Settling Old Debt with Northland Group and LVNV Funding

my finiancial troubles started in '06 at which point i could no longer pay my debts, including a personal loan and a couple cards. I won't bore you with details but I still haven't made any headway towards paying off this debt. no payments have been made and no contact has been made between myself and these creditors. at this point I have over 30, 000 in debt, most of which is student loans. As i understand it, the statute of limitations on my credit cards and prsonal loan has come and gone, so I don't have to worry about being sued. I think much of this debt should come off my credit report in the next year or two if I just sit tight. Please correct me if any of my assumptions are incorrect. recently I recieved a letter from northland group inc. informing me that I owe lvnv funding llc 1, 015.00, ( citibank being the original creditor ). the letter goes on to say that if I were to pay them 152.28 they would senf me a letter confirming that the debt has been resolved

I was wondering if it would be in my best interest to take this offer at this point.


Northland Group regularly collects debt on behalf of LVNV. Both companies are part of the Resurgent Capital Services brand of purchased debt portfolio management and are interconnected.


Resolving debts with a collection agency like Northland Group or LVNV Funding

I am responding to your question about settling with LVNV Funding, through their collection agency Northland Group, while considering others will be reading this page later. As a result, some of what I am sharing will be general information that is mixed in with feedback specific to your offer to settle from Northland Group.


Citibank (and most other credit card issuers) regularly sell off debts that go unpaid more than 6 months. Your Citibank credit card sounds like it has gone unpaid for 5 or more years. If you are only now hearing from Northland Group with an offer to settle the Citibank account (on behalf of its owner LVNV Funding), I really doubt that LVNV bought the debt from Citibank. It is more likely that your Citibank credit card was sold to a different debt buyer originally, and maybe even exchanged hands several times, before landing with LVNV Funding. This is not uncommon. It also means, if my assumption is accurate, that LVNV will have paid bargain basement pricing to purchase the right and ownership of your Citibank account.


Settling a collection debt with Northland Group (LVNV Funding) at this stage can make sense, but it can also depend on your personal credit goals. Here are some questions I have:

  • What are your future credit product needs for the next 1 to 2 years while you are waiting for the Citibank charge off entry on your credit report to age off?
  • Is LVNV reporting this collection account on your credit report too?

If you do have immediate or near future credit goals, and with as much debt you mentioned having that has not been paid for years, settling with Northland Group, even if LVNV is reporting a collection item on your credit report, will have little to no value to your credit report. However, if you take a more broad approach to the outstanding debts, like settling other revolving consumer debts (credit cards and personal loans) with other collection agencies and debt buyers, than settling the old Citibank credit card with Northland Group would make sense.


If you do have other credit goals, and are interested in what it would take to start to improve your credit report, and get your debt to income ratio on your credit report in line with what lenders look for, post your other debts, balances owed, and who is collecting on them, in the comment section below (this goes for anyone reading this page too). I will give some targeted feedback to help you.


What is a normal settlement offer from a collection agency like Northland Group?

The settlement letter to resolve the debt that LVNV now owns at the discount you have been offered, is not normal. I am pointing this out for later readers. The amounts you shared mean Northland Group is offering to settle with you for about 15% of what they say is now owed to LVNV. That likely has more to do with them recognizing the debt is past the statute of limitations in your state to legitimately sue you in order to collect. This also means you could just tell them to pound sand (figuratively).

A typical target for settling a collection account with a debt buyer like LVNV, or with a collection agency like Northland Group, is going to be multiples of that percentage when there is still room to sue and get you to pay.

Is it a great settlement offer? You bet it is. Should you take them up on it? Maybe not.


Settling with one collection agency can wake up other debt collectors.

With someone in your situation who has many debts outstanding, and in the hands of debt collectors, settling one account may breathe new life in to the collection efforts on your other old debts. This is not always the case, and certainly less so if your other collection accounts are past the SOL to sue, but this is a legitimate concern. If a collection agency like Northland Group, or a debt buyer like LVNV Funding, is showing up on your credit report now, and you settle with them, and that settlement is updated and reflected on your credit report, other collection agencies paying attention may come out of the wood work. For you, that could lead to receiving more debt collector phone calls, and receiving debt collection letters, where all of that had mostly died down to this point. For someone who is not past the SOL with some of their collection debts, it can mean breathing life into debts that reach the point of aggressive collection actions, where that may have not been the case otherwise. If you’re going to potentially call attention to yourself by settling one debt, it is best to have a plan in place to resolve other debts that are not yet past the SOL to sue you.


Based on the little information I have to go on, if I were in your shoes, unless I had some specific credit goals I wanted or needed to accomplish in the next 2 years, I would not take Northland Group up on the offer. If I did have some goals in mind, like qualifying for a mortgage, I would first want to have a strategy for all other debts in place, and not just settle the LVNV account because it is a great offer.

For readers who are not past the SOL to be sued for collection, settling with Northland Group, LVNV Funding, or any collection accounts for that matter – when set beside credit goals like qualifying for a home loan, refinancing a mortgage, accessing new student loans – settling these types of collection debts for less, and getting a zero balance owed reflected on your credit report – makes a ton of sense.

