Paying Collections - Dave Ramsey Rant
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Remind people, do not pay collections until it's agreed upon in writing that it will be removed from collections. Yoo can agree to pay a certain amount in writing but it will remain in your credit history unless you get then to remove it and have it in writing.
They can't do that if the information is accurate.
As a debt collector, I can say you're right. They all lie. I did not. I even told people how to get out of paying sometimes. I told a lot of people about Dave Ramsey and gave advice for how to get back in the driver's seat.
I got a question for you..f you settle can they still delete the account? I’m being told it has to be the full amount in order to get it deleted
@Nat Giovanni can you help me out? I'm being scammed by a medical bill
Can I ask you, why do they tell you that they don’t give you a letter of a agreement to remove the collection off your report if you pay it ?that’s not fair
@@cosmiclotus7501 I tried to answer your question but I do not know what you are asking. Are you asking why we don't send letters saying we will delete your account? If that is your question, I do not send accounts to the bureau. If I did then I would send an email, prefer not to send letters since they take a while to send and cost money. If that was not your question then please clarify.
Didn't your supervisors listen to you on the phone and reprimand you for your practices?
Also get the collector to agree in writing to remove the debt from the credit reporting agencies before you send them payment.
@@jimiange5252 They aren't obligated but will do it to get their money. Plenty of people have done this and it works and is fair. If you pay the debt you should not be unjustly punished for years to come.
Yes!!!!! Just learned this info!
once the debt collector agrees. wats the best way they can send me this information in writing? email or snail mail? Please advise!
@@Daychacon87 Snail mail. Always have a paper trail! They can send email too. You can always ask for an email to have 2 records but definitely snail mail. If they can send you a debt letter thru snail mail, it shouldn't be a problem to send a payment agreement letter via regular mail.
@@Daychacon87
Snail mail. When you get that, keep a hardcopy of the agreement and the payment in your records. It’s proof of the agreement, which is to accept a specific agreed upon amount, within a certain timeframe and the agreement to remove the item from your credit report.
Don’t forget to negotiate the price with them. Never pay in full, always make them settle for less.
Not all debtors offer a settlement.
@@dennissmall8407 If they want that money they will especially if it's been a while. If the person isn't willing to negotiate with you say cool I'll call back and speak to someone who is willing to work with me and get that money.
@@rell127 how about just hanging up and call again to get someone different. It was a tactic I did when I tried to return an item. Another person could be more reasonable.
@@ricardoalvarez7144 That's exactly what I'm saying.
@Nocapper Not if you make sure you have it in writing.
139 debt collectors disliked this
🖕
Matthew Irizarry now its 213
Now 216
now 222🤥
I just got a past due balance of 342 from OAC
"you can tell their lying when their mouth is moving" lol lol
Dannetta Thomas -- How can you tell if their mouth is moving? Aren't we talking with them on the phone?
if your lips are moving then you lie lie lie - meghan trainer
I love that one!!!
@Bobby Shupinski he's not a debt collector so he doesn't count lol
Pretty much half of the world.
Was just on a phone call with debt collector… made no decision & thankfully I’m grateful I didn’t.. & came across your video. Everything you said is ON POINT. She wanted my checking or savings to set up an agreement to pay. Man, I’m so thankful I looked up how to deal with debt collectors before making a decision. Blessing from god. I’ll take it from here & do exactly what you said & pay off my active ones 1st. A MILLION THANKS
Did it work?
How are things going
I just went to the business i originally owed. Had them pull up the debt and i payed them. It came right off my credit and it was over.
Did you request in writing that if paid in full that the debt will be remove from your credit report?
I stupidly gave a debt collector access to my account BEFORE watching this video. Thank god they were true to their word and only took out what we agreed to. I know I dodged a HUGE bullet dave once again gave me incredible advice. I love this man
I would close that account and put your money elsewhere.
Never, ever, ever let them into your bank account...EVER!! He’s right. We found out the hard way how right he is!
