I owe a collection agency for a debt that i owe to the college I graduated from. They will not make payment arrangements with me and I do not want my wages garnished.
There is nothing that requires a collector to make payment arrangements with you. The collector also can’t sue you unilaterally if they are truly a third-party collector and not the new owner of the debt owed.
Your best bet at this point is to contact the college and speak to them about making payment arrangements on the debt since the debt collector won’t. If the college wants to they could always sue you and then go back to court for permission to garnish your wages. Enlisting their cooperation in this matter and showing them you are both able to and willing to make payment arrangements is your best approach at this point.
And while it sounds crazy that the debt collection company will not make payment arrangements with you, their contract with the college may not allow them to. They can only make the arrangements if the client, the college, allows them to make them. Additionally the collector may just be pushing you for a full payment so they don’t have to waste their time dealing with monthly payments.
Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.
P.S. Be sure to read ‘The Secret of Surviving Through Difficult Economic Times. What I Learned On My Journey‘.