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Old 02-05-2010, 05:28 PM
 
25 posts, read 20,341 times
Reputation: 12

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Quote:
Originally Posted by honestdebtor View Post
Hi Everyone,

I just received a summons from a law firm saying that they are representing a debt collector and that they are suing me for a $6K debt that I defaulted on due to a job loss. I have friends and family that will loan me about $3K to try and pay this off. I want to settle this and be done with it so my question is, should I try to negotiate a settlement directly with the debt company or try and work with the law firm that represents the debt collector? What's the best way to negotiate a settlement? Also, what should I ask for to make sure the settlement is legitamate? Apologies if there are similiar questions or responses that have answered this question. Thanks in advance!
Hey honest debtor, don't pay a single cent. Thats right, don't pay them nothing. Let them sue you, transfer your property to you family so you can own nothing, tell the judge you lost your job, and have no ability to pay.

It does not matter if you pay, you will have bad credit anyways so there is noreason to pay now. Now wait a few years then pay a reduced amount on the debt, which they will be more ready to accept once they see that you are willing to walk away from a loan entirely.

If you go to a debt collector and say you are willing to pay half, they think they can push you into paying the other half, remember they meet people all day long who claim to be unable to pay but end up paying, so you have to really show that you don't care. Debt collectors harass the people who are most likely to pay the most.
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Old 02-06-2010, 10:53 PM
 
48,521 posts, read 80,629,015 times
Reputation: 17959
Do not tranfer the property to your relatives as that can get you in worse poroblems. The court will have you fillout a statemnt on you financial situation if you claim you can not pay. You would have to lie on that sateemnt and that would be a crimioanl violation.Property transfers are pretty easy to find and alot fo people caught doing this every years to avoid paying. They will bingo on any tranacton within two years.As to those claims of harrassment the judge is very likely to tell you to file with your attorney generals office and then get back to the matter very quickly. Your claims will then be investiagte as a separate matter when they get time with all the thousands of other. Two separate matters really.
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Old 02-08-2010, 05:11 PM
 
Location: Boise, ID
7,990 posts, read 22,337,774 times
Reputation: 9171
I agree with texdav.

I also disagree with backtar that it is better to go back years later and negotiate the debt. That will renew that collection account on your credit report, as they will report a payment as of that month. That makes it current activity, which will renew the time frame for it to stay on your credit report. So instead of being 4 years from having it drop off your report, you'd be back to 7 years. And it would still be a negative. That just stretches out the time before it stops haunting you.

Deal with it now, however you can, and move on with life. I am also in the "try to negotiate a reduced settlement" camp. I know when we (as a property management company) take someone to court, it is for all rents, damages, legal fees, etc, but it is also for late fees, and penalties. We will always settle for being reimbursed for all hard costs (ie rent, damages and legal fees), if payment can be made in full.
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Old 02-13-2010, 04:13 PM
 
Location: 23.7 million to 162 million miles North of Venus
4,967 posts, read 4,711,798 times
Reputation: 4118
Quote:
Originally Posted by Lacerta View Post
I agree with texdav.

I also disagree with backtar that it is better to go back years later and negotiate the debt. That will renew that collection account on your credit report, as they will report a payment as of that month. That makes it current activity, which will renew the time frame for it to stay on your credit report. So instead of being 4 years from having it drop off your report, you'd be back to 7 years. And it would still be a negative. That just stretches out the time before it stops haunting you.
Re-aging an account to report for another 7 years, past the date of first major delinquency with the original creditor, if a payment is made after the account is charged off is illegal. Even an original creditor cannot (legally) change the date of first major delinquency if a payment was made before the account was charged off and that payment did not bring the account current.

eta
Paying on a charged off account may, in some states, allow the state collecting SOL to be re-set but it would never allow the reporting period to be re-aged.
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Old 02-16-2010, 08:11 AM
 
Location: Piedmont NC
4,597 posts, read 10,197,098 times
Reputation: 9131
I don't know how the people who work for a collection agency don't have ulcers from the stress.

We have had some big hospital bills for the past several years, for surgeries I have had, and surgeries my spouse had as the result of an accident. We always honor our debt to the hospital and the doctors, but it takes us awhile to get them all paid in full. In the meanwhile, the hospital turned a balance on one account over to a collection agency, and until I made it clear I'd be paying the hospital and not them, they called every day at about 8:00 a.m.

If I answered the phone, which I usually do, we'd discuss sending them (the collection agency) a payment, and I'd always explain my position, that my intentions were to pay the hospital in full (which we do). These folks claim that even if I pay the hospital in full, they'll see to it that the debt appears on our credit report. I am assuming the credit report will also show the debt has been paid in full, to the creditor, no?

