Legal Question in Credit and Debt Law in Missouri

collection agency hopping

around 3 or 4 years ago my husband and I got a credit card. Our situation changed and we couldn't meet our payments. We tried to work with them but then they quit talking to us. We then go a letter from a collection agency. We set up a payment program with them and made a few payments when we received a letter and a return of our check telling us the account was no longer with them. Then about 3 months later another agency called so we made payments to them. We almost had the agreed upon settlement payed off when we got switched to another company. We are now on our 4th company and have payed over 2000.00 (the original settlement amount was 1800.00) and the interest keeps piling up. Is this even legal for them to do? Do I have any alternative?


Asked on 8/15/07, 9:48 am

1 Answer from Attorneys
Anthony Smith LawSmith

Re: collection agency hopping

When you made an agreement with the frist collection agency, you were dealing with yoru creditor through their agent (the collection agency) When they switch you, they are purposefully increasing yoru debt. You should contact the credit card company and tell them that you are not dealing through anymore collection agencies, until they (the card compnay0 tell you that collection agency X hase authority to deal on their behalf. Send a copy of this letter to the new collection agency.

If these agences are buying yoru credit card debt and not collecting on behalf of the card company, then the situation is different. They much each stick by the agreement you made with their predecessor. Make sure any deal you work out is clarified in writing before you send any payments.

Good Luck

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Answered on 8/15/07, 3:13 pm


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