Collection Agency

I've been dealing with these guys for over a year now with a verbal monthly pymt agreement (all I can afford) Each time I'd reiterate my situation regarding my OSAP loan with these guys they'd hand my file off to someone else - I've kept a file of every letter/phone contact as well as a diary. Two weeks ago, the most recent collector suggested I take on a high-risk loan to pay it out. I declined and she became upset. Then I asked for a detailed statement of account from the date of first contact to present as the call letter she originally sent had a different amount owing than her verbal confirmation. When she got miffy, I said to myself, "Self, you are doing you're best and making payments in good faith and this woman has said (direct quote)"we will not continue to accept [minimal]payments on a [balance]debt!". Actually, she yelled at us, Self! So I sat down and wrote the agency a direct and firm letter I'd like to share with you all as follows.


ATTN: Madam Collector (name changed)
Dear Madam,

     As per our phone conversations over the past week, I just wish to confirm in writing that I am unable to pay the $---balance (confirmed by you on ---) at the present time. I appreciate the concern you expressed for my credit rating and your suggestion that I contact the [finance company] to discuss consolidation of both this debt and my Canada Student Loan, as I am unable to secure a bank loan. However, upon contacting HRDC (who holds the CSL) it was determined that no progress has been made on my file to date and I am still waiting to hear back from someone with the balance on that account. Also, upon further consideration I feel that it would be unwise to enter into a loan agreement with a high risk lender for an extended period when I consider my present work situation. Currently, I am a part-time, term employee as I advised at the time of the original payment arrangement, in my message to you on ---, and our conversation on (next day). My current contract expires (soon) and I have no way of knowing if I will be offered further employment, especially given the restructuring of (said employer).

     I left a message for you on (---)to confirm my payment of $---was received and requested a detailed account reconciliation from (first instlment to now)at that time. There are two reasons for this. First, I am confused by your verbal confirmation of $--- as the balance, but your letter dated (week before)indicates the balance owed as $---plus $---interest. I wish to verify that all payments to date have been allocated correctly and confirm how they have been applied to this debt. My personal records agree approximately with your verbal confirmation: current balance $---with $---in payments made to date. Second, I wish to compare the interest rate being applied by ARO to interest rates charged by high risk lenders. If the only reason for securing a hish-risk consolidation loan at a much higher rate of interest is to protect my credit from further damage then, frankly, I do not see any reason to persue this at all. Paying the debt is my highest priority - not my credit rating.

     I respect that you have a job to do and that you may be required to "note my file" and "take further action" in light of our recent discussions. As I advised in our conversation this evening, I realize that you "have to do what you have to do" and I stated as much to you. However, I have explained my financial position several times and have been as cooperative as possible in this matter. To this end, I will continue to pay at least $--- monthly at the Bank as I have done to date as per my original payment arrangement and promise to advise you in writing if my situation changes (ex.get hired permanent, full-time)and I am able to make larger payments or pay in full. My financial/employment situation has not changed since that verbal agreement was made and I am still unable to pay in full but it seems (agency) is no longer happy with this arrangement. I consider this letter to be written confirmation of the original agreement for at least $---monthly until the debt is satisfied. I did not consider this to be a 'temporary' arrangement except in relation to my job status.         

     I have some concerns about your response to this information and the telephone contacts over the last week as follows:

           1. I was confused by your statement that (agency) is a "collection agency and would not continue to accept $----monthly payments on a $--- debt" and you would be "noting my file". My understanding is that your agency is collecting on behalf of the provincial government and I have been making payments agreed upon with your agency to the province via (agency).

           2. Also, it concerns me that although I clearly advised on (date)that I do not have a direct phone number at work, due to the nature of my job, the message to you was distorted to read "refused to give employment information".
          
           3. the Notice of Claim, dated ---, I received shows a total of $---but you stated my balance was      $---over the phone, which is approximately the amount indicated in my own records. This is a significant discrepency which I presume will be resolved by the Statement of Account.

     On a personal note, I am insulted by the implication in your tone of voice that my motivation for requesting the statement of account and interest calculation is invalid and somehow deceitful. It is my right to obtain such information and I am not required to provide a reason at all, other than being courteous.
     
     Please do not call my home regarding this matter again as further discussion is unnecessary at present and I believe I am being harrassed over a debt that I've been paying as per an agreement with your agency for some time. For this reason, in addition to my aforementioned concerns, I will not return phone calls from any employee of (agency) in the future. If it is necessary to contact me regarding this account, please do so in writing.

     It is unfortunate that we were unable to resolve this matter in a more positive manner at this time.

     Sincerely,

     cc.    &nb sp;(former bankruptcy trustee)


Now, I don't know how long this will stop them but I haven't heard from her since I mailed it. Still waiting on the statement of account though.

I'm so glad to find out it's not just me!