Last time I was at the hospital, I noticed this collection agency's name on the plaque out front, listing them as a sponsor of the medical facility. Struck me as peculiar, like patting the hospital on the back for giving them the business.
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Old 02-17-2010, 03:29 PM
 
36 posts, read 175,527 times
Reputation: 42
Read the posts above Sean98125. It was a summons complaint. Granted the Debt Collector Attorney filed the lawsuit, but it obviously was served by the Court. Also the summoned party confirmed with the court, it was a Summons Complaint that needed to be responded too. Because the Summons complaint showed the Attorney's name, and the Attorney filed the Lawsuit, honest debtor, may have thought it was served by the Attorney and not the Court. Berbee gave some good recommendations and help to the honest debtor.

As for a Lawyer, I would seek the advice of a Legal Aid Clinic. But one doesn't necessarily need a Lawyer to represent themselves in Court. I've not had any previous legal background, when we received 2 lawsuits - Summons Complaints.

I got the 2nd via settlement with other Attorney for a Dismissal with prejudice, per the Attorney's request (a debt collector's-collection agency's attorney) and the 1st one also the Summary Judgment set aside with a Dismissal with prejudice Motion to Comply Sanction.
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Old 02-17-2010, 03:34 PM
 
36 posts, read 175,527 times
Reputation: 42
[SIZE=3]Anyone have problems with Collection Agencies calling? There are laws to protect Consumers from these jerks. #1, they technically do not have any authority. They usually purchase charged off bills, from other creditors for pennies on the dollar. #2, because the bill is with an original creditor, and not the Collection Agency, you are NOT obligated to these jerks. They will try to convince you that you are. #3 the only way you become obligated to these agencies, is 1) if a new contract/agreement is done in writing, and you sign - but you are NOT obligated to; and 2) is if you make payment arrangements with them; thereby creating a contract/agreement, where none exist, when they first contact you!!![/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]The "Law of Novation" states that when a new owner of an account or an alleged debt, a New Contract must be written and signed by All parties, for a Contract/Agreement to be in place, with a different Creditor. Collection Agencies are known for violating Federal Consumer Protection Laws; and they are allowed to, because those uneducated in those laws, keep allowing them to.[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]If the American people, became educated in these Consumer Protection Laws, Collection Agencies would have to close their doors, due not not receiving any money, when customers are sent bills, or collection demand letters. [/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]However, you technically do need to respond to them, if they are sent Certified mail, otherwise, they don't know, if you actually received them or not. A Cease or Desist or Cease Communication letter, similar to: [/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]To: Name[/SIZE]
[SIZE=3]address[/SIZE]
[SIZE=3]city, state[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]date[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]RE: [/SIZE]
[SIZE=3]Original Creditor Account: 689259820[/SIZE]
[SIZE=3]Amount in Dispute: $ [/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]Dear (Collection Agency).:[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]I am in receipt of your demand for payment. However, this Notice is to confirm that I do not wish to be contacted again by you, and that you are hereby put on Notice to Cease Communication pursuant to 15 USC Section 1692c(c). Failure to comply with said Notice, shall result in a complaint filed and submitted, to the Federal Trade Commission, and possible legal remedies, in an appropriate United States District Court.[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]In addition, PLEASE TAKE NOTICE THAT, I am not waiving my right to dispute, the alleged debt asserted herein, but at this time I am under no obligation, to respond as a result of ________’s default. [/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]Sincerely,[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]Name[/SIZE]
[SIZE=3]Address[/SIZE]
[SIZE=3]City, state[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]Regular Mail[/SIZE]
[SIZE=3]Certified Mail#: XXXX XXXX XXXX XXXX XXXX[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]If you answer the phone, simply say:"I do not discuss financial matters by phone - send me a statement in writing and I will respond to it." Then Hang up!!! Otherwise, they will have you completely shaken!!! The longer they keep you on the line, the more chance they have, to get money from you including payment arrangements – or payment agreement/contract!!! You are NOT legally obligated to talk to them!!![/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]Collection agencies are ruthless jerks!!! They will tell you they are the original creditor when they are not - even though it is illegal, for them to do it, per Federal Consumer Protection Laws. You can legally sue them for $1,000.00 per violation.[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]When you do get a statement - google "FAIR DEBT COLLECTION PRACTICES ACT" One or more online Attorney websites will be shown. These websites will have valuable information, including a Cease & Desist sample letter; or a Cease Communication letter. Once received, it is a violation of the Federal Fair Debt Collection Practices Act, to contact you further.[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]You can also educate yourself by reading Consumer Protection Laws at www.ftc.gov; a lot of valuable information. Don’t have time, download and read later. You will be glad you did!!![/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]I am not an Attorney - just an Educated Consumer, in Consumer Protection Laws. I have spent hours studying these laws and becoming familiar with them. They have helped us and friends/family as well; and hopefully it will help someone, who reads this.[/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]And for those self-righteous criticizers, who say, just pay your bills on time; things happen to people with Credit Card debt, medical bills etc., often beyond their control such as job loss, divorce, death, illness etc. and you find your self in a bind. We've been there, we know. You do not plan to pay late, or not make payments; but if the income quits - there's not a whole lot one can do! You then are forced to prioritize, Mortgage, Utilities, Car payment then food, if you can! Other things have to be let go! [/SIZE]
[SIZE=3] [/SIZE]
[SIZE=3]I hope this information will be helpful to somebody who reads it!!! [/SIZE]
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Old 02-17-2010, 03:48 PM
 