You shared that much of the 30k in total debt outstanding is from student loans. Part of any strategy would be to look at bringing the student loans out of default if they are government backed student debt. Those are not going to go away regardless of whether they are on the credit report or not. Ignoring them for now if you cannot get them out of default can make sense from a pure monthly budget, and being light on cash flow perspective, but long term avoidance on government backed student loans is not a good idea. You could end up having tax refunds held back and other surprises later on.


If you can answer my question in the comment section below, I can offer additional feedback. Anyone reading this page can post questions and specific details dealing with Northland Group or LVNV Funding.

Share Button
» «


  1. since Midlands suit is over and LVNV has 2 turned over to Alabama attys that have just sent me a simple letter stating the near 6 yr old balance–I was wondering this; the initial Dec 2012 letter was saying $2860.00, so I disputed with credit bureau and atty. No response back in reply to that or my debt validations request(first time hearing from these folks and attys). OK in Jan 2013 I sent the 2nd debt validations requests and got another letter bumping the $2860 up to like $3400.00; now I have the 3rd dispute in February 2013 also with the credit bureaus and the amt was upped again to right at $6,000.00–anything over $3000 cannot be sued in small claims court-so what do u think the big jumps are for and on disability I sure cannot affors that. ALl I can afford max to offer is$600.00 Plus the SOL is 3 yrs in ALabma but 6 yrs SOL for unliquidated accts…they always try the 6 yr (which is up this Fall 2013) but how do I prove it is a 3 yr credit card SOL-then all is ok if I can. Besides this LVNV ONE more is out there froma credtir they do not even list in the coll letter from Bham atty–but the amy is near $800.00 and NOTHING LVNV says matches the EXPERIAN rept anyway-the amts differ and the dates…

    • Michael Bovee says:

      R – You have sent disputes and validation requests to the attorneys collecting for LVNV Funding. If you know that the collectors for LVNV got your request, but they continue collection efforts, at a minimum, you should talk with one of the attorneys I emailed you contact info for to discuss whether any collection violations occurred.

      Settling with LVNV on the credit card debts they bought for the amount you mentioned you are able to come up with is not that common. Can you settle LVNV debts that low? It is possible, just not likely, and less so when the account is with an attorney debt collector. If LVNV were to pull the account back, you may have a shot, but even then the 600 may be too low.

      Dealing with the LVNV entries on your credit report is something else. They are likely the legitimate owner of the debt and are allowed to report to Experian, Equifax, and TransUnion. What is your goal with continuing to send disputes to the credit reporting agencies to try to get the LVNV entries removed? Are you planning on applying for any new credit in the next 2 years? The LVNV debt and collection account showing on your report should age off along with the original credit card lender items after 7 years (7.5 years from the date you first missed your payments). If LVNV is reporting a date of last payment or activity newer than what the original creditor LVNV bought the debt from is showing, that is something to correct. I understand wanting to get to the bottom of the amounts LVNV is reporting as owed in your credit report disputes, but unless you are applying for credit, I would be more concerned about making sure LVNV Funding is reporting correct dates.

      I would not get too hung up on the SOL issue at this point, as LVNV has not sued yet. The debts need to be validated first based on what you shared in your comment.

      • ok todays status is: I finally had to report LVNV to Alabama’s AG to help me;AFter 3 disputes and asking for validities, signatures, etc; they never complied and responded to the AG by saying. “we will close this acct for 6 months” then saying “Ms R needs to send us her proof of disabilty and economic hardship-so I did. Then they also stated that the acct would remain open and collectible on EXPERIAN and others…then they stated that July 2013 was teh final date they could file a judgment-which to me contradicts the previous statements of “closing till 6 months’ which passes teh July 2012…what do u think of these remarks? ALso LVNV wants an Identity Theft Affidavit signed and evn police reports and even my license number-that I have a problem with-even credit cards companies never ask me for the license-so I feel VERY weird-as far as a report-duh–I just found out this was on my file near 6 yrs–so how could I have reported anything…I hope the info I sent on proof of disability n economic hardship just resolves it all. ALSO MCM (again) sent me a letter after 3 disputes stating they wanted my name address, etc of my atty-and if I did not comply in 30 days they would assume I had none–that flat out pissed me off-I never said I did in my validity requests and heck their balance is $300.00 and I made them a $150 offer 2 months back and never heard back and this letter from them never even mentioned that-so what should I do with them (MCM) call, write again, just dont want sued-health is bad enough this all makes it worse with extxremely high BP and Dr says today that tehh stresses have to go now! Thanks Michael for all you do

  2. glen mears says:

    Stop Dealing with the person you are dealing with.
    I had a debt revived from the dead, disputed it and heard nothing except these increases like you stated.
    I contacted the LVNV BBB and they have 10 days to SH** OR GET OFF THE POT in terms of validating this debt. I contacted the Federal Trade Commission who sent this to the Consumer Protection Agency. Anyone dealing with this group should show their deceptive practices to the FTC. The FTC will only pick up the case if enough people complain against them.
    The Consumer Compliance Officer for Resurgent the CAPO of LVNV is Debra Ciapi % 55 Beattie Place Greenville, SC 29601.

