Should I settle my RISE loan with NCB Management?
I defaulted on a Rise Loan around 10/2015 which is now about $6300. It was charged off and bought by NCB which has called me and now sent me a letter asking for a full payoff at 45% of total or payments of roughly $235 which is about 35% the total (somewhere around $2300-$2500).
Does this letter constitute an agreement? It has all the pertinent info.
I have not spoken to them yet. I was thinking about sending them a letter offering a $900 one time payoff as I don`t have much money or the means right now.
Does NCB usually sue? Also there is an arbitration clause however not sure I like this since I would probably lose.
I have read bad things about NCB Management Services and I am reluctant to enter a payment plan.
Should I settle with NCB or should I just wait them out and not reply unless they sue or file arbitration?
—Mike
If you cannot afford the lump sum settlement offer from NCB right now, how long will it take you to raise the money? If you can pull the money together in the next several weeks, I would suggest calling in to make a counter offer on the phone.
Negotiating with NCB Management Services.
Be prepared to answer a short set of income and expense questions. Debt collectors, and debt buyers like NCB Management Services, will be looking to:
- Get answers to questions that suggest to them that they hold out for more money (in your case stick to the original mailed offer).
- Learn if you qualify for a better settlement deal based on internal parameters and policies unique to each collection agency.
If you share with NCB that you are on a fixed income, and your situation is such that you will probably always be limited to that, you can sometimes negotiate a better outcome because they have a policy of making room for that.
If you slip up and share information with the collector that suggests your finances have improved since stopping payments to RISE Credit, your efforts with negotiating a lower payoff can hit a wall.
Being sued or arbitration filed on your RISE Credit loan.
Our courts are clogged up with all manner of lawsuits. Far too many of the cases filed in courts daily are from debt buyers like NCB. And while NCB may not sue as much as other debt buyers, there is always the risk you can be sued for collection (if your debt has not passed the SOL that limits how long collectors can access the courts in your state).
If you want to eliminate that risk you should look to negotiate an affordable lump sum settlement with NCB (I am with you on avoiding monthly payments).
If you simply cannot come up with the money needed to fund a lump sum offer, or need more time to save up, but are sued in the interim, you can also negotiate the debt with the attorney NCB hires. The deal may not be as good as it is now, or that you can call and negotiate before being sued, but you can still resolve the debt without a judgment.
I would not anticipate NCB filing for arbitration if that was allowed for in your original loan contract with Rise Credit. I doubt RISE would file for arbitration if they still owned your account. Most arbitration clauses these days are there to prevent class action lawsuits, and are not there as a useful collection mechanism.
How is your RISE loan appearing on your credit reports?
Is NCB Management appearing on your credit?
Anyone with questions or concerns about resolving debts with NCB, or dealing with unpaid RISE Credit loans, can post in the comments below for 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, and is a regular contributor to several personal finance websites.
I defaulted on a rise credit loan in south Carolina. The loan was issued in January 2020. I recieved a call from my bank today that informed me that my banking records were being subpoenaed and gave me a number to call to find out why. I called and it was a law firm retained by rise. The person at that firm stated that I was being charged with loan fraud, bad checks and breach of contract.
I’m disabled and on social security disability and can not and have not been able to afford to repay the loan. What are my options here?
That is not the normal process of collection for a loan like this. What is the name of the collection law firm?
I would talk to an experienced debt collection consumer law attorney in your state about this. You can find some through the National Association of Consumer Advocates.
I had an elastic loan charged off and bought by Ncb about a year ago
I was unemployed at the time so I didn’t negotiate or offer payment
They reported the collection a year ago
I’m trying to fix my credit now what’s the best way to go about it , should call ncb and settle with them or ignore the collection hoping theimpact my score will fade with time ,thx
If you have the resources to settle, that would be my choice. You not only start to improve your credit in a more meaningful way, but you eliminate the risk they sue you for collection.
Apparently, NCB Management purchased a debt I had with Elastic. I am trying to avoid any derogatory marks on my credit report. They are saying they just purchased my debt and I have 30 days to pay them for the entire balance to avoid them reporting me to the credit bureaus. (I have not seen anything show up from Elastic or NCB to date). Would trying to settle with them a lump sum risk charge off reporting?
It probably already is charged off. If you get them to agree to not report, now is the time to act, not trying to get them to delete after (though some debt buyers are doing that now).
I have two that are killing me. It was a bad cycle and i’m trying to climb my way out now.
Rise balance is 2584.09 – Says its been charged off but just recently. I’ve only had it since mid November and made a few payments and then started struggling.
Elastic:
I’ve been paying on since July but again, it finally became too much.It says past due 714.00 dollars and my balance was 2500. Says to contact them
My question is, if i wait, will they decrease the balances or should i just try to figure it out now?
I was going to pay partial payments but it wont let me online without having all of it.
Stuck.