Anono mous so I accidentally just did this today and then found out about it. I took all my money out of the checking account that I gave them access to and I’m changing my direct deposit ASAP. Should I still leave the amount I originally agreed to pay in there?
@@jasminep8634 In my opinion to leave the amount originally agreed upon is a good idea, if you know you will be making payments on a regular basis. But!! After that payment has gone thru, block that company from making any more withdrawals from your checking account. Do this with your banking institution. Then pay the debt collector using a pre-paid debit card. Like Dave said make sure you have an agreement in writing otherwise wait until you do. Don't allow the debt collector to bully you, nor talk you into anything that will place you into a financial hole.
@@jasminep8634 Did you give them your debit card number to charge? or did you give them a route number and account number? or did you give them actual access to your account? If the debit or route/account numbers then they cant just withdraw all they want, if you actually gave them your info then thats just idiotic
Louis Reacts the irony of this reply coming from someone who promotes no fear of judgement or hate LOL
@@jasminep8634 Yes, leave the amount. YOu entered into an agreement. Most legitimate companies will not take more than that amount. It also doesn't matter if you move accounts. That only delays things. If they have a judgment against you, they can literally send that to every bank until they find the one that sticks. It takes time, but eventually you'll get caught.
Judge Judy every episode: “Did you get the agreement in writing? No? Then I don’t care because it didn’t happen.” Pay attention to her because she’s strict and if you cover what she says to cover too along with this video, you’re good. The only thing that works is paper and ink, screenshots, harassing texts and phone calls.
Crazy how this just happened. Collecting said they only can send me a letter after I give them my checking info. Thank god for this info.
@Jarocha Calo Well because it was their fault (Sprint) I didn't pay. So I ignore them now.
If it’s not in writing, it didn’t happen - Healthcare says that too 😂
If not charted, not done :))
Your profile pic 🤣
Unless you get it in writing that they will remove debt from credit report, even if you pay it won't come off credit report. If it doesn't why pay the debt? Won't come off for 7 years.
I had to learn the electronic access lesson the hard way, many a year ago. These collectors are like a nasty virus once they have access to your bank electronically. They cannot be removed from your account unless they remove themselves. Excellent advice, Dave!
no...Most collection agencies are actually legit businesses and they dont really buy debts anymore, instead hired by the original company to help collect the debt
Another piece of advice I heard is to negotiate an agreement with the collection agency that you will pay off the debt lieu of the collection agency agreeing to take this debt off of the credit reports(get this in writing). They want the money, and you want a good credit score. Win-win. My guess is that Dave probably doesnt care about your credit score, but I like the idea.
Pay for DELETE off of your credit!! Not pay to SETTLE!! If you pay for settle, you might as well keep your money.
DDB How do you go about paying to delete an old debt?
@@RenePerez-pu4cj you take them to court I'm guessing
If u do not pay... They will sue u
Pay to delete is also a bad idea. The Vantage algorithms changed.
@@brotendo What do you mean?
Never accept an agreement by email. ONLY accept agreements via snail mail on company letter head. No exceptions, not mater how nice the collections guy/gal may be.
Nunya Biznis why not email
Because it's not paper. Paper trails are hard to lie about, but you can mess with intangible, electronic communications. If they want money and they are not willing to spend money on postage, paper and an envelope, they can go pound sand. Ink and paper is the only thing I will trust.
Nunya Biznis, all you do is print the email. It should have all the same letterhead, addresses, phone numbers, fax, email address as a snail mail letter does. Yes, it is the same as snail mail. We've signed many contracts and legalities through email, very few legal matters don't qualify. As long as you've gotten all the correct information, the names you've spoken with via phone/email/ correct information in the correspondence, that's all you need in most cases.
I ask them to fax it to me
Thats legally acceptable?
I found out about Dave my senior year in college in my seminar class. Absolutely the best financially advice. I wish I would have heard about him my senior year in high school. Lol.
same lol
When Dave says "do not trust them," he has never been more right about anything. (And he's right about a lot of things.) Been there, done that.