  3. I was looking at my credit score on credit karma. I noticed 2 accounts on there from Lvnv. Each one is listed as personal loan. One is for 1600.00 and the other is for 1450.00. I filed bankruptcy in Jan. 2005. I didn’t even have any personal loans after my bankruptcy. They both say there has been one late payment on each. One account says it was open in 2009 and the other 2011. I have no idea what they are. I’m pissed! I filed everything I had outstanding when I claimed bankruptcy. I don’t know what to do. I’m disabled and don’t know too much about this stuff except that I heard they buy old debt and the are scam artists. Can you lead me in the right direction to get rid of them and remove it from my credit report please? Thank you, FM

    • Michael Bovee says:

      Frank – First thing I would do is pull a report directly from the credit reporting agencies and verify that the accounts are appearing the same way Credit Karma shows them. Once verified send a written dispute to the credit reporting agency that has the incorrect information and copy LVNV. Send your correspondence certified mail return receipt requested. Keep a copy of all correspondence. The dispute could state that the accounts are not yours and demand removal. If that does not produce results, post an update and lets go from there.

  4. Yes i too have been hit by LVNV. I check my credit with credit karma and that is when i found it. I went and got a detailed report from the credit reporting agencies and they were on it. The amount they said i owe from a past creditor i could not find. So where do i begin with these people? Never received any paperwork from them and it says it was reported on my report this July 2013. I am clueless of what to do. PLEASE HELP. Thanks LM

    • Michael Bovee says:

      Lisa – Do you have any unpaid debts out there? If so, can you remember the year you would have stopped making any payments on the accounts? What is the balance they are reporting owed? What date does the credit report show as date of last payment, or date the account is set to fall off of the credit report?

      • Yes i do and have a payment arrangement with two already. Just about paid them off. The reason why i decided to pay those two off because the drop off date is not until 2018. The ones I have left drops off in the year 2014 and one to drop off in 2015. The last payment was stated on the report was around 2007-08. The balance on each range from 900-1500. Could they have bought all of them and made a lump some figure out of it. So what do i do about this missed payment they claim i missed in July. It made my credit score drop by 39 points and i just got it raised by paying on the arrangements on time and i also have been paying on student loans that i have never been late on. This is to crazy. Still no documents from this company. What to do? Do i dispute them with the credit agencies?

  5. I recently ran my credit and two accounts I was aware of showed on this report so I called the creditors/collection agencies and settled both accounts that were charged off. That was a couple of days ago. Today I check my mail and LVNV has mailed me a letter stating I owe them from an account I don’t recall with Captial one my balance is 3,871.00 but they are offering to settle in full for 774.22 there is also a disclaimer on the letter that states the law limits how long you can be sued because of the age of this debt, LVNV funding will not sue for it. And LVNV funding will not report to any credit reporting agency. What does this mean? I’m tryin to help my credit score go up to qualify for a home loan and now im hit with this letter and I’m freaking out because the only accounts I knew about I just paid off and settled and this account dis not appear in my credit report. What should I do now in regards to this? Please help.

    • Michael Bovee says:

      Becky – Congratulations on your progress so far! As far as LVNV goes, did you have a Capital One credit card in the past, or maybe one with HSBC?

      The verbiage about LVNV not suing you because the debt is old, or not sending information to the credit reporting agencies, is the result of a hyper awareness this year from regulators both state and federal. Debt collectors and debt owners are adjusting to new operational realities. First determine if the account is yours, then decide how you want to deal with the debt if it is.

      If it is not your debt, you can send a dispute letter to LVNV to stating as much. Be sure to send certified mail return receipt.

  6. I also have LVNV on my credit report, and I’m trying to fix my credit to apply for a mortgage loan too. I am confused as to what I should do. Maybe it isn’t the smartest move, but I haven’t addressed this issue yet since LVNV hasn’t been contacting me to try to collect, threatened me with a lawsuit, etc.. I’ve been researching online and learning as much as I can about LVNV, and I’ve read that I should not pay these crooks a dime. Is that true? I still have 3 years left for this negative mark to just fall off my credit report, and I don’t want to wait that long to buy a house. At this point I don’t really mind settling this debt with them if that’s what it takes, I just want to fix this blemish so I can start raising my credit score. I have been working diligently the last few years to settle/pay off all my debts and this is the last hurdle I need to clear. What is the best course of action for me to take regarding LVNV? Please help!

    • Michael Bovee says:

      Jon – There is no shortage of virtual ink being spilled about how all debt collectors are terrible. Most are not. Most are easy enough to work with (unless being sued). LVNV is one of the easier ones to come to an agreement with. You do need to work this out and get the debt to show zero balance owed if you are going to purchase a home in the next few years.

      What is the balance of the debt?

      • Thanks for replying Michael. The balance of the debt is about $1200 and some change. I’m glad to hear LVNV is not that bad, as everything I’ve read points to them not being very pleasant to deal with which was really worrying me. So I assume the best way to get in contact with them to settle this is via CMRRR, correct? And, is it ok to ask for a settlement for less than the full balance, or do I just wait to see what they offer first? Thanks for the help!

        • Michael Bovee says:

          Jon – Negotiating with LVNV Funding (and others) is best done over the phone. Leave the documentation for getting them to send you what was agreed to in writing prior to paying the settlement. See this report.

          A realistic target for settlement would be between 30% and 50%. There are subtleties to getting the best deal, and things about you (health of credit report etc), that could cause a debt collector to dig in their heals for a higher amount.

