I had a court date for a Target bill that I could no longer keep up with due to unexpected circumstances beyond my control.
When I went to court, a local Zwicker lawyer called me outside to and we agreed on a settlement to pay off the amount listed on the docket paperwork. I have been sending those payments two weeks ahead of their due date, and I have never been late since I made the agreement.
Now, just over a year later, I find out that they have been charging interest on the amount, and according to Zwicker, they say I owe more than that original payoff amount!
There is NOTHING anywhere in writing that says they would be charging interest, and nothing stating an APR amount. The manager at the Zwicker toll-free number that I called said, when I pointed that out, “What makes you think we wouldn’t be charging interest?”
She said that I agreed to pay interest to Target. I told her this agreement was with Zwicker, not Target, and there is no verbal or written agreement saying I’d have to pay interst over the agreed-upon payoff amount, and if the local Zwicker lawyer I made the agreement with had told me this verbally, I would have asked for that in writing.
I asked the woman on the phone why they don’t send statements or correspondence via snail mail or email. (Note: Through the debt consolidation company I’ve been dealing with, I can always go online and see what my balance is.) She said they don’t have to send statements because they’re a law firm, not a collection agency. But they ARE a collection agency!
They even say on their phone messages that any information they receive will be used to collect a debt. Does that not make them a collection agency?? They use that verbiage to weasel out of sending statements, and they do not make it easy to communicate. I have a snail-mail address, but no email address, and they have no web site available for people like me to access to keep abreast of my balance.
There is no communication FROM THEM via snail-mail or email. The ONLY way I found out that they had been adding this interest behind my back without informing me was, I called them to make sure they had received the payment I mailed them on Dec. 15, 2011, for the payment that was due on Dec. 31, 2011, since the check had not cleared as of Jan. 4, 2012.
So, my question is, how can they say I owe interest if I was not informed of this, and if it is not in writing?