Can I Call Target National Bank to Settle Instead of the Debt Collector
I have gotten letters saying I will be served for a $5500 debt to target national bank. Can I call target national bank to try to settle without court?
Can I call target national bank to try to settle without court?
—Jennifer
You can negotiate the Target credit card at anytime. If your account is more than a few months behind, you are likely dealing with a debt collector hired by Targe, or perhaps a debt buyer. In either case, calling Target directly to settle the debt will likely result in being referred to whoever is collecting now.
It would help me to know more about your situation.
When was the last payment made on the account?
What is the current balance?
Who is contacting you to collect the debt?
What state do you live in?
If you can answer those questions in a comment reply below I will respond with more helpful feedback.
About Michael BoveeMichael started CRN in 2004 with a mission to provide people in need with detailed debt and credit help and education. Michael has participated as an expert panelist in federal consumer protection rule making, collaborated on state law changes governing debt consolidation, has worked as an expert witness in court matters related to the debt relief industry. He is available to speak with you about your financial struggle and helps people resolve their debt problems daily.
Hello, I recently settled on my Target cc through Target directly I only owed $430. I lost my job and they tacked on interest and fees which made that total. I settled for half that amount. I’m currently trying to get a home. They said they are updating my credit report to show zero balance. This was reporting since 08. Im in Tex so there was no suing involved. Im afraid this will hender my score since I settled. Im lost.
Was it that you stopped paying in 2008? It should not be on your credit reports if that is the case.
I was curious what number did you call to settle with target?
Good Afternoon Michael,
My name is May . I reside in California and I lose my job and steady income has varied recently. I missed three payments on my Target Card and discovered my account has been closed and is now deemed a charge off? Is it possible for me to settle with Target and have the charge off removed completely or do I have to ”
ride” the next 7 years with this charge off on my report. I am attempting to purchase a home? Also there is a
Joint owner on the account, is there any way I can remove him since he was not at fault Thank you kindly. May D
If the joint owner is a co-borrower, and not an authorized user, they are normally going to be stuck with the credit reporting.
You can settle the Target account and get it updated to show resolved and a zero balance owed. That will stay on your credit report for the 7 years, but will not inhibit your options with getting a home loan. Not if this is the only blip on your credit.
I lived in KY and was served papers tonight from TD Bank for Target over a $1,198 credit card bill. I’m not questioning the debt and want to settle with them, but I’m not sure the appropriate course of action. I’m locked out of the my Target card account and changed banks this Spring so I’m not 100% sure when the last payment was (I want to say January 2016 but can’t be sure). To my knowledge the debt never went to collections, just straight to the court filing. (The paperwork I received states I have 20 days to file an answer, but no instructions as to a court date, etc.)
My question is this. Is it acceptable to contact TD Bank’s attorney listed and try to work out a payment plan or a settlement? I could likely have the amount paid off within 2 or 3 months (I just got a promotion and substantial pay increase at work since I graduated with my Masters degree allowing me to do so), but would they go for this? If so, would that keep them from going the court route?
Because Target already file the suit they are going to follow through with it. If you offer payments in a 2 to 3 month time frame Target’s attorney will typically want you to sign a consent or stipulation to judgment. You can often avoid this by negotiating a lump sum that you pay in one shot, or by filing an answer to the complaint where you generally deny the allegations (follow all court protocols) and buy yourself the time to come up with the money all at once over the 2 months that you need.
You will not be able to work this out with Target or TD Bank now that the attorney has it. You will want to contact the collection law firm directly.
Do you know how judgements from Target National Bank will be handled now that they liquidated? Did TD Bank take ownership of the judgements? If so, would a new judgement have to be filed can TD Bank pursue collection efforts and possibly renew these judgements at the 10 year expiration date?
TD bank would typically not have to file any new judgment. They would be the successor to the original one Target got.
I settled and paid in full a debt of about $3k with Target 7 years ago. I recently found out that my home equity loan was denied because it’s showing on my credit report as a settlement. Is there a way to remove it? It’s been 7 years so I thought it wouldn’t be reflected.
A paid Target settlement from 7 years ago is generally not going to cause a HELOC to be declined. Are you sure it shows as resolved?
Can you tell me the date you last paid Target prior to your settling the account?
Hi Michael, I had a debt with target about 2 years ago, I just recently paid it off this march in the amount of $730.09 through a third party debt collector known as IC SYSTEM, today I called the target line to activate my red card and they told me they couldn’t do it for me because there’s a balance on my account and I told them that I have paid it off and they said they have not received it. My question is, do you know if IC SYSTEM is actually a third party debt collector for target ? And if not, what should I do? Call IC SYSTEM? Call Target again?
