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Hi there. Michael Bovee with
Consumer Recovery Network Work and thanks for
tuning to our YouTube channel Debt Bytes Today.
I'm gonna cover when you need to negotiate or come up with some
kind of settlement with a debt buyer by the name of LVNV, or
Resurgent Capital, also Sherman Acquisitions.
These are all one in the same for all intents and purposes,
as far as you're concerned when you're negotiating a deal.
So they're a debt buyer, they pick up
the legal rights to collect on a bill that you didn't pay.
There are different types of debt buyers.
And on this channel,
I have covered some of the largest in the nation.
LVN is pretty big.
They're not like other debt buyers.
The larger ones like PRA or Midland where those guys buy up
debt and then they use their own internal collection resources.
Most of the debts that LVNV picks up you can't necessarily
call them and resolve the debt with them.
You have to go and deal with the collection agencies that
the purchaser, in this case LVNV sends them out to, right?
And those can be some of the biggest
contingency collection agencies.
And what I mean by contingency is that,
these debt collectors only get paid of they get you to pay.
Or they use a collection attorney.
You could be negotiating an LVNV account with a law firm,
who Hasn't sued yet who has sued and there isn't a resolution to
the case or you could be dealing with a judgment already.
There are also some acquisitions that all VNVs make.
And I'm seeing less and less of these.
But they bought up at one time one of the largest debt buyers.
By way of Arrow Financial Services, LVNV pick up a lot of
that portfolio when Arrow went out of business.
So you could be dealing with LVNV if you have an old Arrow
judgement.
That's happened, that purchased happened long enough ago that
you shouldn't be seeing that kind of debt on your credit
report or writing into collections Post
seven years old or past the statute of limitations.
So when you're dealing with LVNV and you know that you're more
than likely gonna be dealing with an outside agency,
much of the same things that I talk about on how to
negotiate and settle with a debt collector
are going to apply in this situation.
Whether you're dealing with Chase,
Citibank, Bank of America or LVNV using those
same debt collection agencies, really the approach is the same.
Just because a debt buyer buys your debt for
less than its face value, does not necessarily mean that
you're going to be able to settle a better outcome.
Fact of the matter is I prefer to negotiate
a non-purchased Chase or B of A or Citi Bank Debt and
get a better outcome that way.
Again, debt buyers have targets, just like any other debts owner,
whether it's a credit or not.
So I tend to target 40% in these areas, but
the older your debt is the more it's reasonable or
realistic to shoot for even better outcomes.
For example, somebody who might live
in a state with a four year statute of limitations,
for example California, and many other states have that.
A couple of them have three year statutes, but let's say four.
And it's been five years since you last made a payment on this
debt to the original creditor or anybody.
So that means it's legitimately past the statute of
limitations for LVNV to sue you, but you have a goal.
And you need this resolved on your credit report because it's
holding you back, or you have to know it will hold you back,
from getting advantageous financing for a home.
Or even being able to get a home loan, okay?
So it's important to kind of pre plan and
try to resolve debts that you find.
You must, before you even apply for those types of loans.
Because then you tip off the debt collector, cuz they have
real-time access to your credit, that you have a goal.
So, if you're planning, and you're being strategic, you can,
sometimes, get a better outcome than 40%, the older the debt is,
as long as you haven't tipped off a debt collector
to your goals.
You're having an outcome that you're trying to reach,
they hold out for better money.
If you are dealing with a judgment debt,
you have to know that sometimes getting resolution doesn't mean
immediate updates to your credit report.
It actually, if there's a judgment involved,
has to go through the court process.
Very formal.
So, when you settle a judgement, whether its with LBNB or
other types of collection agencies, you typically
are gonna see a several week delay for the payment to clear,
process, and then for them to file something with the court
to update the court that the judgement is now paid satisfied.
No matter how much you paid for it, paid satisfied.
And then that has to be picked up by the credit reporting
agencies.
So, there's a delay, sometime 30, 60 days.
If you're in a hurry to get something done,
after you get to negotiated settlement,
after it's documented, after you have proof of payment.
There are some ways you can use that as a way to expedite.
Any kind of loan approval and things like that.
And I bring this up because when you're dealing with older debt,
when you're dealing with purchase debt,
when you're dealing with debt buyers,
it tends to be that you have some immediate needs.
So pay attention to those time frames, those details.
One last thing, when you're dealing with a debt collector,
again, it doesn't matter if you're dealing with research and
LVNV debt or not you don't have to get everything done in
one phone call.
So when you're reaching out to collectors,
realize that sometimes it's better just to set the table and
set some expectations and have that first conversation.
Kind of break the ice.
And the sometimes your deal isn't gonna get done until
the subsequent third, fourth, maybe even fifth conversation
with the collection agency so patience is required.
Post below about your situation and I can show a little bit more
debts once I know a little bit more about what you have going
on, what your credit report looks like and by the way,
you can also reach us for a life consult just call the number on
the screen and press 2 that often will ring to me.
And we can talk a little bit more about your situation
in details there.
See you on the next video.
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