Scooterdog, can you please explain? What is a certification of debt?
And saying I did owe this money (which I don't), would it be legal to just contact the town and bargain a cents on the dollar settlement? Because they're losing a lot of money to George Dodd.
Mary, I believe what scooterdog is referring to is a legal judgment that you owe the money in question. In order to get this, a court hearing must take place and a judge has to rule in favor of the plaintiff. When this happens, the debt has officially been 'certified'. The resulting document can then be presented as proof of debt.
By law, nothing can appear on your credit report unless a judgment has officially been validated by a judge. However, there are creditors out there who bypass this formality and hit your credit anyway because it costs them money to get a judgment. They'll just hit someone's credit because they know the masses out there don't know their rights because they're too busy watching a ballgame or American Idol to do a little research. They see something on their credit, they wet their pants and they immediately go running for the checkbook.
Years ago, I lived in Ohio and rented a townhouse from a company that owned the entire development. I ended up returning to New England and the company in question tried to hit me with repainting, rerenting and other miscellaneous fees. I told them to go take a hike. They got only the money owed to them. These bogus fees came to around $600. They hit my credit for that amount.
When I noticed that this happened, I contacted all three major credit reporting agencies and asked them to demand proof of that debt. Most states (Ohio included) already had laws on the books rendering such fees invalid and I sent the Ohio legal precedents to the credit reporting agencies to support my claim that the debt was invalid. I knew the company never got a judgment against me. All I needed was the credit reporting agencies on my side. And I was vindicated.
As I recall, it took a couple of months but, in the end, that negative hit came off all my credit reports. It's a liberating feeling when you can take your legal foot and put it up some company's @ss.
As for negotiating with the town in question for a 'cents on the dollar' settlement, I have no idea why you would even bother to do that Mary but, for your information, the town has already signed a contract in which all debt collection will be performed by Dodd. They probably couldn't negotiate a better deal with you even if they wanted to as it would be a breach of contract.
Also, they'll sense weakness and simply direct you to Dodd with a pleasant little smile on their face. I hope you'll show some backbone and not allow yourself to become a victim. Everytime someone does that, I can hear P.T. Barnum snickering from his grave.