357]

Hi All,

I have a credit card question/problem, and am hoping someone can help me.

I have a credit card account in collections. Small balance. Only $447.00.

Yesterday, I called the collection agency, and told them that I would like to settle this account. I asked if they would allow some sort of a deduction of the balance, and I would in return, submit the full payment. They made me a settlement offer of $340.00. I accepted!

Now...I'm not sure about the rest of this: The guy assumed that I was going to pay it right there over the phone. He asked for either my checking account number or a credit card. I was baffled by this. I told him that I would first like the offer in writing, and then I would send a check. Although he was very nice, he was pretty insistent on me paying it right then and there over the phone. I was not comfortable with that.

Well, he then puts the manager on the phone, who also becomes very persistent with trying to get me to pay it right then and there over the phone. I refused. I told him that I wanted the settlement offer amount in writing.

End Result: He finally agreed to send me a letter, but insisted that as soon as I get the letter, I am to call the collection agent and then pay it over the phone. I was so tired of going back and forth at that point. I agreed to do that.

I don't see why I can't send a check. Does anyone know if it is "normal" collection business practice to insist that payment be made over the phone in lieu of sending a check? I'm very confused. Any input would be very much appreciated.

Thanks!

Fran

***I gues I should add that this debt does appear on all 3 of the major credit bureau reports.

[34saving]

I'm sure you'll get better answers from others, but my guess is that it's a pretty common practice. They probably have enough people make promises they don't follow through on that when they get a "live one" they want to seal the deal right then and there. Just my guess . . .

[mom-from-missouri]

I agree with the above statement. Also, they probably get burned with bad checks and by you paying it over the phone, they can tell right now if the payment is good or not.

[cercis]

It's common practice. For the above listed reasons. Plus, the person you talked to will get the commission if you pay through him but may not if you don't. And if he doesn't get the minimum number of payers, he will be fired. It was a major problem at the collection agency I worked for (I was not on commission and was there as a paralegal not a collector so it didn't apply to me) the supervisors would apply many payments mailed in to their collector number and collect the commission and use it to bump up their numbers.

I saw massive turnover and most of it was firing. Collectors are a dime a dozen (and not paid well, minimum wage with commission).

[larosa7357]

Good Morning,

Thank you all very much for your responses. You certainly have made me feel much better about this. That is what I will do then...just as soon as I receive the letter. The manager did mention that many people give him the 'ol "check is in the mail'. But...it never comes. I guess that now, I can see his point.

Thanks once again.

Fran

[jmjj215]

I'm betting cercis' reason is 90% of it. They want that commission to hit this week's numbers.