          You might want to make the call to LVNV and start with an offer and see where that goes. You do not have to get the deal done in one call, so post more to this thread with what happens and lets go from there.

          • Michael,
            Sorry it took so long to reply. I finally called LVNV and I offered roughly 35% of the total balance (which again was $1230). They countered with $800-something and said that was the lowest they could go, and if it was still too much they would put me in contact with their client who is collecting on their behalf and that they could work out a better deal with me. That company is Source Receivables Management. My call was transferred to them, and the lowest they could go was half of the balance ($615), and would consider the account closed. Of course I want to pay as little as possible but I’m ok with paying half , so I agreed to it in principle. I wanted to get a written agreement first and was told they won’t send out a written agreement via mail, but they could via email. Also, I was told they don’t accept payment via mail either, supposedly because it would only count as a payment towards the full amount and in order for the $615 to be considered paid in full/account closed I had to pay over the phone via check, debit, or credit. I’m definitely not giving them my bank account information, and is it acceptable to communicate an agreement via email? I’m feeling quite apprehensive about all this, because everything I’ve been reading says to get everything done via snail mail and to pay with cashier’s check or money order, so I’m having trouble trusting them. What are my options at this point?

            • Michael Bovee says:

              Jon – Smaller balance collections often will not settle for the best percentages. You did a good job.

              If the settlement agreement is sent to you as an attached document to an email, that should not be a problem. If it is simply an agreement outlined in the body of an email as text – I would not accept that.

              As far as paying, much of what you might read about how to best pay a settlement with a debt collector like Source Receivables or LVNV is dated. Cashiers checks and money orders were the most advisable way to pay a debt collector 10 years ago (or less), but that is just not the case today. In fact, money orders and cashier checks, unless getting them drawn from your account at your bank, are not nearly as simple to track and document if you need to prove payment for some reason later on. I prefer people to set themselves up with a different bank account to pay their settlement agreements with, whether with a check by phone, ACH, or debit transaction. See this report.

              Depending on the date the settlement with Source Receivables is due, you have time to set up a different account at your same bank, but frankly, this is your last account to settle, and given the attention from regulators like the CFPB, to debt collectors like LVNV and who they hired to collect, I just do not think you are going to have any problem. If you do, post about that here. You will have my undivided and free attention to help you correct the issue. That may not mean much to you as a chat on a website, but I really do look forward to that kind of thing.

              The settlement letter as an attachment is the hurdle I would focus on. Once you get it, I would be happy to review it with you over the phone. Let me know.

              • Michael,
                I received the agreement this morning from SRM as an attachment in .pdf form. I read through the article in the link you provided and I think the agreement has everything it needs to have. It states the agreed to amount to settle the debt ($615.02 + a $7.95 processing fee), that the payment will “satisfy the account fully”, and that “a settled account will require no further collection activity”. The only item from the list in the link you provided that was not mentioned is the payment terms (lump sum or payments). The due date they gave me unfortunately is tomorrow (Oct 4, 2013) so I don’t have much time to act. Does it sound like I am good to go, or would you like to discuss the agreement with me first just to be sure?

                • Michael Bovee says:

                  Jon – The letters from collectors like Source and LVNV are pretty standard. But I am here if you want to call and go over this on the phone. I will email you. My direct number is in the sig line of my emails. I am traveling currently, but am available until 4 pm mountain time at that number.

                  • I was reading the advice you gave Jon and I wanted to know the outcome. I am trying to purchase a home and this is the only thing on my credit that is hurting me from moving forward. I haven’t called yet but am thinking of settling. My sol runs out in august 2014 and shows it will fall off credit file but I want it resolved asap. My original debt was $1,680 with AG but Lvnv has bought it when it charged of and in 6/2013 they put a price of $3,294. I wanted to know if you got the out come from Jon and his situation.

                    • Michael Bovee says:

                      Lynn – Are you emotionally and mentally committed to a home already? If not, is there a reason you cannot wait until September? If you are ready to close on a home, can you come up with half the balance currently owed?

                • Hello Jon I woke to know the outcome of your situation I debating on settling so I can purchase a home and my sol runs out in august and should fall off my credit file. I would appreciate your help and find out what happened in your situation.

  7. Karen Karen says:


    I want to buy a house in a year and a half. I have 2 LVNV and the 2 original creditors reporting on my credit report. So what I owe is in my report twice. Is this normal? I owe 2 hsbc credit cards and so resurgent/lvnv bought it.

    Both credit cards were $300 each but since I have not paid they are reporting interest accruing on the non payments. These cards were opened in 2006. One card I ower $535 and the other one $745. Like I said before I want to buy a house in a year and a half. I also want my credit score to be better in 4 months from now because I will be moving, renting a house and you know they always look at your credit score.
    Big question is should I settle the dept for less and demand that they report settled in full? I read on the BBB that some people complained that what was not settled was sent to the IRS so the consumer can pay up on the difference.
    What would look better on my credit report? paying in full or settling?

    • Michael Bovee says:

      It is normal to have your original credit report the many months you did not pay, and that the debt was charged off as a loss. If a creditor sells a debt to Resurgent Capital, or LVNV, that banks entry shows all the negative stuff still, but the balance should show zero. Is that how HSBC shows on your credit report now?

      Once purchased, LVNV will often show up as a collection account, with that same balance owed to them. An yes, this is pretty normal.

