Start My Answer
loading...

How to Settle Debt with Midland Funding

Sarah Edwards | November 09, 2023

Sarah Edwards
Legal Expert
Sarah Edwards, BS

Sarah Harris is a professional researcher and writer specializing in legal content. An Emerson College alumna, she holds a Bachelor of Science in Communication from the prestigious Boston institution.

Edited by Hannah Locklear

Hannah Locklear
Editor at SoloSuit
Hannah Locklear, BA

Hannah Locklear is SoloSuit’s Marketing and Impact Manager. With an educational background in Linguistics, Spanish, and International Development from Brigham Young University, Hannah has also worked as a legal support specialist for several years.

Summary: Settling a debt can help you leave your financial struggles in the past and move on with life. If you’ve been sued by Midland Funding, you can reach a debt settlement agreement at any stage of the debt lawsuit process. Just be sure to follow these three steps: respond to the case with a written Answer, determine how much you can afford to pay and send an offer, and get the settlement agreeement in writing. SoloSettle takes care of the settlement negotiation process for you.

Summary: Settling a debt can help you leave your financial struggles in the past and move on with life. If you’ve been sued by Midland Funding, you can reach a debt settlement agreement at any stage of the debt lawsuit process. Just be sure to follow these three steps: respond to the case with a written Answer, determine how much you can afford to pay and send an offer, and get the settlement agreeement in writing. SoloSettle takes care of the settlement negotiation process for you.

Midland Funding, LLC is one of the nation’s most prominent debt collectors. The company frequently purchases charged-off accounts from creditors like JP Morgan Chase, Synchrony, and Capital One. Creditors typically charge off accounts when the consumer stops making payments for six months or longer.

If your old credit card account is with Midland Funding, you’ll want to take action quickly to avoid a potential debt lawsuit. Midland Funding is known for raising the stakes on debt collection fast, and the company won’t hesitate to file a claim if you fail to respond to its efforts.

How can I stop collection efforts from Midland Funding?

Midland Funding sometimes purchases accounts from creditors but doesn’t have enough information about the debt to validate it.

The first time you receive any written communication from Midland Funding, it will include a statement that indicates you have 30 days to force them to validate the debt. Take advantage of their offer to validate your debt. It’s part of the rights the Consumer Financial Protection Bureau gives you against debt collectors like Midland Funding.

In your request to validate the debt, feel free to ask Midland Funding to confirm and provide any information concerning the debt. You can ask them for the following:

  • A copy of the original loan agreement
  • The license number for Midland Funding in your state
  • The last time you made any transactions on the account
  • A calculation of the obligation you owe, including interest and fees
  • Verification that the debt is not past the statute of limitations in your state
  • Confirmation Midland Funding purchased the debt and now owns your account

You can request a formal debt validation by sending a Debt Validation Letter to Midland Funding.

Send your message promptly and wait for a response. If Midland Funding fails to respond, it should cease all collections activity. If the company continues to contact you without validating the debt, it’s violating FDCPA rules, and you can file a complaint.

Check out the video below to learn more about how a Debt Validation Letter can help you:

What should I do if Midland Funding validates my debt?

If Midland Funding can fully validate your debt, you’ll want to negotiate a payment arrangement with them. If you have some savings you can rely on to pay back the majority of the debt, try to make a settlement agreement with them.

Start your settlement offer low, at 50%-60% of the total value of the debt. Midland Funding will likely have a proposal of its own, so you may go through several negotiation rounds before you can come to an agreement.

Midland Funding will offer you a few options if you don’t have any savings and want to make monthly payments toward your balance. Consider your monthly budget and decide which payment arrangement you can afford. Keep in mind that the longer your repayment lasts, the longer you’ll have to deal with the company.

You can start with an initial monthly payment agreement then work on building your savings to settle the debt with Midland Funding when you have more money. That way, you’ll be able to eliminate the debt faster.

Midland Funding is suing me for an old debt. Can I settle the debt before my court date?

Midland Funding typically doesn’t wait too long to pursue a debt lawsuit once it purchases an account. Company representatives know the statute of limitations is winding down, and the longer they wait, the less time they have to pursue a lawsuit.

