Their motives are simple: Essentially the Agency is trying to get you to renew the limitation period by acknowledging that debt. Even if they can't get a payment now, there's always the prospect of recovery at a much later date with additional accumulated interest.

Thus, it's best to keep all correspondence to the telephone. If one has to reply in writing, it's preferable to indicate that you disavow ownership of the debt to legally protect yourself. Later on, for moral reasons, you can negotiate a settlement for 5% or 10% should you decide and be able to.

Oddly enough, I'm on welfare and they just told me a similar thing last week...

I have no intention of sending them my personal information. They tell me that people on welfare are paying off their debts too... I'd love to know how considering I'm picking up pennies to survive...

So I too am curious as to their motives and whether or not they can or even should be allowed to see such information..

My banking info would be on my bank statement, but My expenses would just be on a piece of paper. Its been years since I made a payment. My bank used to take it out every month, and then they just stopped, no reason given. I dont recall ever getting word from the bank (letters or calls) about it, and I forgot about it until I got this call from CBV. I thought it was weird that he demanded the info. The problem is, he wont discuss payment options unless I give him this info.

They are not allowed to demand this information. Is your banking information on it? When was the last time you made a payment on your student loan?

I received a call from CBV about an outstanding student loan. I explained that I am unemployed, but want to get on a payment plan. He told me to fax him my bank statement to prove that I am collecting EI, and to see the amount I am receiving. Additionally, he wants a list and amounts of all of my monthly expenses. He wouldn't even begin to discuss payment options until he gets this information. I have dealt with collection agencies before and that has never been brought up before. Is he allowed to demand this information from me? Anyone have this happen to them?