      Right now, given your goals of being approved for a rental, and purchasing a home in the near future, getting the debts resolved should be the priority. Whether you negotiate a settlement with LVNV for portion of the balance owed, or pay the full amount, it will not make the difference. Resolving the debt, and getting the credit report to show zero balance now owed, is what will lead to the credit improvements. If it were me, I would negotiate the best savings and settle with LVNV.

      Be sure you are taking care to maintain any positive credit you have.

      I am not clear about what you read regarding LVNV and taxes, but all creditors and debt owners have to follow tax laws. If you are concerned about owing taxes on forgiven debt when settling, check out this report.

      • Karen Karen says:

        Hello and thank you for replying. Yes the credit cards are with HSBC and they do show on my credit report as Zero and sold off. I know one of the credit cards will reach a 7 year mark this year. The other one I am going to settle with them.
        One credit card on my report shows LVNV and the other one is by Resurgent. Are they the same company?
        So when I settle with them I should ask for pay for delete? I will call them tomorrow so they can start sending me settlement letter.

        At the moment I have a secured credit card with Apple federal credit union and a crappy one I got approved for with Credit one bank. I am paying on time and paying my balance off. This has increased my credit.

        Will my credit score go up once the credit cards have been settled?


        • Michael Bovee says:

          Resurgent Capital Services and LVNV Funding LLC are part of the same group of companies I refer to as the Sherman Acquisitions brand. Is the LVNV reporting for the same account that Resurgent is reporting? If these are duplicates you should work at getting one deleted.

          You can ask for them to delete the negative if you pay, but don’t have high expectations they will. But they are required to report the debt is resolved and zero balance owed.

          Do not expect a credit score increase from settling the debts immediately. The benefit to your credit will be the debts are resolved, which will improve your debt to income for buying a home. It will take time for your score to see improvement from resolving past debt with the thin credit you have right now.

          • karen karen says:

            I owe hsbc two credit cards. One of the credit cards is listed with LVNV and the other one is listed under Resurgent Capital services. They are two different credit cards so no they dont show up as duplicates.

            One of my credit cards reaches the 7 year limit next month. I was thinking of just paying the other one off and not paying the 7 year limit one off. What do you think?

            Also I have tried deleting some credit inquiries from my credit report. I have written letters to the three credit bureaus and to the creditors that did the inquiries on my account. I have gotten back letters from them but they just tell me to contact equifax, transunion and experian because the creditors claim they cannot do anything.

            Is there a better way to delete these?

            • Michael Bovee says:

              If it were me I would leave the one scheduled to fall off next month alone. Which one is the one that is not falling off soon – LVNV Funding, or Resurgent Capital?

              I would not worry about getting any soft inquiries off of your credit report. If these are hard inquiries, what are they for?

              • karen karen says:

                The one falling off is LVNV. The one staying is Resurgent. I think I will call to pay them after the LVNV falls off.

                They are hard inquiries for credit cards. I have 15 :(

                • Michael Bovee says:

                  Those inquiries will lose their potency, but they are legitimately there.

                  You have 2 revolving accounts reporting right now, so I would not look to obtain any more cards for a while.

                  I think waiting to resolve the debt with Resurgent until the LVNV one falls off is a good plan, but there is nothing technical to hold you back if the SOL to sue has passed in your state.

                  • karen karen says:

                    I also have furniture from Ashley furniture reporting on Experian only. A car note that reports on Experian and Equifax. Not sure why these two do not report on Transunion.
                    On Transunion only two small credit cards report on it. I am trying to get my auto to get re financed by a credit union so they can report to all 3 credit agencies. The bad thing is that I am not good with Chexsystems. I have to clear my name with them too.

                    I now realize the importance of keeping your name clean.

  8. My credit has been building good…but for some reason u get letter from LVNV funding saying i owe Capital one bank..doesn’t say year or nothing..just balance n settlement balance in full…i have no clue to this..i don’t remember ever owing capital one..i want to clear this up but scared to open can of worms ..please help

    • Michael Bovee says:

      JoAnne – Have you had an account with HSBC?

      • i have no clue what HSBC is…. its like i want to call just to settle but as i read some other questions up there im not sure i want to call…. id like to have this removed no matter what but dont know how to start my own investigation on this… grrrr… this is frustrating in so many ways….. if i owe ok ill pay but i want it removed and off my credit report…

        • Michael Bovee says:

          HSBC is a bank. They issue credit cards and Capital One sucked up some of HSBC’s credit card portfolio.

          Are there debts you fell behind on paying in the last 7 years? You can certainly call LVNV and get more details about the debt they are trying to collect on. If the account is not yours you can dispute that with the credit reporting agencies, and copy LVNV.

          I would call them and get more details about the debt they are collecting first. You could ask what address they have associated with the account to compare that with anywhere you have lived etc.

          Post an update to this comment string with what you learn and lets go from there.

  9. no i have nothing… i have never had a credit card in my name up until a few months ago … im thinking maybe this is something from when i was married… there is nothing i can think of or remember..grrrr…. but the amount of 400.00 that they say will take care of the amount is that what i have to agree to pay on???? the only thing that shows on my credit report is from almost 7yrs ago the emergency room/dr bill from when i had no insurance… thats it… have i got my credit score good yes i have and after all these years i finally said im going to apply for some credit cards…and yes i did get approved for a few and since then i get my statement and pay it off…i dont allow myself to say hey..get what you can and pay slowly… nope not me…so this is why im so confused… but will this take my balance to zero once i paid them ??? will this get removed from my credit report???