E Z solution is throw all your bills in the air, and whatever ones stick to your ceiling are the ones you pay. Duh, so simple. 😉
I agree that you should get the amount you owe in writing before agreeing, or negotiating any payment. Then, yes, pay it! A collections agency will only hold the debt for so long before they sell it to some other collection agency. Each time is a new collections account hitting your credit. The damage is done with the first one, so find a way to get it paid. Why let it keep chasing you, and dinging your credit again every two to three years. This is also presuming they don't sue you for the debt, which they could do, and start garnishing wages. Collections is not a game you will win. Pay it off, as agreed to in writing.
Thank you, Mr. Ramsey. I'm going to apply this knowledge to a mess that I'm into after switching from T Mobile to AT&T.
Don’t pay collection. Don’t feel guilty about paying them. The business you originally own the debt they would get nothing plus the original business is going the report the debt as business losses.
Bingo. Also, under Contract Law, a third party has no lawful right to even try to contact you when the debt is sold. Once it's sold, it's payed off.
How does it affect your credit?
@@trybal007 wrong
@@bizman83 Ok. So the many times i've done it never actually happened. Great analysis. lol
Go read a book.
@@trybal007 debt buyers have the write to contact you. Its within the fdcpa that governs there practices. If they weren't allowed to call then it would be an out right ban. Not only are they allowed to contact you they can contact anyone that they believe can give them "location information" including family members, neighbors, coworkers, friends, associates, anyone. I'm well versed on practices of debt buyers and 3rd party collections. I have to renew my licenses every year. So once again to your point that they have no lawful right to contact you, you are wrong. If they weren't allowed to contact you then there would be no need for the CFPB or the fdcpa. Sorry for the 1 word response earlier, I was attempting to be polite. Hopefully this explains my position a little further that you are wrong wrong very wrong. But you be well
Dave's passion here is awesome.
You never EVER let anyone draft your account. Period.
Once they can do that, they have free reign to take what ever they
want when ever they want. Insurance companies love to have
have you do automatic draft. So do utilities and such.
If you must use an auto pay, do it on a credit card and pay
it off every month. If they do try to take too much, you can
dispute it with the credit card company. One time I had
an internet service provider I wanted to cancel. They were
on auto pay via a credit card. Of course you could never get hold of
them via phone and emails went unanswered. I just called the credit card
company and told them to stop payment to the company.
Boy, all of a sudden they were calling me.. Amazing how when you turn off
the money they want to talk to you.
Dispute everything. Never pay off charge offs!! They already received tax breaks for those accounts charged off. If the original debtor sold your account to 3rd party you don't have to pay. Your not in agreeemnt with them so dispute the debt. If it doesn't work after the first letter, send a second and third letter.
What do I write to dispute
You can't in good conscience "dispute" a debt you know is yours. That makes you just as bad as them. Pay what you spent or make a deal, but don't try to act like it's not yours just because it's with a CA. That makes you just as dishonest as them.
@@passionategypsies7529 username confuses
Tee Jaye If a company sells your debt at a fraction to debt collectors, they can then write off the difference. Example: You owe ABC company $100, but your account defaulted. Collection company calls ABC to buy the debt for $10, ABC collects $10 and write off $90. I agree that debts are transferable.
Thanks for info.
"Do not give them electronic access to your bank account!" A collector asked me, over the phone, for my bank account information, for a payment (the payment was small), but my process has ALWAYS been to go in person to the collection companies, so that I can get written letters, give them a check, and just so that they can see me, and for me to be able to look them in the eye, lol.
If they ask for your electronic banking that is a red flag if you give them your pin they will commit wire fraud and bank fraud they will overdraft your account and steal all your money. Never use electronic banking or send mail order checks that is illegal and the FDIC and the SEC will be calling you about illegal transactions from your account. If you pay a collector cashers check or debit card no electronic banking and no checks because that is illegal.
Cashier's check
Im paying off all my debts with my income tax check this year
I found that pretty cool with what Dave said in the beginning. That's almost exactly what I did when I was in debt, and I never had listened to Dave Ramsey beforehand.
