What is Valley Servicing? Know Your Rights Before You Pay
Valley Servicing arranges voluntary wage assignments for debt repayment, but you have rights under the FDCPA. Always verify the debt before making payments and consider negotiating a lower settlement amount. If Valley Servicing sues you, respond promptly with a proper Answer to protect yourself from default judgment.
Answer Valley Servicing LawsuitValley Servicing may have contacted you about withholding money from your paycheck. You need to know your rights before agreeing to anything.
The company focuses on voluntary wage assignment for outstanding debts. Good news: no one can withhold your wages without permission or a court order.
Valley Servicing Contacted You? Respond Now to Protect Your Rights
Don't let Valley Servicing pressure you into unfavorable wage assignments. Respond to their lawsuit properly and negotiate a settlement on your terms before it's too late.
Respond to Valley ServicingYou have options beyond wage assignment. You can verify the debt, negotiate a lower amount, or even dispute it entirely.
Understanding Valley Servicing
Valley Servicing operates as a third-party servicer under Wakpamni Lake Community Corporation of the Oglala Sioux Tribe. The company arranges voluntary wage assignment earnings authorized by borrowers.
These arrangements are flexible. You can change or cancel them at any time under federal and tribal laws.
Valley Servicing distinguishes wage assignment from wage garnishment. Wage garnishment requires a court order. Wage assignment is voluntary: you allow the company to deduct amounts from your wages to pay a third party.
Is Valley Servicing a Legitimate Company?
Valley Servicing is a legitimate tribal-licensed business. However, Google reviews reveal complaints about unfair and unprofessional behavior from representatives.
The company has a Google review rating of 2.1 stars out of 5. Many reviewers report negative experiences with collection tactics and customer service.
Valley Servicing doesn’t have a profile in the Better Business Bureau or Consumer Financial Protection Bureau databases. The company operates primarily within a reservation, which may explain this absence.
Valley Servicing Contact Information
You can reach Valley Servicing by mail at P.O. Box 637, 333 South Main Street, Blanding, UT 84511.
Phone contact is available at 1-800-943-0692 during business hours (6 a.m. to 2 p.m. PST).
The company’s principal place of business is #1 Wakpamni Lake Housing, Batesland, South Dakota 57716.
Your Rights When Valley Servicing Contacts You
You have legal protections under the Fair Debt Collection Practices Act (FDCPA). Understanding these rights empowers you to respond confidently.
What the FDCPA Prohibits
Debt collectors cannot violate your rights. The FDCPA makes these practices illegal:
- Contacting you more than once per day
- Calling you before 8 a.m. or after 9 p.m.
- Failing to identify themselves as a debt collector
- Threatening you with arrest for unresolved debt
- Continuing contact after receiving a Cease and Desist Letter
- Declining to validate your debt
- Speaking to friends, family, or coworkers about your debt
- Using vulgar or offensive language
You can report violations to the Federal Trade Commission at 877-382-4357. You can also file complaints with the Consumer Financial Protection Bureau at 855-411-2372.
If Valley Servicing violates your rights, our partner Solo can help you respond appropriately and protect yourself from collector abuse.
Can Valley Servicing Garnish Your Wages?
Valley Servicing conducts voluntary wage assignment, not wage garnishment. The company wants you to agree to allocate portions of your paycheck.
Wage garnishment requires a court order. Valley Servicing would need to sue you and win to obtain this order.
Never enter a wage assignment plan until you verify the debt. You should also explore negotiating a lower settlement amount first.
How to Verify Your Debt
Don’t make any payment until you confirm the debt is truly yours. Request that Valley Servicing send you detailed information.
What to Request in Debt Validation
Ask Valley Servicing to provide documentation that includes:
- The original creditor’s name
- The original debt amount
- A list of any previous payments
- The current remaining debt balance
- Clear evidence connecting you to the debt
Under the FDCPA, debt collectors must prove debts belong to you. Requesting validation may cause the collector to back off entirely.
If Valley Servicing cannot prove the debt is yours, you have a stronger position. You might dispute the debt successfully or win if they file a lawsuit.
Debt validation protects you from paying debts you don’t owe. You also protect yourself from errors in debt collection records.
How to Respond If Valley Servicing Sues You
Valley Servicing might file a lawsuit to collect the debt. You must respond to avoid a default judgment.
A default judgment allows wage garnishment, bank account levies, and property liens. You cannot let a lawsuit go unanswered.
Our partner Solo helps you create a proper Answer document to the court. The Answer addresses each claim in the lawsuit and asserts your defenses.
Common Defenses Against Debt Collection Lawsuits
You may have several defenses available:
- The statute of limitations has expired on the debt
- You already paid the debt
- The debt amount is incorrect
- Valley Servicing lacks proper documentation proving you owe the debt
- The original creditor violated lending laws
Filing an Answer preserves these defenses. You gain negotiating leverage and prevent automatic judgment against you.
Negotiate a Lower Settlement Amount
If the debt is legitimately yours, settling for less makes financial sense. Valley Servicing may still pressure you into a wage assignment plan.
Before agreeing to any plan, attempt to reduce your total debt. Collectors often accept less than the full amount to close accounts.
Start by offering to pay 60% of the original debt. The offer opens the door to negotiation with Valley Servicing.
Valley Servicing may reject your initial offer. You can continue negotiating until you reach a mutually agreeable settlement amount.
Example: How Negotiation Works
Allison received an email from Valley Servicing about withholding money from her paychecks. She wasn’t willing to agree to the full amount.
After verifying her debt, Allison negotiated a lower settlement amount. She now repays the debt for less than Valley Servicing originally claimed.
You can achieve similar results by standing firm on your rights. Negotiation gives you control over the repayment process.
What Happens If You Ignore Valley Servicing
Ignoring Valley Servicing won’t make the debt disappear. The company may escalate collection efforts or file a lawsuit.
A lawsuit leads to court judgments, wage garnishment, and damaged credit. Responding promptly protects you from these consequences.
You have more options when you engage early. You can verify the debt, negotiate, or dispute it if it’s not yours.
Protect Yourself From Unfair Collection Practices
Valley Servicing’s low review ratings suggest some borrowers experience problems. You can protect yourself by documenting all interactions.
Keep records of phone calls, including dates, times, and what was discussed. Save all letters and emails from Valley Servicing.
If representatives violate the FDCPA, you have grounds for legal action. You may sue debt collectors who break the law.
Documentation strengthens your position in negotiations or court proceedings. Records prove what Valley Servicing said or promised.
Moving Forward After Resolving Debt
Resolving debt with Valley Servicing gives you a fresh start. You can rebuild your finances and improve your credit score.
Once you settle, get the agreement in writing before making payment. The agreement should state Valley Servicing will report the debt as settled.
Make your payment according to the agreement terms. Keep proof of payment for your records.
After payment, check your credit reports to confirm proper reporting. You can dispute any inaccuracies with the credit bureaus.