    • Michael Bovee says:

      JoAnne – Please confirm a couple of things for me:

      When did LVNV Funding start showing up on your credit report? With no other collection account on your credit report to tie the date of last payment to, what is the date of last payment LVNV is reporting?

      Were you an authorized user or co-applicant on your prior spouses credit cards? If the account is not yours, you have no reason to pay anything, and should consider disputing the debt and the credit reporting entry.

      • i actually just pulled a new credit report and i have nothing on my credit report at all from lvnv…. i just got something in the mail from them saying i owe capitol one…. it doesnt state a date of this account or anything…. the only thing im finding on my credit report that shows anything that i owe is from those hospital emercency room which only adds up to 2100.00 thats it…there is nothing else on my report….. i asked my exhusband if we or he had anything from capitol one and he said no… so now im not sure what to do on this….i no my memory isnt that bad…if i dispute this and they somehow find that i need to pay this will it then make me pay the full amount of 1700.00 or still the 400.00 that they offered to me…

        • i just spoke to LVNV and i made agreement to pay on the 410.00 that is owed from a few years ago…. they were very nice and they said as soon as my payment clears they pass it on to the actual collector of this and they send it to the following credit reports as it being settled in full….. they said it will be off my credit report as soon as all ends are finalized… ugghhh i sure hope that this settled in full doesnt look bad on my credit report….

  10. I have recently received a summons for court from a debt being collected by LVNV. I’ve been working with a lawyer who finds everything extremely odd especially since the account does not appear on my credit report anymore. There was a judgment originally in my home state in 2008, but since then I have heard nothing until getting a summons two weeks ago. The last date i made any type of payment on the original account was in April of 2005 which i assume Bank of America then sold off the debt to LVNV. To me it seems this is far beyond the Statute of Limitations especially since everything I can find online says it goes by Deleware’s laws as BOA is incorporated there.

    I currently live in NYC and am wondering exactly what I should do. The lawyer, in essence, has told me to answer an question the delivery of the summons since the original summons was simply left on my door, as well as the lawsuit being outside the statute of limitations. Any advice you guys can give me?

    • Michael Bovee says:

      Ryan – I am not clear on something. You were sued and a judgment entered in your home state in 2008 on this same account? Is the current action you received in NY a brand new lawsuit, or is it an attempt to domesticate an existing judgment in NY so legal collection efforts can proceed?

      I have more feedback to offer, but need clarity on the above first.

      • In the summons it says the following

        “On March 14, 2008, in the Circuit Court of the Count of Winnebago, County of Illinois, judgement was entered in favor of the defendant (my lawyer believes this is a typo) in the sum of $3,146.81 with interest from March 14,2008. No part of said judgment has been paid although duly demanded. Wherefore, plaintiff(s) demands judgement against said defendant(s) for the sum of $3,146.81 with interest thereon from March 14, 02008.”

        It seems to me from that wording, if they do not mean in favor of the defendant, that it is not a new lawsuit but rather a way to domesticate it as you said.


        • Michael Bovee says:

          Ryan – It appears the collection suit filed in Illinois was within the SOL, and in any case, the time to raise that defense would have been back then. Judgment debts have a different, and often far longer SOL. It looks like Illinois SOL for judgment is 20 years.

          Challenging the delivery of the summons will not get you too far.

          Can you raise the funds to settle with LVNV Funding?

  11. I have recently got a letter, from who? I don’t remember. I did skim over it and it said that a lawyer was not called yet, but it was asking me to pay a debt for somebody, I think it was Capital One bank. I didn’t read that far. I threw it in the trash. I looked on my credit report and found LVNV Funding listed as of Oct. 7th. Should I contact these people when I get another letter?

    Please email me directly, it would be most helpful. Thank you.

    • Michael Bovee says:

      Nikki – You can always call LVNV directly and inquire about any debt they have in their system that relates to you.

      What is your goal with this account?

  12. Dian Miller says:

    The Consumer Compliance Officer for Resurgent the CAPO of LVNV is Debra Ciapi % 55 Beattie Place Greenville, SC 29601

    Is this where you can send a complaint to?

    Dian Miller

    • Michael Bovee says:

      Dian – I would call Resurgent Capital Services direct at 1-888-665-0374 to verify the address and to whose attention you should send any correspondence.

    • wmburgbear says:

      I would send the letter to the Better Business Bureau if they are harassing you like they did me to the point they ruined credit monthly until I stopped them in their tracks. The LVNV funding office has had over 100 complaints resolved each month since June. IN fact their credit score is now a B+ vs A+ as a result of people asking them for help resolving the complaints that Resurgent so promptly aggressively using gestapo tactics when collecting a debt. Often the debt is too old to collect.
      Mr. Bovee the address is correct. I do not know if your diverting these letters on behalf of LVNV but I know what worked for me. In less than thirty days the issue is resolved with the BBB. In addition, you are not treated as a criminal by LVNV when you call to settle this matter.