I got divorced, and hit with my second child support order. I literally had to quit paying any creditors. I simply could not afford it between $1k in child support, rent, utilities, insurance. I literally had $80 a week to spend in gas and groceries, and I needed $35 a week for gas. Rice and beans...seriously. I avoided the creditors and didn't pay anything for a long time. When I got to a point to where I can start paying off debt; I started with the smallest balance and put everything I had into paying that off. Then worked my way up from smallest to the largest deficit. Took me about 1 1/2 years to pay off $50k.
That’s great man, good for you!
I was in waist deep back in the early 90s due to divorce. Those bill collection so and so's lie like a rug on the floor. Took me several years to dig my way out. I felt like the world was lifted off my shoulders after sending off the final check.
Great advice. I actually broke the rule and allowed a company to auto draft. Thank God they felt with me fairly and the debt is paid.
I got a call from another state from an alleged debt lawyer who wanted to collect on an 8 year old debt from a company that tanked in 2007. It reeked of scam. They said they were taking me to court and even called my employer. People are doing weird things these days with people's personal information. It really creeped me out. Once they spoke to my brother the police sargeant the calls seemed to let up.
There's only one time I got into collections. A company provided me service and the bill they sent me was not for the agreed amount. And i did have paperwork for that. I called them and asked them to fix it multiple times. I kept getting a completely random number for the amount owed. There was no reasonable way to get to the numbers they provided. So I stopped paying them and stopped there service. I refused to pay until they got the bill correct. They instead sent me to collections. For 15 years every few months I would get a threatening letter or call in attempt to collect. And each time the bill continued to be random. Anywhere from something like 25 to 200. I told them I would pay it if they could provide any evidence that I owed what they said. They couldn't.
They at some point dinged my credit score. But I fought that and won. So I do agree with Dave. You make the offer. You stay strong and firm. And don't play there games. They will try to manipulate you. Threaten you. All sorts of stuff. The reality is they can't actually do anything to you except affect your credit score. Unless there's a judgment against you. You did mess up and you should pay your bills.
Thank you bro. Ive been trying to find this info all day
I agree 1000% with Dave!! These other debt specialists are telling folks not to pay their debts or charge offs. You are basically stealing when you do this.
How about when you have been gouged by inflated medical services?
Dave, you are The Man!!! I had moved and left a car on the street that had a bad power steering pump and I couldn't get it moved and had told the city that I was working on getting it running. They had it towed by a towing company which claimed I owed them $3,000 for towing and storage! They, "graciously" gave me a discount on the total amount which was $2K! That's about 2X the value of the car, itself!!! I said, OK I can give you $50 a month until it's paid off. They, reluctantly, agreed but said they would require higher payments in the future! I guess they thought something was better than nothing! After about three months of paying them $50, they said, "we're going to need more than that in the future or we'll send it to collection." That's when I saw your video about collections and I stopped calling in my monthly payments! I told my wife to not sign for any collections, if they came to the door! It's been 3 months and I haven't heard from them since!!! F those A-holes!!!
This has really helped me!!!! Thank you!!!!
So glad I found your channel!
Excellent advice! Thank you for sharing!
If it ain’t on your credit it will go away eventually, as long as you don’t respond to them or tell them your name. These collection agencies pay literally .001% of what your debt is so don’t let them fool you. You don’t owe somebody money if you never signed anything or agreed to anything with them.
i believe that as well
The 1 thing that seems to be missing from his advice is to also get in writing to collections to delete the the negative report on your credit score
Debt repayment really comes down to your age. What do I mean? If you are over 60(ish) and will no longer need credit for anything (like a car), stop paying on defaulted accounts. Use your money to continue paying on whatever existing accounts that are in good standing. Let the others go through collections and then companies who offer to settle, but never pay them. This is hard to swallow for those of us with morals but after working for a credit card company for several years, I learned some interesting things about debt.
ForWhomTheGameTolls what of you're no where near 60 in age? Any advice for this?
