Acct's Out of SOL... Need PFD Help!

[Flypilot]

I have (4) negative accounts that are charged off and now finally..... all out of the Statute of Limitations to collect in my state. One account must know this because they have just sent a settlement letter for .20 cents on the dollar.

I do not want to mess this up. I need all (4) trade lines and associated collections removed. We want to buy another home in the next four months. Our credit scores are around 675, but the banks want the accounts "at least" settled with a zero balance to close the loan.

I am willing to settle for around .05 cents on the dollar on (2) acct's and .10 cents on the dollar on the other (2) acct's.

I wonder if I should first try the 1-2 punch or other letters? I am OK with settling to get it done quickly. I have the funds set aside for the PFD's.

Any advice or sample letters for me?

Thanks,

Flypilot

[Flypilot]

Anyone had success with the 1-2 punch or "Pay for Deletes"?

Anyone? Bueller?

Thanks,
Fly

[Hal Jordan]

Well if the debt is still with the OC you'll want to do a 623 letter but you have to dispute with the CRA's first. If they verify the debt then send the 623 letter to the original creditor.

If they are with collection agencies now and or JDB's then try the 1-2 punch and I'd do like a SOL combo letter to em and then dispute with the CRA's online the day they receive your Letters

[Lian]

Whether or not to dispute, and who to dispute with, does not depend on who owns the debt. Disputes are directed at information reported to your credit file, regardless of ownership.

Additionally, you don't have to dispute first through the CRA before you file a direst dispute. In fact, disputing first through a CRA can be grounds for dismissal of a later direct dispute without any investigation on the grounds that a second dispute of the same information can be held "frivolous or irrelevant." 16 CFR 660.4(f)(ii).

As for the so-called 1-2 punch process, if it has been more than 30-days since they sent you dunning notice, a DV letter could be considered untimely, and would not serve to invoke your "cease collection" right under FDCPA 809(b).

[Flypilot]

First, thanks guys for your input. The accounts have been sold numerous times over the past 3.25 years. We have NEVER answered a phone call or responded to any letter. We have saved every collection letter fro reference.

Now that they are outside of the SOL, what works best? The 1-2 punch or PFD letters? What has you experience shown to work best without messing things up with the CRA's etc (frivolous etc)?

I have 3 months to try and get 4 accounts removed or settled to buy a house. I do not want to settle only to have it remain on file. That does nothing for my scores but showing settled would satisfy Fannie Mae / Freddie Mac.

For the record.... these 4 accounts are the only neg things on our reports. I can't wait till there gone.

Thanks,

Fly

[Hal Jordan]

I would try the 1-2 punch first. I had success with this. However, I would send a combo SOL/DV letter to the CA first. Let them know you know it's SOL. Then when you dispute it with the CRA's they just may not bother to verify it. Which I think is most typically what they do from my personal experience.

If you DV/SOL letter them and they continue collection efforts by reporting and verifying to the CRA's PFD may be your next option to get rid of it. However, with it being outside the SOL I would send them the DV/SOL letter first, dispute second and see where the chips fall. PFD if you have the money should be just as viable an option in a month or two as it is today. The fact that they cannot win a judgement against you (as long as you show up and use SOL as a defense should they actually try and sue you) means they don't have a leg to stand on and the last option of PFD is the only way they will ever colelct a dime from you on those accounts.

[Flypilot]

OK... Thank you very much. I figured I would try the 1-2 punch. Any advice to make it go as smooth as possible?

I am assuming:

Send the DV/SOL letter CMRR

The day they sign for it.... dispute with the CRA's. (online or by mail)?

Then wait for the violation(s)..

How long of a "list" can I legally demand for validation? Would you mention the SOL is up first or at the bottom of the letter?

Fly

[Flypilot]

I have contacted an attorney here in Phoenix that only charges you for the tradelines/negatives he gets deleted. It is $500 per trade line, but is worth it if I get stuck on one or two of them.

I would think that a "good" credit repair guy would advertise his services that way. I would gladly pay someone $100 per trade line once they are removed. All he/she has to do is set up an escrow account online and when the trades are removed/deleted, the client releases the money.

Heck, at $100 per trade line, a credit repair guy could make thousands a day...

Fly

[Hal Jordan]

Why not try it yourself? It's really not that hard man.

Here is the DV/SOL letter that I used that worked for me. I live in Kansas but you can find the statute for whatever state you live in and insert it.

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I dispute the debt (account number) that you say I owe. I request proof and validation that this alleged debt belongs to me.

(Please evidence your authorization under 15 USC 1692(e) and 15 USC 1692(f) in this alleged matter).

1. What is your authorization of law for collection of this debt? Please attach and send to me a copy of the agreement with your client that grants (CA NAME) the authority to collect this debt.

2. Please evidence proof of the alleged debt, including specifically the alleged contract or other alleged instrument bearing my signature and provide me with a copy.

3. Please provide the name and address of who the alleged debt is supposedly owed along witha complete account history as to how the amount of this alleged debt was arrived at, including original charges, any charges added for collection activity, date account was opened, date of last payment, and any addresses associated with this alleged debt.


Please note that not only do I dispute the validity of this alleged debt but I have also checked with my Kansas State Attorney General’s office and the Statute of Limitations for enforcing this type of debt through the courts in Kansas has expired (KSA 60-511)."

I hope to resolve this matter post haste but please be advised that if this matter is not resolved I will take whatever legal action is necessary to protect myself. I will also refer any violations of the Fair Credit Reporting act and the Fair Debt Collection act accordingly. This includes listing any information to a credit reporting repository that could be inaccurate or invalidated. If your offices fail to respond to this validation request within 30 days from the date of your receipt, all references to this account must be deleted and completely removed from my credit file and I request that a copy of such deletion be sent to me via USPS mail at the address listed above."
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Or.
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I dispute this debt you say I owe and demand proof that it's mine. I also checked with my Attorney general's office and this debt is too far beyond the statute of limitations for you to receive a judgment against me on. I demand that you immediately delete anything you have posted to my credit reports or I will pursue legal remedy."

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[Hal Jordan]

All they have to do to validate the debt is send you a simple statement with the OC's name and address and the amount owed.

All of that other stuff we ask for they don't have to give you at all. I still like to ask for it because those are things you would ask for in discovery if you were actually sued by them.

I still don't understand why you would pay someone that much money just to write and mail pretty much the same letter that i just pasted for you.

All you have to do is fill in the blanks. Mail it postage paid CMRRR wait till they get it, dispute online with the credit bureaus and see what happens.

But ultimately it's your choice. The attorney that you are talking to won't do anymore for you than that right now. Again though.. if you don't wanna mess with it pay the guy to do this for you. Just know though that him being an attorney doesn't mean he has some secret inside trick or legal threat he can do that you can't do yourself or isn't plastered all over this site or the internet already.