Posted on: 14th Jun, 2010 10:41 am
B of A had my 2nd mortgage. Last year, I attempted to get a loan modification from them and on my 1st which was an interest only loan about to roll over in January of this year. After submitting untold paperwork, apparently B of A determined that my debt ratio was too high to make it worth their while to do a modification and Provident who holds my first told me there was nothing they could do.
Last week I got a call from a collection agency, who has had my B of A loan transferred to them. We discussed the possibility of possibly settling this debt for 10 cents on the dollar. I told him that there was a good chance that I could borrow that amount from a friend. He led me to believe that this amount might very well be an adequate amount to settle the account with B of A but that he would need to submit a request. I told him that I had submitted a binder full of paperwork to B of A in the first place but he said that they had none of that available to them.
He wanted an answer by Thursday of last week as to whether or not I could get a hold of the money, however, my mother passed away during this time and I was unable to give him one.
I contacted him today in regards to the many messages he left me when I was out of town and asked him what the good news was that he referred to on the messages. He did some double talking and I got the feeling that he never even talked to anyone at B of A in regards to this matter.
In any event, I told him I would send over the same letter that I had sent to B of A for my hardship last year and an updated letter but he insisted that I send a paystub or income tax return. I asked how that would help as it wouldn’t show any outgoing payments or evidence of any hardship. He insists that he can’t deal with me without my faxing over those items and that if I didn’t do so today that the deal was off the table because I needed to show good intent. I thought that agreeing to give him a check for the amount we discussed would have should good intent.
He said that usually on a 72 hour window exists for these types of settlements. I told him that I was unable to get the money until this weekend and since I was handling my mother’s arrangements and such could he not give me until then. He stated that if I didn’t fax over at least the paperwork that the deal was done. So I asked him to be clear, if I don’t do this today, then the deal is off the table and he said yes. So I said, then I guess we no longer have anything to discuss and I hung up.
B of A held onto this for over a year and the collection agency has it for one week and claim if I don’t jump through their hoops today then the deal is off?
I have a couple of questions..
1. Is this a normal time frame to settle a debt?
2. Must I give them a paystub or income tax return?
3. What are my options if they should call back?
4. Should I use the money I borrowed for an attorney instead?
Last week I got a call from a collection agency, who has had my B of A loan transferred to them. We discussed the possibility of possibly settling this debt for 10 cents on the dollar. I told him that there was a good chance that I could borrow that amount from a friend. He led me to believe that this amount might very well be an adequate amount to settle the account with B of A but that he would need to submit a request. I told him that I had submitted a binder full of paperwork to B of A in the first place but he said that they had none of that available to them.
He wanted an answer by Thursday of last week as to whether or not I could get a hold of the money, however, my mother passed away during this time and I was unable to give him one.
I contacted him today in regards to the many messages he left me when I was out of town and asked him what the good news was that he referred to on the messages. He did some double talking and I got the feeling that he never even talked to anyone at B of A in regards to this matter.
In any event, I told him I would send over the same letter that I had sent to B of A for my hardship last year and an updated letter but he insisted that I send a paystub or income tax return. I asked how that would help as it wouldn’t show any outgoing payments or evidence of any hardship. He insists that he can’t deal with me without my faxing over those items and that if I didn’t do so today that the deal was off the table because I needed to show good intent. I thought that agreeing to give him a check for the amount we discussed would have should good intent.
He said that usually on a 72 hour window exists for these types of settlements. I told him that I was unable to get the money until this weekend and since I was handling my mother’s arrangements and such could he not give me until then. He stated that if I didn’t fax over at least the paperwork that the deal was done. So I asked him to be clear, if I don’t do this today, then the deal is off the table and he said yes. So I said, then I guess we no longer have anything to discuss and I hung up.
B of A held onto this for over a year and the collection agency has it for one week and claim if I don’t jump through their hoops today then the deal is off?
I have a couple of questions..
1. Is this a normal time frame to settle a debt?
2. Must I give them a paystub or income tax return?
3. What are my options if they should call back?
4. Should I use the money I borrowed for an attorney instead?
Hi evaughn,
The time frame to settle a debt may vary from state to state. You can give either your pay stubs or your tax returns to the collection agency. It will help the debtor to judge your financial situation and they may offer you a better payment plan.
You should negotiate with your debtor so that he gives you a time period in order to arrange for the pay stubs or income tax returns. If you could use the money that you borrow for paying the attorney, then it may get difficult for you to pay off the attorney fees. It would be better if you could contact your friends or relatives and take their help in paying off the dues.
Thanks,
Jerry
The time frame to settle a debt may vary from state to state. You can give either your pay stubs or your tax returns to the collection agency. It will help the debtor to judge your financial situation and they may offer you a better payment plan.
You should negotiate with your debtor so that he gives you a time period in order to arrange for the pay stubs or income tax returns. If you could use the money that you borrow for paying the attorney, then it may get difficult for you to pay off the attorney fees. It would be better if you could contact your friends or relatives and take their help in paying off the dues.
Thanks,
Jerry