Do most CC companies do "paid in full" or "pay for delete"?? Thnx
What happens to any money left when you die? Dont the collectors get it first?
@@teeremraf5394 Well, if you didn't have a will, your estate goes into probate.
@@ApartmentKing66 right. But then, don't your creditors get first bite at whatever's in probate?
Thanks for this video Dave. Awesome advice.
Rey Santiago terrible advice. Half of it isnt even true. Hes lying. It isnt even legal for collection companies to do that. You can sue for millions if they do. I cant believe he just lied like that
Good sound advice right here!
thank you for these tips
WOW! I could hear you talk all day!!!
Thank you Dave, this us invaluable!
I wish I knew about this around a year ago. A debt collector sued me and "had evidence" that they bought the debt from the original creditor and now own the debt. If you get sued by a debt collector, write a response and fight them.
Just found your channel.
Great information.
I had a so called non payment on yard work.
I PAID the original bill of $58.00 over a year ago. Today 7.24 2018, I owe 97.00 in late fees.
KMA
Very glad I watched this!
Thank you brother for the good advise I listen to you in the radio for many years first time in TH-cam big fun of you god bless you brother you and your family
I helped friends with debt collectors. I would ask friends how much they had on hand and settle that with the collector then asked them to send a letter with an agreement. Once the letter is received, we sent a money order or bank check depending on the amount. A friend actually gave them a credit card number... and they charged the full amount. She didn’t listen to me. Oh well. She wanted my help getting her money back. Told her you didn’t listen, handle it yourself.. good luck! 😂 Collectors are pushy, threaten you, and aggressive. Hide your number when you call them. Seriously. 👍🏽
Never pay a collector unless it is an attorney's office. I got in writing everything that was agreed on and when it was paid, it stayed on the credit report BUT the credit reporting agency did update it as an "improved account" and showed that it was "paid" with a $0.00 balance, once it updated on the report.
Great topic! I always have this conversation with my clients. Super important :)
Thanks Dave. I'm going threw this right now. You've help greatly.
I only agree with Dave on two things. Save your money and pay debt off smallest to largest. Never throw good money at bad money by paying off a debt collector. It will be on your credit if you pay them off or if you don't. Let them take you to court. 90% will not bother they may threaten you but in most cases it will cost them more to take you to court than what you owe on the debt.
Kemmy Mullins ummm there small claims courts where they can rap all the debt into one. Barclays bank does it for millions of account all the time. They win by default cause people think they wont. Paying your debt is actually good.
That's what I said depending on size of debt. Most debt owed is to small to bother with.
never pay a collection company there a scam.
@Nenethegreat W bologna ** btw you don't have to pay someone you didn't sign a agreement with bud
I tend to agree. If I take out a loan with John, I don’t owe money to Kenneth just because I didn’t pay John.
@m.a. torres - *they're (they + are)
These are the details I have been looking for!
Thank you Dave for this info
I haven't paid the debt collectors anything. If I'm not mistaken, they have a certain time limit in which they can take someone to court. And also, if I'm not mistaken, most of the missed payments come off the credit report after 7 years. Bank of America and Chase will be alright. 😆😆😆
Did your credit score go down? I heard it goes down a lot of you don't
If you didn't sign a contract with the creditor ask to see the contract. They don't have one and you don't owe them anything. Used this method numerous times. No contract no money.
Actually in 2017 a bill was passed that when a business hires a collector, or sells the contract to a collector then the contract itself is also transferred. You can say "but but but" all you want to a judge but ever since 2017, most businesses that loan out money (banks, credit cards, ect) will have in the agreement that if you do not pay within 3 months then they are allowed to hire or pass off your debt over to a collector. Just call your bank and ask them and they will tell you, its not a secret.
How do you ask them to remove it then?
Years and years later cant thank you enough for your help
Thanks for the great advice OMG
I’m ready to pay my debts thanks to the stimulus check. I’ve solely been communicating via email since I don’t even have a phone and use sign language to communicate.