  13. I just received a letter from Convergent Outsourcing listing LVNV Funding as the creditor. The original creditor is Capitol One, whom I did have an account with more than 10 years ago. They’re offering to settle the account for 35% of the original debt. However, neither Capitol One nor LVNV appear on my credit report, I assume due to the age of the debt.

    After verifying the account I would be willing to pay the debt in full to settle the account. However, I don’t want to wake “sleeping collection agencies” and I also read that paying them makes the debt current where it can then be reported on my credit report, which I don’t think would be beneficial.

    In a case like this, why WOULD I pay the debt?

    If I choose NOT to pay, do I need to write them a letter disputing it due to the age of the account?

    Thank you.

    • Michael Bovee says:

      Crystal – If this account is indeed beyond the 7.5 year credit reporting life span, than it is likely beyond the SOL for CapOne, LVNV or Convergent to sue you in court to collect (they could sue, but your defense would be simple and to the point as “time barred”).

      Reasons for settling or not this far down the line will often boil down to personal choice. If you wanted to settle you could probably negotiate a better reduction on a debt this old. If you did not want to settle you could consider sending a cease communication letter that would stop collection attempts – which is typically only a good idea with old debts like yours appears to be.

      Your thoughts?

  14. I have two judgments on my credit reports. The Plaintiff in the first judgment is listed as ARROW FINANCIAL SERVICES LLC and the Plaintiff in the second judgment is listed as LVNV FUNDING LLC ASSIGNEE OF SEA. We are going to refinance our mortgage and our lender has told us we can have these paid at closing or we can pay them prior to the close. My question is I am now being contacted by FREDERICK J HANNAH & ASSOC about both of these accounts. I have not read anything good about Frederick Hannah and I am very reluctant dealing with them. I asked them to validate they are lawfully able to accept payment on the two judgments. They have yet to provide that information. I am inclined to settle with them but only after receiving a letter stating the settlement amount along with the fact payment of the agreed amounts will settle both judgments along with the court case numbers. Will that cover me in the event they are somehow not legally able to collect on these 2 judgments?

    • Michael Bovee says:

      Mike – Hannah and Associates are not difficult to deal with. They regularly collect debts, and I know them to collect for LVNV (who also happens to have bought much of the Arrow Financial Service debts). I am not sure what you sent or why regarding their validating they are lawfully able to accept payment, but you can call LVNV/Resurgent and ask them to confirm if Frederick J Hannah and Associates are who they have the accounts placed with. The title company would be sending a demand request to these same entities if you were paying them off at closing anyway.

      You definitely will want to get any agreement to settle written up in advance of paying what you are able to negotiate.

      • I guess I just spoke with the wrong guy on the wrong day then because all he wanted was the full balance and wanted nothing to do with negotiating.

        • Michael Bovee says:

          Mike – It is possible that you went about this the wrong way; said something that changed how your file is viewed; or your collectability score is really high.

  15. I recently received a collection letter from the Northland group and i really dont want to deal with a lot of crap all my accounts are in good standing and this debt of 6,800 that is now 900 i do not owe, i had a bankruptcy over 10 years ago. I dont know if i should call them i them are just ignore this letter. sincerely Sharon

    • Michael Bovee says:

      sharon – Is there a Northland Group collection account showing on your credit reports? Any other collection showing at all?

      It would be good to know what they think they have to collect on. If it were me, with all the identity theft that happens, I would want to verify that this is perhaps a zombie debt trying to come to life from the old bankruptcy, or something else.

      You could call Northland Group and try to get details that way, or write to them requesting more information about the debt in order to determine whether it is yours, and whether the debt is legally collectable (discharged in bankruptcy, or passed your states SOL to legitimately sue). If you do write to them, send your letter certified mail, and return receipt requested, and save a copy of the letter and the return card you receive. Those may come in handy later depending on what you learn.

  16. recd ltr from Northland group for paymt on debt owned by LVNV , old Cap one acct charged off 2005, SOL in my state is 6 yrs, states no last paymt date, credit report does not show cap one acct or LVNV or Northland, should I ignore or send cerified ltr for debt Validation, they might lie anyway, I am distressed, will it ever end? Will they eventually sue?

    • Michael Bovee says:

      carol – If you are certain that the debt is beyond the SOL, and you have not intention of paying it, if I were you I would not send Northland Group, or LVNV, a debt validation letter. I would send a cease communication letter to both, certified mail return receipt requested. But only if I were certain that the last payment I made on the account was longer than the SOL for my state. Sending a cease communication letter limits how a debt collector can contact you to the courts. But you generally remove that concern (being sued), when the SOL has lapsed.

      If you are sued, post an update here and we can go from there.

  17. I recently received a letter from the Northland Group attempting to collect on an old credit card from Plains Commerce. I sent Northland Group a debt validation letter requesting them to validate debt, as I suspected this CC was beyond SOL. I received a letter the other day from Resurgent Capital Services that simply states, “Based upon the research conducted by the Customer Service Department, the above referenced account has been closed”.

    I am at a loss as to what exactly Resurgent is attempting to say, and how I should proceed? I am attempting to pay off valid debt and clean up my credit report as I am hoping to apply for a mortgage later this year.

    Any and all assistance would be greatly appreciated.

    • Michael Bovee says:

      Dewayne – Was Resurgent responding to the debt validation letter you sent to Northland Group, or to them directly? Did you send a credit reporting dispute? When was the last time you made a payment to the Plains Commerce account?

