Short sale now collection agency need advice

[rgzing]

Well, believe it or not did a short sale with Chase. I was told that I might have to sign a promissory note at closing for shortage of funds. Well the closing was June 25, 2009 and no promissory note was presented. I guess it does not matter. Chase turned me over to Allied Internation Credit Corp. US and they are demanding $69236.41 stating that previous attempts to resolve this debt were unsuccessful. They reference my Chase Mortgage Loan number. This should be an interesting fight. I stated the closing was 6/25/2009 and all fund were wired as instructed and were accepted a payment in full on the loan. This seems to be on the fringes of being legal. The amount requested is about $30k more than the orginal loan and I am wondering if I will have to bankrupt to make it go away. Any advise?

[AACPA]

Its been my experience with Allied Interstate that they are one of the lowest of the low in collection agencies. They are the type that will resort to opening the phone book and calling every single person in your state with your last name in an attempt to get you to pay up by shaming you. They will also call your neighbors and work. So now not only will you have the short sale ding on your credit report these b@st@rds will also put their "debt" on your credit report as well. At this point is your credit score already trashed due to the short sale? If so, and if it was me, I'd wait on the bankruptcy to see if Allied is going to drag you into court to try and get a garnishment. They might, and for that amount they probably will. The reason I say to hold off on the bankruptcy is because if they don't come after you for a garnishment then it will just be like any old charged off account on your credit report and will disappear after 7 years as opposed to having a bankruptcy on your credit report for 10. I'd take a wait and watch approach with it before jumping the gun just be aware that they'll put you through hell.