Thank you, Dave for telling me how to actually make the payment. Ill have to get a prepaid card but their website charges a $3 processing fee so Ill have to apply that to my prepaid card as well!
Really appreciate the advice!
If your debt has already gone to collections and your credit already took the hit why on earth would you pay them!!!! They are not going to take the Mark off your credit !
Well I paid a three year old debit from collections and it was removed a month later. And since I have paid off a couple more they also have been removed and my score has risen a lot in one year.
@@nucomers1 The removal doesn't happen all the time. So what's the point on paying those debts if your credit score took the hit.
@@bernysoto2756 You may be right but I'm just speaking on my own situation.
Thanks for this information brother 👌
Thank you Dave Ramsey,
Old medical bills are written off by the hospital (they get a tax write off) instead of payment from the patient.Then sell them to a collection agency for about ten cent on the dollar. The collection then comes after you for a debt that the hospital has chosen to forfeit. And tries to collect “twice.” Never pay the full amount the collection agency comes after you for. Remember they bought the debt for around ten cents on the dollar. And as Dave said do not pay the collection agency’s unreasonable added fees.
Dave I can tell you’re really looking out for us. Thanks
Wow, thank you for this video. I am more aware of this!! Omgosh
Thanks Dave
Consider this..If the credit collections company was able to buy the debt at a reduced amount and YOU were not offered the same discount...it is not a valid debt.
Nothing could be more false
Never pay collections! Those bottom feeders deserve nothing.
Great points!!
Yes i told them to mail the agreement letter and to my email! I said sent me the email while I’m on the phone so i can see it...i also set up the debit card payment i told them i will NOT give you access to my checking! I also settle my debts it didn’t take much other than sayin i want to settle and pay less and I’m paying so much less! I told them to also send the letter to me where they said they will send these paid and full info to the credit agencies (all three) and I’m very happy with the outcome! I did all of this before watching this video! It’s just nice to be being reassured....
Make arrangements with the people you owe the original debt to, before it goes into collections or charges off. Once it charges off, someone else has bought that debt. Someone you did not make a contract with.
Make no promises if debt is beyond statute of limitations; just blow it off. Cheers!
That’s why when you get the call from the collection agency and they ask for you in your name you never admit your name. It’s the same procedure when it comes to insurance depositions and police detectives questioning you about a crime.
Cant collect if they dont have your number or address. And never answer a call that you dont know. Calls cant even go to my voicemail.
So I should basically just change my phone number then since it will be ringing off the hook nonstop?
Debt collectors will keep the debt active though. They are known for doing this sort of thing, that way the debt is always “current”
@@SakuraaaHarmony they cant keep it active beyond the date the account was closed.
Thank you soooooo much !!!!!!!!!!
Tank you for your valuable information
Medical offices and their billing departments aren't better. They would lie to you they are in network when they not then good luck proving they lied.
Diana Parisi - they can be the worst! My eye doctor took 4 months to submit the insurance correctly. LOL!
roxcyn ha....the doctor I went to lied to me saying they are in network when they weren't...so 4 months later I got a bill from them...the office manager was useless and it was impossible to get in touch with billing department
I had to tell them I'm calling attorney general so they finally paid the bill for me.
Diana Parisi - good for you. The billing is the worst. On a different bill, I've had to file BBB complaint because they refused to bill my secondary insurance. Needless to say. I don't go to their hospital anymore.
Medical is the absolute EASIEST debt to remove. I went on Credit Karma and disputed every medical debt on my credit report. I disputed the debt as inaccurate and demanded an itemized list of charges. Here's the thing. They bought that debt from the Dr/hospital. They have no idea what the charges are for and, due to Dr/patient confidentiality, they can't find out. Instant removal. Cheers!
@@jeffnoble1218 Whoa this works? I have a medical debt the same way you did. Thing is I dont know what it is for. Could be inaccurate, but I WAS in and out of hospitals that year, but I was fully covered at the time, so idk. So just dispute it and say its inaccurate?