IC Systems is a legitimate debt collector, and they do collect on Target accounts. Do you have a settlement or payment agreement in writing from IC? How did you remit the payment to them? What day in March was the payment processed?
Hi there. I have debt with a target credit card of $1000. Midland credit now has it. The debt is from 2008 obviously it’s 2016. What do I do? Please help. At the bottom of the letter it says they can’t sue because of the age of the debt and paying it or non payment will not affect my credit score. Thank you
K
What would you like to do about it? You can settle for a good savings, but this debt cannot be sued upon, and if you check your credit reports, you should not see it there either.
I had a target store credit card, the balance is around 3,700$ The last payment I made was last year. I never received any letters from a debt collection agency. I got a letter in the mail last Thursday from a law firm asking for a default judgment against me, I never received a summons for a court date. I live in Massachusetts.
I would talk with an experienced debt collection defense attorney in Massachusetts first before quickly determining your next step. I can send you an email with a list of all the attorneys I know of with the experience you need.
Your options could include:
Settling the Target account for the best savings possible.
Filing an answer and defending the suit with an eye on buying time to save up to settle if you do not have access to enough money now.
File and defend to a dismissal (not all that common with original creditors suing).
How much can you raise to offer as a settlement on short notice?
Hi Michael,
I have had a credit card from 5+ years ago. I was unable to make a payment on the card and of course the next bill seemed to triple. Once this happened I was unable to make a payment and it just kept getting worse and worse. Years went by and I got the typical calls and letters in the mail about owing and that it would go to a collections. Recently I have noticed that my paychecks have been garnished $300 a check ( $600 a month) I owe around $5,500. I have not received anything in the mail or call that this would be taking place. I actually had my corporate office investigate to see why the money was being garnished. I am planning on paying this off in full come February but is there anything to do in the meantime? I am unable to live with $600 being deducted from my account.
Call the court where the judgment is entered and ask the clerk about the process for you to formally contest the garnishment. If you are fully or partially exempt you can reduce or eliminate the amount of the garnishment. If your successful you could have an easier time of settling for a lower pay off amount in February.
Thank you!
Hi Michael. I have an old debt for Target National Bank. It is less than 1,000.00. The account went to collections with Midland Credit Management. They sent me a payoff offer and when I went online to pay it in full…I read nothing but negative and scary reviews about this company. I thought I should just pay Target up front, but since I am trying to buy a home, that wouldn’t take MCM off my credit report. What should I do?
Midland Credit Management is not scary. They are one of the more painless collectors to settle with in my view. You will have to resolve this with them, as they own your Target account now.
You will not likely be able to get MCM off your credit at this point. But you can expect them to update your credit card debt with the fact that you owe nothing on the account anymore once you pay. That will help your credit and your ability to get a home loan.
I had an account with Target under Retailers National Bank. It has changed hands a few times and now TD Bank is suing. They are using a lawfim Rausch.Sturm, Israel, Enerson & Hornik. The plaintiff is stated to be TD Bank as successor in interest to Target National Bank. As I said before the account was opened under Retailers National Bank, and had a different account number than they are suing under. I’ll call them #1 and #2 .The number of #1 changed when it changed hands/names one of those times. I wrote the lawfirm asking them to prove they own or have the right to sue me. They sent back a notarized paper from someone at Target Corporate Services, saying that they are suing for TD Bank & that TD Bank owns it and that I opened the account under account #2. Also an assignment and assumption sheet but it doesn’t have anything about the account number change. Also my credit report says I opened the account in 1999( Retailers still owned it) and the account number is account #2. No mention anywhere of the old account number. Also no mention of Retailers Nat Bank. Can they win even though they aren’t suing under the original account number. Can I win for this reason?
Your chances for beating the Target lawsuit by TD Bank are better discussed with an experienced debt collection defense attorney in your state. You can usually get an initial consult at no cost. Post the name of a nearby larger city and I will email you contact info for any in the area I know of.
I would not have much optimism for winning my case if all I had to go on was the account number.
I lost my job in 2009 and signed up with a debt management firm to negotiate a debt settlement when my creditors wouldn’t agree to one until I got back on my feet. Have successfully paid off $15k in debt, however, the first debt that was settled was for a Target card for about $300.00. That was settled in September, 2009. Every spring I receive either phone calls or letters from different collection agencies trying to collect on my outstanding debt to Target. I send them the settlement information and don’t ever hear from them again until the following year when another company calls to collect on the debt. Today I received a call from Midland Credit Management for the same debt, but this agent was more helpful with information. His company purchased the debt from Target National Bank in November 2011; this account had been charged off by Target in May, 2010. He also gave me the original card number. My question to you is this: is there something I can do to get Target to stop collection agencies from calling me or hiring new ones? Also, Midland posted a negative comment on my credit report regarding this making it appear that the debt is new. What can I do to get this off? Thank you in advance for your help!
