ICR sent a letter with the full settlement amount above indicating that the payments be made to a PO BOX for Department of Education in Atlanta, GA.
1. ICR indicated in the letter that the payment must be made in certified funds, cashier's check or money order to the DOE address above. Should my friend be concerned about dropping practically cash in the mail? Is this normal?
2. How do you ensure that the default is taken off their credit record once the payment is made in full?
3. What sort of written statements should they obtain to make sure they're not on the hook for any shenanigans once the full amount is repaid e.g. "You also owe us such and such fees..."
4. Is it best to pay it all in full at once or do individual payments e.g. monthly?
Thank you!
Never been through this so someone else may have better advice:
1) I would assume this is normal as they are asking for payments in ways that are well documented. Keep all paperwork as proof of payment in case they would try to say otherwise.
2) Not sure on this one. Contact the collection agency once the debt is paid off and tell them to report it as paid off.
3) Keep the settlement letter. This along with the payment documentation should be all you need.
4) I would stick with whatever was agreed upon and spelled out in the settlement letter. If it just says the $18k to be paid within 6 months then I would pay it all at once, if your friend has the full amount.
5) Keep all documentation of settlement, payment, USPS delivery (if possible), a letter stating paid in full once all paid off.
If you are skeptical of the company you might have your friend call the original loan servicer to verify the account is in collections and that ICR is handling the collections on the account (and try to get this in writing). It might not be a bad idea to do this anyway before your friend sends any money.
