Can a collections agency sue me if I am making payments towards my debt?
if they have accepted a lower payment in the recent past …then they must continue…as long as you show good faith…………….if they have rejected your attempt to pay a smaller amount……….then they can send it to a collector…….your best bet is to contact a legal aid service….most collection agency,s are more bark than bite….but legal assistance can direct you down the right path….you may want to consider one of the bankruptcy option,s………….don,t worry….help is just a phone call away.
no they cannot.but to cover yourself.send them in writing the terms you are willingly to do.send it certified return receipt mail and keep every receipt or cancelled check from a payment you make.also make sure they are letting the people at credit bureaus know you are making the payments.as long as you are trying ,in this state anyway,they cannot do anything about it.consumers have rights to.we just got done dealing with a bunch of this stuff.good luck and hope it works for you.
I went through the same situation. I went through a really hard time and found my self in debt. When I finally got my head above water and was able to start paying it off, I was met with some very scary prospects. The collection agencies were all telling me that they were going to go to court unless we settled the account. I had been looking into some debt management programs and the collection agencies kept saying that they wouldn’t work with them. Well I was scared and I called a debt management company and they were really helpful. The person I spoke with even told me that he had trained to work at a collection office and they trained him to try and scare people into giving them the settlement. However, settlements look really bad on your credit and they are really hard to come up with. I ended up going through the debt management program and the collection agencies stopped calling me. They all worked with the debt management program and they even lowered or stopped charging interes
Unfortunately, they do have the right to demand payment for any arrangement that has been broken. Which means that yes, they can sue you for the debt even though you want to make payments. The decision is theirs, since they “own” the debt. They can take you to court, but what you can do is make the small payments anyway. Make them via money order or check, so you have a paper trail. That way if they do eventually take it to court – the court will see that you really were making a good faith effort and try to work with you. Unfortunately, there are a number of collection agencies that don’t care what the circumstances are, they just want their money. My suggestion is try to go to the original creditor (ie, Sears, Chase, etc.) explain that you’re trying to work with the collections agency, and see if they can help come up with an arrangement you can afford. Collections agencies only get paid when they get money – which is why they want as much as possible. Creditors prefer to settle the
