Legal Question in Credit and Debt Law in Missouri

Re: Credit card debt and collection practices

First of all, do you owe the money? If you do then the smartest approach is simply to tell them what you can pay and start making regular payments in that amount to them. Most people will accept a reasonable amount. If they asked for $800 a month they will probably take $400 a month.

Unfortunately many collectors are told to be tough with debtors and to draw a hard line. This rarely works for the collection agency or the law firm, and what happens is they wind up going to court. You'd like to avoid that, if possible, because a judgment looks worse than simply being referred out for collection.

So I would propose, in writing, an amount you can afford and I would send the first payment with the letter proposing that scheme. I would make acceptance of the check conditional on the acceptance of the payment plan. I would include a statement in your letter that says "Acceptance of and negotiation of this instrument constitutes your agreement to accept monthly payments in the amount of $X.xx until this debt is fully and finally settled." That way if they cash your check you have some ability to say that they accepted your counter-proposal of X dollars a month.

Good luck.