Full question:
I settled a revolving line of credit back in 2003 with a collection agency for a lower amount then what was due to resolve the debt. On my credit report it states account settled. I just received a letter dated 04/09/07 from A Law office in CA that they are collecting on that very debt. it looks like it is for the remaining balance that would have been due if I had not settled my account. Is this legal? All my paperwork states the account has been settled. My credit report shows account settled with no balance due. I have even bought a house since all this has occured.
- Category: Debts and Credit
- Date:
- State: Minnesota
Answer:
The legality of this situation depends on the terms of your settlement and whether you adhered to those terms. If you have written documentation of the settlement and you followed through with the agreement, inform the law office and the attorney about this. Even if the agreement was verbal, if you complied with it, you should also reach out to them to clarify why they are pursuing you now. It could be an error on their part. Make sure to document all communications with them and follow up in writing.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.