If it were me, I would gather enough resources to be able to settle each for half or less, and one at a time if necessary, starting with the older one first.
I took out a Rise loan for $2000, and they sent it to collections for $4200. NCB has been calling me, but I have not given them any information. I am not sure if I should reach out to them and offer money, or if I should wait until they send something in the mail.
I am a fan of being proactive and starting the conversation, not waiting for it to come to you.
Hello,
I have a Rise Credit Loan and I am 61 days passed due and they want to charge off my account, my payments are $360.51 and I’m only able to make half of that payment and they say they can still charge off my account. I thought to charge off an account, it had to be 4-6 months with non payments.
Charge off can happen earlier, it is just not common. Check out this for more: http://consumerrecoverynetwork.com/charge-off-and-credit-card-debt-what-it-means-to-you/
I’m dealing with a similar issue with NCB. However, it is not via a debt from rise, but elastic. I couldn’t keep up with the payments since I’m now totally disabled. My income is very low now and they are requesting a little over half of what I owe – $2500. I don’t have any savings but could raise about 30% of the debt from family – $1300. Should I counter offer with 30%? Since my only income is social security, I don’t see being able to pay this monthly. Can they garnish my social security?
Check out this post about social security exemptions.
I would counter with something a little less than 30% if I was ultimately only able to go that high.
I got sucked into the RISE lending cycle as well. I have been paying them bi-weekly for the past three years on multiple refinanced loans. In total, I have borrowed a total of $14,000 and paid more than $20,500. My balance is still $2,850. I’m currently paying on time, but it’s dug me far enough into debt that I can’t make ends meet.
I have $1,000 from two other payday loan places that I buckled down on and will have paid off this month, but I’m going to have to default on my $400/month RISE payments.
I recently found out that RISE is not authorized to lend in my current state (specifically to prevent this debtor’s loop from happening), but they’ve been refinancing my loan with all my old information. Is there something I can do to try and get out of this loan? Especially since it now feels illegal…
Check with your state banking or finance office about your options. I have seen things of this nature play out to where they walk away from the loan based on settlements with state regulators, but it can hurt your credit in the mean time.
You can also settle Rise loans for less if you are late with payments if you need to reach other credit goal while any state investigation plays out.
I too have a few pay day loans and I’m stuck in the cycle. I also have a RISE Loan that has just been sent to NCB for collections. The payday loans are with companies like American Trust ($350), Easy Money ($425), and Cash Express ($500). I’m way over my head and contemplating bankruptcy. Any advise?.
What is the total amount of all your unsecured debts?
Besides the payday loans I owe close to 23,000 in unsecured loans.
Filing chapter 7 is the least cost and quickest path to getting relief, and without all the grief. Have you consulted with a bankruptcy attorney yet?
I also have a past due account with RISE. NCB contacted me by phone, but the account with RISE is listed on my report as closed. Can I still contact RISE or do I need to work through NCB? The total balance is $1,603 according to my credit report.
Call Rise and make sure they sent your account to NCB for collection. Once you confirm that, you can work with NCB to settle your Rise account.
HI Michael, i have a number of pay day loans I am having a problem paying. Can i ask your advice on what will happen if I dont pay them? I am sure you would need more details on which companies they are but i am ready to default on 2 or 3 of them
Please let me know if you can help
It would help a ton to know who you owe, how much, and when the loans were taken out.
I currently have a loan with rise credit that has been charged off. However Rise credit has not sold it to s company as of yet . My total loan is 3647.27. My principal is 2425.45. I have contacted Rise to make attempts to settle. They are requesting that I pay 2500.00 to settle the loan. The loan is now reflecting on my credit report as 30 days passed due . The last payment made was August 11, 2016. Are there any alternatives to resolving this issue . I would like to settle, but I just don’t have the entire 2500. I contacted Rise and offer to pay 1500 however they declined my offer.
You can often settle for a better savings the longer your Rise loan goes without payment. You are likely only considered 2 months late by Rise. Once you are 4 months late and beyond, you may be able to reach your goal.
I have the same question as Lynn of JUNE 23, 2016 AT 7:07 AM with Rise Credit …. I last made payment last month … how long do i have to be late for the collections and recovery policies to adjust in your favor..
I haven’t default but the principal is not just reducing i collected 2,500 and it says i am still owing 2,600plus.
Thank you
I typically would settle a Rise loan, at the earliest, 4 to 5 months past due.
This RISE loan is the Devil, and it is making me seriously contemplate bankruptcy! I see no end in sight, and they simply will not settle. I’m not at collections yet.
The payment is $480 per month; almost none of it is going to principal.
Do you have any ideas about how I might be able to resolve this short of bankruptcy? I do have other debt, but with $480 per month, I could work my way out of that.
It is possible to settle the RISE loan for less as an alternative to filing bankruptcy. What is the balance you owe on the loan?
You do have to be late with payments long enough for collections and recovery policies to adjust in your favor. When did you last pay RISE anything?