What happens when you don't pay full amount to collection agency?
View your credit file based on any of the UK credit reference agencies, or all three at once
LifeLock is the only Identity Theft Prevention Solution backed by a one-million dollar guarantee!Click here to get a 10% discount.
Once they have been sent this letter, they will stop calling you.. They have to stop. But.. as I said above, there is a chance they will try to garnish your wages by taking you to court. No income no way to Garnish.
My suggestion is to call American Express.. Tell them that you wish to continue working with them, and that you want to pay off the debt in full. Explain that you need to be put on a Hardship plan, and tell them what you can honestly pay currently.. Until you are able to get that new job.
Good Luck.. and I hope they stop calling you.. I know how it can be, just remember that it is unsecured debt.. they took a chance with you, and they should be willing to work with you on this debt.
Also at the link below, you will find many links to how-to's on how to resolve the problem you are in. Good Luck again
What happens when you don't pay full amount to collection agency?First don't get a loan to try to pay off another debt, that is rarely a good idea. Because of the AmEx that is in collections your credit score has taken a hit. So any loan you would be able to get is going to be high interest because of this.
The collection agencies will try to get you to settle in as short of a time as possible. This is why they wanted a 5,000 payment up front. This would have it paid off in about 3 months if they got you to pay another 5,000 each month over the next couple of months also.
You can try to negociate with them for a payment plan, but the most they will probably extend it out is about 2 years. With $13,000 if they freeze any interest and fees that is about $550 a month. If you do enter into an agrement and pay as agreed they will not take you to court. However, do NOT send any money to them until you have an agrement in writting. If you just send money in, that may not even cover any interest.
More Related Questions and Answers ...
The loan information post by website user , we not guarantee correctness.