Carole – Who was the debt management company you hired? Have you had contact with them about this issue? What did they say? Do they have the documentation about the settlement they negotiated with Target? Any file notes with dates and reps exchanging dialogue?
Post your answers and lets go from there.
Also, in general, for any debt there is a 7 year limit, I understand. However, each new collection agency is reporting the debt to my credit and posting it as the year in which they aquired it, so it looks like I have recent bad debt. How can I get this removed if the original debt is in fact more than 7 years old? (and result of divorce)
Melissa – I have a post up dedicated to aged credit reporting: https://consumerrecoverynetwork.com/question/collection-accounts-age-off-credit-reports/
Post a comment with the names of the debt collectors that are reaging the accounts on your credit reports, and how old the debts are, but on that page. I can offer feedback after that.
I had a Target credit card which, through a series of unfortunate events, went to collections in 2006. I now have a judgement, which I was not present to defend against because when I got the letter (which seemed bogus) I called the court where it was stated to be heard and they said it was not on the docket. Now, 2014, I am trying to sell my homestead and the title company says it will not close until Target is settled, if I don’t then they will pay it in full from my equity. Texas Property Code prevents this yet I am stuck….any suggestions on what I should do? Especially given that Target National Bank closed and liquidated March 2013? Thanks so much!
Melissa – How much is the Target National Bank judgment for as of today (adding any interest the court applied)? Has the title company already send a demand request?
I read your comment as some irked to the point of wanting to fight this, and there may be ways to do that. But most people I have worked with over the years in your type of situation just want to sell their place and move on with their goals. Which is it for you? The answer will impact additional feedback I have to offer.
Thank you, Michael. The AJ is saying $4100 is owed, I’m not sure about any accrued interest or fees since. I am not sure if the Title Company has sent a demand letter or not. I don’t want to “just pay it” since I don’t agree with the debt in the first place and more importantly, Texas Property COde states that homestead/equity from homestead is exempt from this type of AJ. I have tried calling multiple numbers to contact the attorneys listed and Target National Bank….with no luck.
no, title company has not sent demand.
melissa – I am going to suggest you run your scenario by an experienced debt collection defense attorney. There are several in Texas. If you post the name of a larger city nearby, I will email you contact info to a few you can choose from.
Hi I live in Chicago,il
I did want to mention the attorney – freedman Anselmo Lindberg LLC
Josie – Is Target/TD Bank named in the lawsuit as the plaintiff, or is there another company name as plaintiff? What do you mean by settle for “a lump sum with a bonus”?
Yes they are named as the plaintiff. What is weird is that I got the “Trial Call Order” through regular mail, I would have thought they wanted some guarantee that I received the order.
I mean that I’m going to come into some money and I could use that (bonus).
Sorry I didnt realize i started a new thread
That’s okay. I kept this one in the comment string.
I would typically estimate Target settlements at 50%. But now that you have been sued, they are thinking they have the leverage, and they do. I would still target 50%, and start any offer at below that, but with a realistic expectation that this may settle for higher, perhaps much higher.
Here is a good article to read about negotiating a debt when sued (with a good amount of comment exchanges that are equally instructive).
Hi and I’m back. I looked through all my email and I now see that it first went to a debt collector (Alliance One) and than went to the firm that I listed above which is suing me now. I haven’t called them yet but I wanted your opinion. Does that change anything? I’m in the process of looking to borrow money so I know what is my high.
Josie – It does not change anything from my perspective. It just means Alliance One was probably acting as contingency collector for a couple months; could not settle or collect anything; the account got pulled back; and then dropped into a different collection bucket. Normal stuff.
It’s like you said they are asking for 80% and that’s after a lot of back and forth for 30 min. I’m going to try again but what does the letter need to state so they don’t come back and sue for the rest?
Josie – Here is a report about what to look for in a written settlement deal: https://consumerrecoverynetwork.com/debt-settlement-letters-agreements/
HI I got my letter and it follows the outline in the link.
So I think it’s fine but wanted you to review the body of the letter. It states the following: Freedman LLC are debt collectors for the captioned creditor. Pursuant to our recent communication, this letter will confirm that we have authority to accept as settlement for the captioned matter the sum of $6200 to be delivered to this office on or before 02/28/14. In the event the payment is received after this date, the offer will be withdrawn absent any writin confirmation from our office to the contrary. In exchange for your timely check in the above amount, we will issue (after clearance) any release an satisfactions necessary, or dismiss any pending proceedings. Please have the check payable to our client and forward same to my attention via one of the following payment options.
