I don't know. For certain they didn't apply it to the o/s loan. The balance of it was 34K and now they say its 37K Is this not beyond the SOL time period? (Statue of Limitations)

what did the bank do with the money they got for the unit they sold at auction

Thank you for your reply. The province is Ontario. The trailer was fixed to a camp site for 10 years. I entered a consumer proposal in 2006 and the bank said as long as i made the payments, I could keep my trailer. then in 2011 I had to stop work. I called the bank to surrender the trailer. They sent a baliff in Sept. of 2011 to take the trailer. I received a letter of auction and to come and get my personal stuff out of it. I already had. The balance of the loan back then was 34K 2 years later they say its 37K and they never applied the monies they got when they sold the trailer at the auction. Now the BBB collections are coming after me. i thought it should be over the SOL time period as well.
I did call the collection people yesterday and told them my lawyer will be sending a cease and desist letter if they don't stop bothering me. I'm sick, don't work and I'm on a fixed monthly pension.

I recd a notice from BBB collections that I owe 37K re a trailer I ceased and surrendered two years ago, which the bank sold and never applied the money they got to this o/s loan. Now they have given me 10 days to pay it. Should I close my bank account. I am on a disability pension, and have not money to pay them. Can they freeze my account where my pension goes to each month? I don't know what to do. Can some one give me advice?

Okay

We're talking court settlement on a lawsuit I initiated right now.

I don't think she's talking about settling a debt, I think she has launched a civil suit and they've offered her out of court settlements

I never had collection agency or creditor tell me I had to sign a gag order, in order to settle my debts for 10%.This is the first time I heard of something like this.

I won't accept a settlement that includes a gag order. I've made that very clear. It's just unfortunate that life has intervened or I would have been a lot further along. Changed jobs, then my dog got sick, then my horse fractured his pelvis and is recovering on stall rest.

As for the collection, I can tell you from experience that it affects it by about 80-90 points. Second and subsequent have little to no additional effect.

I find Angella to be very intelligent and knows her stuff. I don't if your knowledge is from experience or you worked in the collection agency industry before.