      What other debts are listed as collection accounts on your credit reports, and when were those last paid?

      • Michael,

        Resurgent was responding to the debt validation letter I sent to the Northland Group. I just looked at my credit report and it looks like the last payment was made in 2006. I did not send a credit reporting dispute. Should that be my next course of action? Northland group also sent me a dunning letter around the same time for a Macy’s account. I am working directly with Macy’s on this account, since they still OWN the account. Does that sound like the correct route o take?

        Thank you for responding to my inquiry.

        • Michael Bovee says:

          When in 2006? If in the last few months of that year, and you add 7.5 years, there may still be a couple months of breath left in this old debt. But yes, disputing it as too old to show on the credit report with the bureaus, and with Resurgent, would be the next step.

          How long ago was the Macy’s account last paid? What state are you in?

          • Michael,

            The first late 30 shows in November of 2006.
            Macy’s was one of my oldest credit lines (1996) and due to loss of employment in mid 2009 (unable to collect unemployment), my account was closed. I spoke with a CSR from Macy’s and I am looking to pay them directly next month, as they appear on my credit report and not Northland Group. I am hoping to possibly wok with them to reopen the account. Macy’s was last paid in September of 2009. I lost my job in July of 2009 and was out of work for almost a year. I reside in NJ.

            I am still not understanding what the letter Resurgent sent me is actually saying.

  18. Hi, Mr. Bovee. I hope you can help me on this.

    I have just received a letter from Scott, Parnell & Associates PC…regarding a debt that LVNV has acquired.

    It is a valid debt that I did not pay due to job loss. I am in a position now to pay it, but it has went up dramatically. Original debt was $2500 in 2011. It is now $3900 in 2014.

    The Attorneys letter said “no attorney has yet reviewed this. If you fail to respond our client may consider additional remedies.”

    2 questions:

    1. Should I contact LVNV or the Attorneys?
    2. What should I reasonably expect to pay?

    • Michael Bovee says:

      Steve – You can call LVNV to negotiate, but it is likely they will refer you to the attorney anyway. A realistic expectation would be 40% to 60% of today’s balance. How long would it take you to pool together that amount?

  19. What about Jefferson capital? I have been working for two to three years to rectify my credit since my ex husband destroyed it. I had an Aspen Credit Card and I received a settlement offer from them and I called and accepted the settlement. After I paid the settlement Jefferson capital started trying to collect the rest of the debt. You cannot reach anyone at Aspen Credit card. I emailed them from their website and was told that my account was now being serviced by another company, which is Jefferson Capital. I sent them a reply that it should have never been sent to Jefferson because I paid them and they sent the same email. Jefferson Capital reports to the credit bureau that I made the payment (that I made to Apsen), but that I still owe the remaining balance. I disputed the debt with experian and from the investigation they reported Jefferson capital is in compliance with regulations. Now my credit report says it has been disputed by me and it has said that for at least two months. Shouldn’t it be taken off of my credit since they did not post results of the dispute within 30 days? The original debt was in 2008 and Jefferson has been trying to collect since March of 2012 the month after I paid my settlement to Aspen.

    • Michael Bovee says:

      JC- Do you have a copy of the settlement offer you received, and the subsequent proof of the the payment that met the amount offered, and any expiration? I would probably escalate this to a complaint with the CFPB if you do have all of that documentation, and perhaps even if you don’t.

      • I have all of the proof. The letter from Aspen, the bank statement where it was paid to them and the amount paid.

        • Michael Bovee says:

          Jc – It is up to you and your level of patience, but if it were me, I would write to Jefferson Capital one final time, with a copy of the proof you have, and demand that they remove their credit reporting of a bogus debt. Keep a copy of what you send and use certified mail return receipt.

          You could of course skip that step, and jump right to filing your complaint against them with the CFPB here.

  20. Mr. Bovee,

    I have been reading your post and have an issue with LVNV Bank and Chase reporting the same debt. The Chase listing shows ‘Potentially Negative Closed’ and the LVNV listing displays ‘Potentially Negative.’ Is it legal to have both listings of the same debt on the credit reports? Two, should I even bother with them since the deletion date is set for July 2014 (The rep for LVNV stated this on the phone today)? And last, since I’ve paid or settled other collection accounts; would it be wise to sidpute them to have them deleted? Thank you



    • Michael Bovee says:

      Irvin – Yes, unfortunately both the original creditor, and the current debt owner can report the unpaid credit card. If the credit reports are correct, Chase should show a zero balance owed, and LVNV should be showing the balance owed them.

      Before I answer number 2, what credit goals are you looking to accomplish between now and July?

  21. I have a 10 year debt $750 that now lvnv collection agency has written me a letter wanting to settle for two payments of $75.00. Everything has been wiped from my credit report already. I have nothing on it. Should i send a validation ltr or just ignore them? If i send a validation letter will it open a can of worms? thanks

    • Michael Bovee says:

      kathy – Was the debt the result of a judgment? If not, and after 10 years, it is highly likely the debt is passed the SOL for you to be legitimately sued. Sending a debt validation letter to LVNV would not open a can of worms. Ignoring the settlement offer LVNV sent is an option too.

Share Your Questions, Comments and Concerns