My husnabd and I are in the process of trying to settle $25,000 (just under) of debt with Chase (Visa credit card) for $10,000 (it would be a ‘one time’ payment – to come from my wonderful brother). We are now 5 months without making a payment to Chase. We have offered them the $10,000 and explained the circumstances – both of where the $10k will come from (lump sum from family) and why we have no money so can not make payments of any kind (which is 100% true and we can document that we are broke).
We have spoken to Chase reps 4 times over 4 months and written to them once. First 3 calls/reps told us our account was not eligiable for a settlement and to call back in ’30 days’ and ask again. But also, first call/rep told us $19k ‘could work’ and 3rd call/rep told us $17k ‘could work’. On our 4th and most recent call we got passed through to a ‘manager’ (I requested this) . He told us ev erthing we had been told by first 3 calls/reps was completely wrong. He told us our account will never be eligiable for a settlement as the principal part of our debt must be paid down to a ‘certain amount’ first.
However, he said he could not tell us (or give us an ‘idea’ even) what amount of the principal has to be paid down. He said this ‘princiapl pay down’ requirement (before being eligiable for a settlement) is a Chase ‘regulation’ and can not be changed for ANY reason, but that he was not privvy to what amount (%) of principal had to be paid down.
He insisted Chase frequently turns down settlement offers that then resulted in the debtor filing bakruptcy so Chase ended up with nothing. He agreed it made no sense but that there are ‘regualtions’ they must abide by. He encouraged me to do a 60 month payment program, even though I told him we can’t make the payments.
Based on the above, my question is, in your opinon: are Chase giving us a ‘song and dance’ of nonsense hoping we’ll opt for a 60 month payment program, when in fact they will accept the $10,000 settlement ‘in a month or 2′? Or – is it likely that they will never accept a settlement in which case we either have to file bankruptcy or they will sue us, (whichever happens first?).
Before I answer this can you give me an idea about what your total debt situation looks like? Is this your only debt or is there more we need to worry about?
I’m guessing you have no big assets or equity to your name.
What state do you live in?
It’s important that when it comes to dealing with creditors, often logic and commonsense are not the order of the day.
Please post your responses and follow-up messages to me on this in the comments section below.Chase Bank Says They Won't Settle Our Debt And Want Us to Go Bankrupt. - Sarah by Steve Rhode