Are you getting an endless stream of phone calls, or letters from NCB Management? Have you discovered an NCB collections mark on your credit reports?
If so, you’re in the right place. NCB Management Services is a large, aggressive, first and third-party debt collector. They were founded in 1994 and are headquartered in Trevose, Pennsylvania.
They service and collect consumer debt nationwide. Along with many types of consumer accounts across a wide spectrum of industries including financial, healthcare, retail, education, government, insurance, and more.
They’re also what’s called a junk debt buyer. This means, they may have purchased the rights to your account from the original creditor or lender, or even another debt collection agency. In other words, they collect virtually every type of consumer debt.
The purpose of this article is to share precisely how to handle NCB Management, and navigate these dangerous shark-filled waters. Along with the four steps to exercise your rights as a consumer, while protecting yourself, your pocketbook, and most importantly your creditworthiness.
The first item we need to share is the Fair Debt Collection Practices Act (FDCPA). This is federal legislation passed by Congress with the intention of regulating the debt collection industry.
In short, it says debt collectors are required to be honest, straightforward, and upfront. In addition, to providing you with that modicum of respect and dignity, every human being deserves.
It says much more, and it’s worth reviewing in detail at your convenience. And yes, the FDCPA is violated just about as often as our drug laws in this country.
Does Paying Off NCB Management Collections Improve Credit?
The most common concern for folks is does paying off collections improve credit? It makes sense if it did. And you’d think so.
But, as of 2018 no. You see, when you simply pay off collections, and nothing more, the only thing that happens is a change in the status of that item on your credit reports.
It’ll be changed to a paid collection. This is still a negative item. According to Anthony Sprauve, a spokesman for FICO, collections on your credit report can damage and drag your score down by as much as 100 points.
The key to get your credit score up is to remove this collection item entirely from your credit reports. As if it were never there. In full disclosure, some folks after performing the necessary due diligence and the four steps in this article, may discover paying collections is the easiest way to get a clean credit report.
NCB Management Collection Methods
In addition to the endless phone calls, and letters, NCB Management Services is also going to report negative information on your credit reports. Further, it’s very likely they’ll inflate your total balance.
They can legally charge your account high-interest rates, and believe it or not, even collection fees. And these can be very significant amounts.
One of our members, with a different collection agency, recently shared how a $50,000 student loan debt, ballooned virtually overnight to over $75,000. All from interest fees, and over $10,000 in collection fees. Unreal.
If they’re unable to collect payment, they have two options. First, they can resell the rights to your collection account to yet another debt collector. This new debt collector, of course, will begin calling you, sending letters, and they’ll report even more negative information on your credit reports.
Or alternatively, they can file a civil lawsuit against you. As in sue you. Their goal is to win a judgement, because then they’ve really got you by the short and curlies.
Judgements can result in wage garnishment, liens being placed against you and or your property, and even asset seizure. For full details, check out your local legislation, because every state has unique laws.
Not to mention getting slapped with a judgement on credit report files, will annihilate your creditworthiness, and practically overnight. According to the NCB Management Services website, they do offer “litigation management.”
In other words, they do practice using lawsuits against consumers, as a collection method. On a sidebar, if you’re dealing with a tax lien or a student loan debt depending on the specific circumstances, they may be able to garnish your wages and have liens placed against you without a court hearing.
These types of debt may provide them with more aggressive collection methods legally. Please, don’t just ignore NCB Management with the false belief they’ll just disappear like a fart on a windy day. This situation can snowball into a financial crisis.
NCB Management Services, Inc.
1 Allied Dr.
Trevose, PA 19053
Phone number: 1-800-828-1110
4 Steps For NCB Management Services
1. Request Debt Validation
The very first step for dealing with NCB Management is to request debt validation on your alleged collection account. This is your right as a consumer granted by the FDCPA.
In short, when we request debt validation we’re saying NCB Management you first prove this is truly my debt, and you own the collection rights. They’re supposed to respond by providing you with the paperwork, evidence, and documents that does, in fact, prove this is your debt.
This is the necessary due diligence. It’s most effective to make this request in writing, and send it using certified mail, with return receipt requested.
If they fail to validate your debt, for any reason, then in compliance with the FDCPA you’re no longer legally responsible for payment. Moreover, they’re supposed to contact all three credit bureaus to have them remove collections from credit report files, concerning this account.
2. Statute of Limitations
If they do validate your account, then we next need to review this paperwork in detail. We’re looking for your last date of account activity, because you’re not legally responsible for repayment, forever.
In fact, the statute of limitations says precisely how long you’re legally responsible for payment. This is a state law, and it does vary, so for full details check out your local legislation.
Generally, this legal time window is seven years from the first date of delinquency. Once this time window runs our and expires, then the debt is legally forgiven, in accordance with the statute of limitations.
This applies to most types of consumer accounts including credit cards, medical collections, charge off accounts, consumer loans, auto deficiencies, installment loans, utilities, telecommunications, private student loans, and many more. The few exceptions are defaulted federal student loans, and federal income tax.