If you’re on the unlucky end of a lawsuit from Midland Funding, you’ll want to try to settle with them before your court date.

Keep in mind that debt collectors, like Midland Funding, purchase debts from creditors at an average of 4% the original debt amount. This means that, if they can get you to pay off the full debt, they make a huge profit.

Because of this, there is a good chance Midland Funding will settle for less. Let’s take a look at an example.

Example: Justin is being sued by Midland Funding for a $1,000 debt. He uses SoloSuit to draft and file an Answer into the case to avoid losing by a default judgment. After reviewing his finances, Justin decides he can afford to pay off $800. He uses SoloSettle to send an offer. He starts low with a 50% offer at $500. After a few rounds of negotiations, Midland Funding accepts an offer of $700 (or 70% of the origina debt amount). Justin saves money and gets Midland off his back, and Midland makes a big profit since they purchased the debt for just pennies on the dollar.


You can start the process by filing an Answer to Midland Funding’s Complaint. The company’s Complaint will list the allegations made against you, including the debt you owe and why the company believes it needs a default judgment to further collections against you.

An Answer protects you from a potential default judgment. If you don’t respond to the Complaint, the judge will assume that Midland Funding’s grievances are accurate. By responding with an Answer, you’ll be able to defend yourself in court.

Chances are that you won’t need to go to court if you successfully settle the claim with Midland Funding. However, your Answer serves as backup if your efforts to resolve the situation fail.

Follow these steps to settle a debt with Midland Funding

Debt settlement is a great way to leave your financial struggles in the past and move forward.

Follow these three steps to settle your credit card debt with Midland Funding:

  1. Answer the debt lawsuit against Midland Funding.
  2. Send your first settlement offer to start negotiations.
  3. Get the debt settlement agreement in writing.

Let’s break down each step a little further, or you can watch this video to learn more:

First, respond to your Midland Funding lawsuit.

Filing an Answer into your case will help you avoid a default judgment, giving you time to negotiate a settlement agreement. Once you’ve filed your Answer with the court and Midland Funding, you’re in an excellent position to begin the settlement negotiation process.

Second, get ready to send a settlement offer.

Determine how much you can afford to pay in a lump-sum settlement. At a minimum, you should offer Midland Funding at least 60% of the value of your debt through settlement. If you can’t afford the 60%, list what you can pay and explain your situation in the letter to Midland Funding.

Send the following email to the company, making sure to insert the relevant information concerning your case:

“I, [your full name], am offering you a lump-sum payment of $__________ to settle the case with case number ____________. You can accept or counteroffer. If you accept, respond to this email with only ‘Accept.’ If you want to counteroffer, respond to this email with only ‘Counteroffer: $__________.’ Please do not contact me in any other way than by replying to this email. I’m prepared to litigate this matter and win in court. I’m also prepared to file an FDCPA complaint. This offer expires in 6 days on [MM/DD/YY]. I will pay the agreed amount within 90 days of the settlement date.”

Extending the settlement agreement by 90 days gives you some extra time to build up your savings to pay off your account.

Once you send the letter to Midland Funding, give them a few days to consider your offer. They will likely send a counteroffer, and you may go through several rounds of negotiation before reaching an agreement.

Finally, when you have an agreement that you can fulfill and that Midland Funding accepts, make sure to get the agreement in writing. Typically, Midland Funding will draft the debt settlement agreement document and file it into the court case. Getting everything in writing will protect you if Midland Funding attempts to further its collection actions against you on the same debt.

Sometimes, the prospect of negotiating with a debt collector like Midland Funding can seem intimidating. If you’re not comfortable handling the process yourself, reach out to the professionals for guidance. That way, you won’t have to face the debt collectors alone.

SoloSettle handles the settlement negotiation process for you.

What is Solo?

Solo makes it easy to resolve debt with debt collectors.

You can use SoloSuit to respond to a debt lawsuit, to send letters to collectors, and even to settle a debt. SoloSuit's Answer service is a step-by-step web-app that asks you all the necessary questions to complete your Answer. Upon completion, we'll have an attorney review your document and we'll file it for you.

SoloSettle can help you contact your debt collector or creditor and negotiate the debt to settle for less, all online. It simplifies and streamlines the process to settling your debt.

