Settlement Strategy Scenario

Negotiating a Settlement with Midland, PRA, or LVNV Funding

When you assert strong affirmative defenses, debt buyer collection attorneys recognize that taking a small-dollar case through contested trial discovery is economically unviable. They will often negotiate settlements between 30% and 50% of the sued balance.

Essential Settlement Provisions

  1. Notice of Settlement to Court: File a formal Notice of Settlement or joint motion to stay proceedings so the court does not enter a default while payments are being processed.
  2. Dismissal WITH Prejudice: Insist that the formal dismissal is filed with prejudice, preventing the collector or any subsequent assignee from ever re-filing on the balance.
  3. Credit Bureau Trade Line Deletion: Major debt buyers (including Midland and Portfolio Recovery Associates) maintain corporate policies to request deletion of their collection trade lines from Equifax, Experian, and TransUnion once paid or settled in full.