Location: Massachusets
3 posts, read 28,070 times
Reputation: 12
I'm being sued by capitol one, or solomon and solomon law firm out of NY, I was issued a summons by a sherrif, and of course i was scared witless and signed the summons, i responded to court and their lawyers, as i was told to do, and have followed everything by the courts instructions, i have another court date in march, cannot afford a lawyer. I have not tried to pass the debt off as not my own, i was honest about how i was laid off in june of 08 and it wasn't a case of unwilling to pay, it was a case of unable to pay, now Solomon and Solomon is harrassing me with letters which appear? to be court papers, asking for documents, of which i have none. I have never denied the debt owed, I tried to deal with Capitol One when i lost my job I contacted Capitol One, to make payment arrangements, asking that the payments be reasonable and realistic, due to my being unemployed, they refused to work with me and my financial parameters. So can someone tell me, why this law firm/debt buyer is harrassing me for documents, etc, when I have none to speak of?
Is this cleverly disguised bullying? made to look like it is an official court document that i must respond too?
Also, to my knowledge, they charged off my debt well over a year ago, but Capitol One is suing me, I believe Solomon and Solomon bought my debt, but Capitol One is listed as the plaintiff,
These people are scary, call from sun up to dun down, under several different numbers, I have no assets except my vehicle, what do they want from me? My blood. I wish I could just tell them to arrest me, and be done with it, I have nothing of value to give to them, I do know it is a debt i owe, and i would LOVE to be able to pay them back, but at this point in time, I am unable too, does this give them the right to keep sending me letters stating and demanding documents, etc etc, using lawyer speak to scare me into what? Surrending monies i do not have? Giving them assets I do not own?
So who do I actually owe this debt too? if Capitol One Charged off my debt well over a year ago, why are they listed as the plaintiff?
I am thoroughly confused and don't know where to turn for advice, I have been going to court as scheduled, and been dragged around with this, and it is taking up precious time that could be spent looking for employment, i am distressed to say the least, Can anyone offer their advice?
It would be so greatly appreciated.
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Old 02-17-2010, 04:29 PM
 
Location: Piedmont NC
4,597 posts, read 10,197,098 times
Reputation: 9131
Pet Mommy's advice here is right on-the-mark.

You need to file a complaint with the Federal Trade Commission. You can do it online, accessing the website for yourself. You can also file a complaint with the State (of the collection agency) through the State Attorney General's Office. I'd do both.

Read all of the information carefully, because if I am not mistaken, there is the suggestion that you send the collection agency a letter of Cease-and-Desist, after which point it will be illegal for the collection agency to contact you, either in writing or over the telephone. Your letter needs to state what they are trying to collect, where you stand on the issue, and the request to stop contacting you. Send the letter return receipt requested, and keep the stubs.

Keep all of your documentation in a file -- all correspondence, notes about phone calls, what was said, date/time, etc. You probably won't need it, ever, but you can refer to the dates/times/threats or 'requests' in your own correspondence.

You do not need an attorney in this situation. Just find the website, follow the directions, be your own advocate, and know the law(s). Capitol One's debt will appear on your credit report, and will affect your credit rating, but you do not have to suffer through the lunacy of a collection agency.

Man, but wouldn't you hate that job? They probably drink Mylanta by the gallons.
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Old 02-18-2010, 11:29 AM
 
3,698 posts, read 9,949,622 times
Reputation: 2592
"The court clerk is wrong!! You must file your answer with the court and send a copy to the collectors lawyer."

Only if there is an actual court case involved. If this is just the typical posing and threatening from a collections agency then the court isn't involved yet.
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