Unless you have a federal student loan like a Perkins Loan or owe federal income tax, then your account is governed by the statute of limitations time window. Your legal obligation for repayment ends, when the statute of limitations time window runs out and expires.
Warning. Yes a warning, because NCB Management Services is a junk debt buyer this is doubly important. Junk debt buyers are notorious for re-aging consumer accounts, with the obvious purpose of continuing to attempt to collect payment. Oftentimes, this re-aging is done illegally.
3. Negotiate a Settlement Agreement
If your account is validated, and it’s within the statute of limitations time window, our next step is to discuss how to pay off collections and so it will improve your credit score. This requires us to create a settlement agreement directly with NCB Management.
There’s two parts of your agreement, and it’s best to get this in writing. First, we need to negotiate to settle and pay off this collection account for just a fraction of the total balance.
Frequently, we’ll be able to settle for as little as 15% up to about 45% of the total debt. For instance, with a $1,000 debt, we may be able to settle for just 25% or $250. The big determinants of how much you can anticipate paying are the type of debt, and if it’s been purchased from another company.
In other words, you can anticipate paying much less if this is a charged off credit card account, and the rights were purchased from another debt collector. Versus a federal student loan, for example, where you’d be responsible for paying much more.
The second part of our agreement is mission critical. We must get NCB Management to agree that in exchange for our payment, they’ll stop reporting our account information to all three credit bureaus.
If we overlook this, we’re going to get stuck with that paid collection on our credit reports. As we’ve shared, that’s very likely to cause you to have a bad credit score.
Pay For Delete
Have you heard about a pay for delete approach to dealing with debt collectors? If you’re unfamiliar, this is where we first demand NCB Management delete the negative item from our credit reports, and then we’ll make payment.
How wonderful it sounds. You’re welcome to try this approach, but please, don’t hold your breath. For so many reasons to those of us familiar with the industry, it’ll never happen. Despite seeing this approach all over the internet.
In our decade-plus years of experience working with folks on the front-lines fixing credit, we’ve yet to hear of one person or one debt collector ever making this agreement. Truly, it’s more likely we’ll see PETA (People for the Ethical Treatment of Animals) opening a butcher shop on every American street corner.
Instead, it’s much more effective and pragmatic to simply get NCB Management Services to agree that in exchange for our payment, they’ll stop reporting our account information to all three credit bureaus. This is an agreement they will make, even if reluctantly.
4. How To Remove Collections From Credit Report
In our final step, we’re talking about how to dispute credit report items, because this is how we’re going to remove this collection item from your credit reports. To do this, we’re going to exercise more of your consumer rights.
This time, those granted by the Fair Credit Reporting Act (FCRA). This federal legislation is what enables us to dispute and challenge any item on our credit reports, so long as we believe it’s inaccurate, misleading, or made in error.
There’s three ways to file our credit bureau dispute: online, over the phone, and by mail. Once the credit bureaus get our dispute, they first get to deem it valid or frivolous.
This is another conversation for another time and place. So make sure to sign up for our free newsletter for more credit restoration tips with Dan Willis, and join our congregation.
Once the credit bureaus get our dispute, and deem it valid, they’re required to investigate the item. They’ll call it a re-investigation. Nevertheless, during which they’ll contact NCB Management and request to verify the collection account.
As per our settlement agreement, directly with NCB Management, they won’t verify the account when the credit bureaus investigate. This is the second part of our settlement agreement.
As a result, the credit bureaus must remove this collection item from our credit reports. Every single one of those marks on our credit reports, must be verifiable. This is how to remove bad credit, legally, and by exercising your consumer rights.
By the way, if this NCB Management collection item is on all three of your credit reports you’ll need to file three separate credit bureau disputes. One dispute per bureau.
Look, it’s far from easy dealing with debt collectors. These are shark-filled waters, and there is literally blood in the water. Nor is it easy dealing with the credit bureaus. Nor is it easy living with less-than-perfect credit.
Many folks feel as if they’re living in ancient biblical times and they’re David going into battle against Goliath. And you’re telling me all I get is this lousy sling-shot and a couple of rocks? Come on, man!
At the end of the day, your credit score is a lot like your Grade Point Average (GPA) in glory school days past. It doesn’t matter if you’re acing all your classes, if you’re failing underwater basket weaving, because this negative mark is going to ruin your overall GPA.
This too is true of your credit score. And this is why it’s of such paramount importance we take action to clear credit report dings, blemishes, and remove any negative items. This is proven to be the most effective strategy to help your credit score.
We encourage our members to consider professional, legal, and legitimate credit repair companies to help. Because the good news is in 2016 alone, over 9 million negative marks were removed from consumer’s credit reports.
One of the best firms is The Credit Pros. They’ve helped their client’s successfully remove collections, late payments, charge offs, judgements, liens, and so many more negative credit report items.
Get a free credit consultation by calling toll-free 1-877-418-7596. And for more tips, techniques, and strategies about how to better your credit with Dan Willis, sign up for our free newsletter and join our congregation.
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