No matter where you find yourself in the debt collection process, Solo is here to help you resolve your debt.

Respond with SoloSuit

Get Started

>>Read the FastCompany article: Debt Lawsuits Are Complicated: This Website Makes Them Simpler To Navigate

>>Read the NPR story on SoloSuit. (We can help you in all 50 states.)

How to Answer a Summons for debt collection in all 50 states

Here's a list of guides on how to respond to a debt collection lawsuit in each state:

The Ultimate 50 State Guide

Guides on how to resolve debt with every debt collector

Are you being sued by a debt collector? We’re making guides on how to resolve debt with each one.

Resolve your debt with your creditor

Some creditors, banks, and lenders have an internal collections department. If they come after you for a debt, Solosuit can still help you respond and resolve the debt. Here’s a list of guides on how to resolve debt with different creditors.

Settle your medical debt

Having a health challenge is stressful, but dealing medical debt on top of it is overwhelming. Here are some resources on how to manage medical debt.

Guides on arbitration

If the thought of going to court stresses you out, you’re not alone. Many Americans who are sued for credit card debt utilize a Motion to Compel Arbitration to push their case out of court and into arbitration.

Below are some resources on how to use an arbitration clause to your advantage and win a debt lawsuit.

Stop calls from debt collectors

Do you keep getting calls from an unknown number, only to realize that it’s a debt collector on the other line? If you’ve been called by any of the following numbers, chances are you have collectors coming after you, and we’ll tell you how to stop them.

Federal debt collection laws can protect you

Knowing your rights makes it easier to stand up for your rights. Below, we’ve compiled all our articles on federal debt collection laws that protect you from unfair practices.

Get debt relief in your state

We’ve created a specialized guide on how to find debt relief in all 50 states, complete with steps to take to find relief, state-specific resources, and more.

Debt collection laws in all 50 states

Debt collection laws vary by state, so we have compiled a guide to each state’s debt collection laws to make it easier for you to stand up for your rights—no matter where you live.

Statute of limitations on debt state guides

Like all debt collection laws, the statute of limitations on debt varies by state. So, we wrote a guide on each state’s statutes. Check it out below.

Statute of Limitations on Debt Collection by State (Best Guide)

Check the status of your court case

Don’t have time to go to your local courthouse to check the status of your case? We’ve created a guide on how to check the status of your case in every state, complete with online search tools and court directories.

How to stop wage garnishment in your state

Forgot to respond to your debt lawsuit? The judge may have ordered a default judgment against you, and with a default judgment, debt collectors can garnish your wages. Here are our guides on how to stop wage garnishment in all 50 states.

Other wage garnishment resources

How to settle a debt in your state

Debt settlement is one of the most effective ways to resolve a debt and save money. We’ve created a guide on how to settle your debt in all 50 states. Find out how to settle in your state with a simple click and explore other debt settlement resources below.

How to settle with every debt collector

Not sure how to negotiate a debt settlement with a debt collector? We are creating guides to help you know how to start the settlement conversation and increase your chances of coming to an agreement with every debt collector.

Other debt settlement resources

Personal loan and debt relief reviews

We give a factual review of the following debt consolidation, debt settlement, and loan organizations and companies to help you make an informed decision before you take on a debt.

How to repair and improve your credit score

Debt has a big impact on your credit. Below is a list of guides on how to repair and improve your credit, even while managing major debt.

How to resolve student loan debt

Struggling with student debt? SoloSuit’s got you covered. Below are resources on handling student loan debt.

Civil law legal definitions

You can represent yourself in court. Save yourself the time and cost of finding an attorney, and use the following resources to understand legal definitions better and how they may apply to your case.

Get answers to these FAQs on debt collection

How-to debt guides

Learn more with these additional debt resources

It only takes 15 minutes.

And 50% of our customers' cases have been dismissed in the past.


"Finding yourself on the wrong side of the law unexpectedly is kinda scary. I started researching on YouTube and found SoloSuit's channel. The videos were so helpful, easy to understand and encouraging. When I reached out to SoloSuit they were on it. Very professional, impeccably prompt. Thanks for the service!" - Heather



Get Started

Contents