I have been served with papers from Frederick J. Hanna and Associates for an amount around 4000 dollars, 2800 of which is the original debt. I am a total mess when dealing with these kinds of people, but I want to settle and it would be great to get to 50% which I know some people will do. I have heard these guys are tough though, so I'm not sure what I should do. I got a letter recently and it said I could contact them through e-mail to discuss it. Is that a good idea? I figured I would tell them that I have 50% in cash (which I do) and that I could pay it to them immediately after I receive a letter stating that would fulfill my obligations, and if they refuse tell them that I will have to pay payments of about 50 dollars a month from now until eternity. What do you think?
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We will need some questions answered first. How old is this debt? Have you asked for debt validation? Are they working for the original creditor. By letting us know a little more on this debt we can help protect you better.
The debt is probably around 4 years old, SOL is not up if it is based on where I lived when the account started (indiana - 6 yrs), the company suing me is asset acceptance, a collection agency. I haven't asked for validation. I am planning on answering the complaint today and sending a letter along asking for validation. I'm sending a response that says I ". Lack knowledge about the truth and therefore deny the statements" they made in the summons, I'm not sure if that's the right move since I know the debt is mine and i want to settle but everything I've read so far says not to confirm that the debt is mine.
They are a collection agency, you did not have the original contract with them, you are not obligated to them, you are obligated to the original company that you had the account with.
will that hold up in court? I thought that collection agencies sued all the time :/
Hi
Since the SOL in your state has not expired, I think that you should try and pay it off. This is because if you do not pay off the debt, the creditor can sue to to the court and can even bring judgments against you to garnish your wages. Most collection agencies agree to settle between 60% to 80% of your total debt. So you need to negotiate with them. If you find that you are unable to pay the full amount immediately, try to come to a repayment agreement.
Hi iamabutterbee
Yes, most collection agencies agree to settle for 80% of the total debt. But before you go for negotiation, you should send a DV letter to the CA to be sure whether the debt has been sold off to Frederick J. Hanna and Associates or not. However, if they sue you to the court without validating your debt, the judgment will be in your favor.
Right Mary. Never pay a debt before you have them validate it. You should send the debt validation letter certified so you can prove they got it. Most of these compaies will buy old debts by the truck load and not get any documentation along with it. Just be sure to start by getting the debt validated. If they can validate then try to work out a settlement.
I too agree with Mary on this point. Debt validation letter is an important instrument against the collection agencies to stop harassing you from collection debt which you do not owe to them. If the CAs still harass you without validating the debt, you can send them a cease and desist letter and make a complaint against them to the FTC and the State AGs office.
It is also a good instrument even if the debt is yours. Soemtimes these junk debt collectors buy sooo much old debt and do not get the paperwork to go with them. There fore they can not validate and you shouldn't pay unless they can.
You may also want to check out the collection agency at www.bbb.org. That is the site for the better business bureau and they have listing on different collection agencies and if they are reputable. Good Luck.
BBB rating for Frederick J Hanna
Just to let everyone know, this law firm/collection agency has an F rating with the BBB. I would be cautious about paying them anything. Try to work it out with he origional debtor.
I had them call my job
F.J. Hanna
FTC rules forbid any CA from calling your job. Inform them of this and they should back off. They get no money if they get you fired because of them.
Hi gator,
I think you should send them cease and desist letter asking them to stop harassing you. Otherwise you can file a complaint against them to the FTC.
Hello, the cease and desist would be your best route to get these people to quit calling your work. Just temember to send it by certified mail with return receipt requested so that you have the proof you sent then the letter. You also have the option of calling your atty general and explaining what is going on with him or her. Chances are the atty general will call the collector and inform them that they are not to call your work.
I agree fireyone, making sure that you send it certified and return reciept requested is the only way to go because these companies will not acknowledge reciept of letter with out, this is the only way that you have to cover yourself when they say that you did not respond.
great advice.
I got help from here...VERY PLEASED and RELIEVED!
I was referred to a lady who helped me negotiate a settlement with them. She used to work in collections and has a nice way of dealing with debt collectors. My debt was just over $12,000 and she settled it for 45%. I only had to pay her a small fee - $250 flat! I had to get the settlement amount into her hands with one check made out to Hanna and another made out to her for $250. She overnighted the check to them and emailed me the tracking no. and mailed me the hard copy of the receipt so I could track it and see when Hanna got it and signed for it. This worked out great. About a month later I got a letter from Hanna saying it was SETTLED and OVER! Whew. They had already filed a suit and served me with papers. The lady that helped me does not work like a debt consolidator co - she only settles one debt at a time. She worked out payment arrangements with Hanna for a similar problem for $100. She had less debt than I did so her fee was less. She took about one month to negotiate the settlement for me and about 2 weeks to work out payment arrangements for my friend. If you want her contact info I will be happy to share. I highly recomend her.
I meant to say this...
My friend actually had payment arrangements worked out for her. She had less debt than I did. Hanna's people were driving her crazy and she didn't have enough money free each month to pay her credit card bills and never could catch up. I told her about the lady that helped me and she called her. They had already filed a suit in Fulton County and she had only a few days to file an answer. Everything got patched up - she got payment arrangements worked out for an amount she could afford - the calls stoped, the interest stopped piling up and she only had to pay $100 flat to get that done. Again - I'll be happy to provide info if anyone out there needs it.
I got help from here...VERY PLEASED and RELIEVED! andSubjec
Will you forward the contact information for the person that asisted you with Hanna and associates