Giving personal information

Hello,

The debt collection ompany I'm dealing with want to:

-Take a "financial statement", including where I bank, names and numbers for two personal contacts (can't live with them), my net and gross income, and any monthly expenses I have.

-After "management" review the "statement", they may (allegedly) lower the amount I owe significantly.

-I'd have to pay an amount upfront as a down payment (probably 50% of the new amount), if I want to get on some monthly payment plan.

-If I'm unable, after giving them all that info, to give that down payment and agree to the monthly amount, then they "move forward"... which they won't say what that means, but I assume it means they sue me.

Thing is, even if they garnish my wages, they won't get any more from me. I don't want to be suckered. I want to pay the debt. What should I do? Is it even legal for them to ask me for that personal information? I live in the state of New York.

I don't own anything, btw. No car or home. Just rent, living expenses, medical insurance, and pay my bills. Only recently started making money as a freelance consultant. Not able to find a job right after graduation. That's what the debt collectors are trying to collect on - student loans.

Thanks so much in advance. I truly appreciate it.

Comments for Giving personal information

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Jul 27, 2010
Beware
by: Anonymous

Beware,
This may be a trap to try to take everything that you own, including freezing your bank account until they get paid.

Nov 05, 2011
beware indeed
by: Anonymous

You aren't obligated to give them a cent or a bit of information until you have an agreement you can live with in writing. You will have to pay the debt, as student loans hang around forever in most cases.

There are organizations that can help negotiate the payback of student loans.

Do not ever pay them with anything with your bank account info on it. Use a certified check or other means not linked to your accounts.

Remember, if they take you to court, show up, with or without an attorney. For it to be a legal case, they have to serve and summon you. If you don't show, then they get a default judgement, and can go after anything that's non-exempt from garnishment.

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