How To Win Against Northstar Location Services (3-Step Guide)

Northstar Location Services is a debt collection agency. When they contact you, take action immediately. Start by validating the debt they claim you owe. If the debt is accurate, consider negotiating a settlement. You can pay only a portion of the full amount. If Northstar sues you, respond fast by filing an answer form. You don’t need a lawyer to fight back.

Why Northstar Location Services Is Contacting You

Northstar is probably contacting you because they believe you owe a debt.

Northstar is a third-party debt collection agency. They buy debt from lenders and creditors. Then they take over collection efforts. They may be collecting for banks, credit card companies, or medical providers.

Do You Have To Pay Northstar Location Services?

If Northstar can prove the debt is accurate and belongs to you, you probably need to pay it. If it’s not yours or the amount is wrong, you can dispute the debt.

Ignoring a debt you owe leads to serious consequences. Beyond collecting phone calls and letters, Northstar may eventually decide to sue you. If they win the lawsuit, they can garnish your wages or freeze your bank account.

If you’re ignoring the debt because you can’t afford it, here’s good news. You may be able to settle the account without paying the full amount. Third-party debt collectors frequently negotiate debt settlement agreements. They want to close the account and stop spending money on collection efforts.

Nervous about attempting a debt settlement? Keep reading to learn our three-step process for debt settlement negotiations.

How To Negotiate a Debt Settlement With Northstar in 3 Steps

Debt collectors need to make money to stay in business. Since they buy debts for significantly less than they’re actually worth, they can negotiate the debt amount with you. You have more power here than you think.

Expect a few rounds of back and forth. Start lower than where you hope to end up. You might offer as little as 25% of the total debt to start. See how Northstar responds. There’s a good chance they’ll agree to settle for 40%–60% of the original amount.

Sometimes the debt collector will make a settlement offer first. If they do, don’t hesitate to make a counteroffer. But know that you can also initiate a settlement yourself.

Step 1: Make Sure the Debt Is Valid

Start by validating the debt. The Consumer Financial Protection Bureau (CFPB) requires third-party debt collectors to send a validation letter within five days of first contacting you. They must give you 30 days to dispute the debt.

The validation letter should help you confirm that:

• The debt account belongs to you
• Northstar truly owns the debt or has the legal right to collect it
• The debt amount is accurate

If the validation letter doesn’t answer all your questions, request more information. Send a debt verification letter asking for additional details about the debt.

Step 2: Figure Out What You Can Pay

Once you know the debt is yours, figure out how much you can pay. Look at your monthly income and expenses. The CFPB has a budget worksheet and debt worksheet that can help you sort through your monthly expenses.

If the budgeting process is still confusing, you can look into a free consultation. Our partner Cambridge Credit Counseling can help you understand all your debt-relief options.

Lump Sum vs. Payment Plan: What’s the Best Way To Pay?

The best way to pay is the way that’s doable for you.

That said, debt collectors usually prefer a one-time, lump-sum payment. If you’re able to offer such a payment, they may settle for a lower amount. If you have a small windfall, like a tax return or work bonus, you could use that. Or you might consider selling household items you’re no longer using.

If a lump-sum payment doesn’t work for your finances, you can negotiate a repayment plan. Suggest monthly payments that work for your budget. Choose a timeline you feel good about. If you agree to set up an automatic withdrawal from your bank account, Northstar may be more inclined to accept the offer.

Step 3: Make a Settlement Offer to Northstar Location Services

Now it’s time to make an offer. You can use a debt settlement letter template to craft your offer letter.

Make offers in writing so there’s a record. Make sure Northstar’s response is in writing as well.

Don’t Just Negotiate the Amount… Negotiate Everything

Along with the settlement amount, you can negotiate how you repay the debt. You can also negotiate how Northstar reports your account to the major credit bureaus. Debt collectors can report debts as “paid in full,” “partial payment” or “settled.”

Request Northstar marks your account as “paid in full.” Your credit score benefits most from this designation.

Can You Still Negotiate if There’s a Lawsuit Against You?

Often, yes! However, it’s important to participate in the lawsuit until the case is dismissed or closed. Even if you’re planning to negotiate a settlement, respond to the lawsuit in a timely manner. Follow all court procedures, like court appearances.

If you want help responding to the lawsuit and negotiating the debt, consider working with our partner Solo. They’ve helped over 300,000 people respond to debt lawsuits and settle debts.

Tips for a Successful Debt Settlement

Anyone can negotiate with the right tools and mindset. Take a look at our top tips for negotiating like a total pro:

• Know your budget before you start negotiations
• Start with a lower offer than your target settlement
• Get everything in writing before you pay
• Never give the collector access to your bank account
• Don’t agree to a payment you can’t afford
• Request “paid in full” status for credit reporting
• Save all correspondence and proof of payment

How To Beat Northstar Location Services in a Debt Lawsuit

Debt collectors can sue you. They probably won’t unless you repeatedly ignore their collection efforts.

If you get sued, you’ll receive a summons and a complaint. These are two official court documents. They notify you of a lawsuit and explain the details of the case. If you are sent these papers, you need to respond as soon as possible.

If you’re worried about responding on your own, you can draft an answer letter for free or a small fee. Our partner Solo can help you respond to the lawsuit.

Try not to stress. Responding to a lawsuit isn’t as difficult as you might think.

Step 1: Read the Summons and Complaint Carefully

A summons is a court document that alerts you to the lawsuit. The format of this official court document varies by court. But the summons should tell you:

• The name and address of your court
• Information about you (the defendant) and the debt collector (the plaintiff)
• The case number
• The nature of the lawsuit
• The legal consequences of not responding to the lawsuit

Most often, when you receive a summons, you receive a complaint document as well. The complaint lays out all of the claims the plaintiff (Northstar) has made against you. These are usually in numbered paragraphs. You’ll need this information when you fill out and file your answer form.

Step 2: Fill Out an Answer Form (and Any Other Required Forms)

A lot of courts provide an answer form template. You can Google “[court name] + answer form” to check if your court has one. You can also look on your court’s website for a section called “self help” or “court forms.” You may find useful instructions or other information on how to respond to a lawsuit without a lawyer.

If you need help understanding the answer form, ask the court clerk to explain. The clerk can help you with court procedures and documents. But they can’t give legal advice. If you need legal help, you can use the Legal Services Corporation’s online search tool. Find low-cost or free legal help in your community.

The answer form gives you an opportunity to explain your side of the lawsuit. You can defend yourself. There are a few different types of defenses that commonly apply in debt collection lawsuits.

Note: Some courts require additional paperwork beyond the answer form. Check your court’s website or talk to your court clerk if you’re unsure.

Step 3: File the Answer Form With the Court and Serve on the Plaintiff

Court processes for filing answer forms vary. Most of the time, you can file in person or send the form in the mail. But some courts also let you file online. Read through your court’s website or ask your court clerk.

You’re usually also required to deliver a copy of your answer form to Northstar. Sending a copy to the plaintiff is called “serving.” You can likely send their copy through the mail. Use the address listed on your summons.