Got it Dave... Don’t use your card that you use for your bills to pay them!!! I will forever remember this. I am getting ready to buy my first home really soon!!!
great work dave
Thanks Dave. True Word.
cowboy logic "when you find yourself in a hole, the first thing you do is stop digging" this especially applies to debt.
Yes This really makes sense. And I thought I was repairing my credit, until I realized that an old apartment debt that I disagree with would actually undo all my progress. So I have to restructure my finances, life, and all just to deal with this old shady collections. Very annoying.
Always...always negotiate! Start at 70% off! When they agree...get it in writing and OFF your credit report! And send it to them via cashiers check or money order!
why don't you come work for me? I'll agree to pay you $25.00 per hour for 40 hours a week or $52,000 per year. and after your first two weeks on the job I will only pay you $1400.00 instead of the $2000.00 you earned and we agreed to. wouldn't you be mad for chopping of 30%? same concept to me. why not pay the debt in full? you must be raising some real upstanding kids there momma bear. stick to serving porridge instead of offering financial advice.
@@jayallen1334 But when banks like bank of america, wells fargo, goldmansachs get bailed out or get sued for ripping off the tax payer you dont say nothing.
@@gervas4935 Not sure I get the connection. Momma Bear is talking about reducing the contract she signed and removing the negative entry from her credit report. I simply suggest to pay our obligations instead of trying to play lets make a deal. Again, if you work 40 hours you expect to be paid for 40. If your employer said they will pay for 30 hours you'd be upset. same concept to me, pay what you owe.
I’m really glad I watched this.
Man great content
Oops, Uncle Dave, a few months ago I verbally agreed (in Texas, idk if that makes a difference) to pay the full balance of a medical collection in order to get it removed from my credit report. I tried to see if they would remove it with me only paying a portion of the debt but they said it that in order for it to get removed, I would have to pay the full balance. Anyways, I was lucky in finding somebody honest and after I immediately paid over the phone, my credit score reflected the change within 2 weeks and my credit score went up like 90-100 points.
F C
You were lucky. It’s usually risky paying over the phone.
@@barbararepko4824 why ? You have your banck statement that shows you did that payment
@@unknowndriver6652 mainly because you might lack proof of any agreement made on the phone, because you you don't have it in writing. A less scrupulous collector might try again in say 2 years time and while you may have proof of the payment, you don't have proof of the agreement that payment has settled the debt completely.
If you pay a collection without getting it deleted it still is negative to your credit score. Dave you really need to tell people all the information not just some.
How would you get it deleted?
Sometimes the lender deletes it I have a card in collections right now and the agency told me the lender updates and deletes it off account.
Yessss pay for delete or wait 7 years to dissapear
@ShavedDream that's a lie. They are obligated to report facts. Your credit issues are facts. Sorry.
@@stevepd1 no it still stays on the report it will show paid in full or settled for less, but it will still be a collection just that it's paid, so that's why you need them to delete it, pay to delete in writing, that's the whole point of getting the deletion so it not a collection account even if it's paid
Ty for this!!!!
Great advice!
Thank you so much!!!! I love specific instructions. 🙌🏽
Jo Jo dont believe this video smh. Hes lying. Do research on the laws for your state. Its not even legal for debt collectors to do that.
I don't know if I agree with this (waiting to pay off the defaulted debts). I was a paralegal for a law firm that enforced collections. If you ignore it for too long, you are going to get a judgment against you where they can just take whatever you owe from your bank account or garnish your wages. That will put you even further into debt, and you won't even be able to start on step two.
Thank you so much for this videoooo
Thank your for this
You may not hear this often, but we appreciate that team behind the scenes that mutes out coughing and things of that nature. It's everything in a podcast, ebook, production etc. great info as usual too.
Debt collectors buy the debt for 10 cents on the dollar from the seller/lenders. Always make an offer whether its $300 or 3,000, like 30% of the original debt or less. But, follow what Dave says prior to going down the list of debts.
Thanks for the info. Wished I saw this early though
Great Advice