My other question is that I plan to provide a cashier check and i have read that you should get one from a bank that you don’t have an account. Is that really necessary?
Thanks for all of your help.
Josie – I would be good with that verbiage if it were me in your situation.
Where is it you are reading about not using your own bank to issue the cashier check? I disagree and encourage the opposite in most situations. Here are some reasons why:
You are resolving the debt, so there is no call for concern about your bank account being tapped for any later payments (where an error may occur).
You are already engaged in a formal court proceeding. There really is no room for undocumented collection behavior at this point.
The debt collection industry exists in a high level of scrutiny today. Short of an obvious scam, your bank accounts are not at risk from debt collectors without a judgment.
And the biggest reason; You want easy access to proof that payment was made and processed. Your bank will generally offer the quickest, and most convenient, access to proof of payment if you have to correct a collection mistake later.
You can run this through an experienced consumer law attorney in your state in order to gain more confidence with how you are proceeding.
I can’t remember the website but I had read that as one of the items to do when sending a check.
OK so final question I was taking to a fried who advised that it looks like I already have a judgment against me as they case has already gone though “Case set on Default Call” and it’s now at “case set on Prove up Call”. I did some research and some sites say yes and some say no. If it had gone through judgement and the next court date is 3/25/14. Do I have any recourse to get the judgement reversed?
Josie – You should run all of this by an experienced debt defense attorney in order to make certain all of your goals are being met. Even it costs you a little bit, if not having any judgment in the court record is your primary goal, you need to make sure you are progressing correctly with this. If you want help locating one, send me an email with the name of a larger nearby city. I will reply with what I find for attorney practices focused on debt defense.
Yes, there are ways to get a judgment set aside or vacated (if that is what has occurred). But consult an attorney about this angle, not the internet (not that there isn’t good information on sites like mine, and others).
Hi hope you ca help- I received a trial call order for a target card(TD Bank) out os Illinois . I own a home with little equity and my car outright. I have other cc which i have been paying but it shows i’ve been slow paying on house and remaining cc. I stopped paying in early 2013 and owe them $7200. and i want to do a lump sum payment with a bonus. Based on this where should i start negotiations and expect to end up. I just dont want a judgement. Thank
I do not own property. I can come up with up to $500.00 they won a judgment on 04-07 but can not find out who has this bad debt what are my chances of settling this
You should first contact the attorney that was hired to sue you. After this much time they may not have the ability to work out any arrangement with you. You could also contact Target directly if they were listed as the plaintiff in the original collection lawsuit. If another company name appears as plaintiff in the court record, it would be a debt buyer, and you can contact them directly.
I just do not see judgments of this size being settled for 500, and certainly not if Target still has it.
last payment made in 2005 current balance is $5200.00 nobody is contacting us but pass due judgement we are trying to settle from target visa and we live in pa/
How collectable will you look to them? Do you have other open accounts on your credit report that are being paid on time? Own property?
How much are you able to come up with to settle the Target judgment?
I have been sued by Target credit card account for sum of $5683. The account is now with Javitch, Block, and Rathbone. I live in Indiana. I have been paying $100 on the account every month and the last payment was made May 2013. Looking for advice.
Lindsey – If your 100.00 payment was less than the required monthly minimum, your Target credit card was charged off and dropped into the debt collection pipe line. Javitch suing in order to collect, even though you were still paying what you could afford, is not all that uncommon.
What is your goal for resolving this account? Can you tap some resources to raise enough cash to settle? Are you hoping to get an affordable monthly payment set up? Do you have limited income situation?
My goal is to take care of this and put it behind me. I called the law firm yesterday and asked how I could settle it. They told me I would have to pay the full amount in lump sum. Obviously I do not have that or I would have already taken care of it. I am hoping that they will offer an amount to settle. What is a reasonable amount to settle this? They say that they will not consider a monthly payment arrangement. I am on a limited income situation as I have a monthly budget that I try to stick to and others debts that have to be paid. I want to avoid court if at all possible. I am suppsed to call them back in one week to discuss amount I can pay.
Settling accounts for less, when already sued, can typically range between 50 and 100%. The lower end is something I see apply more to hardship situations where medical issues, unemplyment, income limited to SSI occur. Target credit card collection lawsuits are ones I have targeted at 70% lump sum over the years.
If all you can do is make monthly payments, you will likely end up with a judgment through stipulation or consent. You wouls still need to get them on board with the monthly amount, and I am sure the 100.00 monthly was all you could manage before, but they may not want to hear that. You may need to participate in the court process in order to get a monthly payment you can afford.