Need advice about collection agency

This debt is not going to go away any time soon, so you are smart to be addressing this now. First, if you think that you do not owe this debt, or the amount of the debt is too high, then you should seek a free consultation with a local consumer law attorney. Our office, like many others, regularly handle debt collection defense and consumer law violations. The attorney can help you assess your specific facts. Second, if they have taken money from your account without authorization then you should seek the consultation I mention above. It sounds like they acted wrongfully in accessing your account. Third, if you owe this debt but do not have the means to pay it back, or are afraid you do not, then a consultation with an attorney can help you assess your options. So, I guess I am saying that it would be worth your time now to seek out legal counsel, so you can proceed with confidence that you are handling this particular debt appropriately.

I agree with Mr. Eblen and you need to get all the fact in writing right away. I have seen these accounts with the intial loan balance, with credit for any payment or the sale of the car. You will need to consult with a consumer protection or bankruptcy lawyer locally for private and specific advice on your particular issues. Many lawyers on this site offer a free consultation and you should find one near you, make an appointment for specific legal counseling, and take your paperwork and a written chronological summary. 1. Start keeping a detailed log of all calls and letters and a paper file of all information. Because persistent violations of the FDCPA are punishable by statutory fines and attorney’s fees under federal law, but you need hard evidence. 2. Make a written demand that all further communications from creditors is in writing under 15 USC 1692 (c). The letter should also contain a dispute of the validity of the charges and include a demand for a complete accounting with signatures, and all contents of their file. The creditor then has 30 days to reply and they may not take any action until you have been sent the validation. Bear in mind that this may be motivation for the collector to work your account when the file comes to them from the original creditor with new information. 3. Do not give them any personal information because that is how collectors decide on which accounts to recommend suing. Remember they may not tell the truth and will say just about anything to get a payment from you and that payment reaffirms the debt, gives them information about you and your bank and ability to pay. 4. If you are going to make payments use money orders only and never personal checks, wire transfers, money grams, or “check by phone.” If the collector finds a bank account the collector will be more likely recommend a lawsuit to their legal department. 5. Collections are negotiable; the original creditor has given up and is losing up to 50% on the face value already either by splitting any return or selling at a huge discount. Also, the costs of a lawsuit although discounted still are a factor in the decision to settle with you. If you are going to settle mark the check “settled-in-full” at the very top back of the check and include a letter explaining that you are offering a settlement, keep copies of everything. 6. Get written confirmation of any payment plan the agency will accept before making a payment. 7. Specify in writing that all payments shall be applied to principle first. If you are ready to throw in the towel, go see a local bankruptcy attorney and explore your options for federal protection. The protection will even look back 90 days from filing and get back money taken by the collectors and apply it fairly. If your debt is with the government like the IRS or a State agency or for Child Support or taxes, the rules will be different and you will need a local lawyer at once. DO NOT use a paid debt settlement service; most of them are scammers. Here are some links to help you with your state & federal rights; http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre27.pdf Washington collection agency complaint form: http://www.dol.wa.gov/forms/600006E.pdf Washington statute regulating collection agencies: http://apps.leg.wa.gov/rcw/default.aspx?cite=19.16 Consumer rights in Washington: http://www.dol.wa.gov/business/collectionagency... Look for a qualified consumer protection attorney for a low cost or free consultation here: http://www.naca.net You can search the web site under the Find a Lawyer tab. But always remember to act quickly because for every legal right you have, there is only a limited amount of time to actually file a lawsuit in court or your rights expire (it's called the statute of limitations), so don't waste your time getting to an attorney and finding out what your rights are. If this answer was helpful, please give a “Vote UP” review below.

As I do not know your relevant facts, I offer no opinion as to whether the collection agency did things lawfully. However, if you "cosigned for a car" and the contract is enforceable, you are just as liable for the loan as the other person for whom you cosigned. "I thought it would get them to leave me alone." Why would your creditor leave you alone if you are not paying on your debt? "I found out yesterday that they have taken out $230 a month since December." You need to keep better track of what is going on in your account. Your bank likely is telling you that, if you do not notify the bank of suspected activities within 60 days from the statement date, the bank is not going to help you with the past transactions. The original loan documents may well authorize the creditor to debit from any bank account you have. You need to review those documents too. You likely need to pressure the person for whom you cosigned to pay so that you do not have to pay. You should review your specific facts with your attorney to find out your legal options.