A friend (creditor/client) of mine co-signed a loan. The balance is $5400. I missed some payments and he paid them. I am now paying the $200 a month. In the meantime, he has turned the loan to a collection agency, Chase Receivables who sent me a letter saying that I owe a balance of
$14,000. Chase Receivable is representing the co-signer as their client/creditor. The loan is not in default. Total is not due until 2014.

My original loan was for $6,000 but I added $1,000 to it. Citifinancial had to do paperwork so that it worked out that the original loan was paid and I received a loan for $7000. My paperwork shows this and my statements from Citifinancial show balance of $5400.

Anyway, Chase Receivables, is trying to tell me that I took two loans out, totalling $14,000.
They are adding interest to it also.

I called them and wrote them and denied the validity of the debt, told them their paperwork is screwed up. They keep sending me "balance due" letters with interest added.

First of all, how could they represent a co-signer as a creditor and turn this loan into a debt
Of the cosigner when it is not even due. I make my payments directly to Citifinancial.

Secondly, can a debt collector represent an individual who made a personal loan to some one with the conditions like "don't worry, pay me whenever you can."?

Thanks,

You need legal representation badly to get this problem resolved.

Run, don't walk, to an attorney who specializes in this matters.