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taipan126
Jan 26, 2007, 05:01 AM
I just received a summons to appear in court and would like advice as to how to proceed.

A local attorney has filed for a judgment on an old credit card debt. I had completely forgotten about this one and have received no bills or collection attempts for over 4 years on this one.

The paperwork cc'd to me shows a credit and statement from 2002 indicating a $700 credit limit but the amount due on the statement was $1375, presumably from accrued interest and fees. To this the attorney has added another $1262 plus unspecified attorney fees and court costs.

If I had received a collection letter or something, I would have asked for validation or attempted a settlement. I don't know what to do now with a court date less than 4 weeks away. I can probably scrape together the original $700 and would grudgingly pay that as it is probably a fair dept owed, but there is no way I can come up with $2500+.

Should I send a letter to the attorney disputing the claim and requesting validation pursuant to FDCPA? Should I call or mail an offer of $700 (or less) to settle ? I figure this guy paid 10 cents on the dollar at best for the debt. Should I just spend the $700 on bankruptcy as I have another larger collection account that has already gone to judgment in a different state?

The original amount of $700 was probably valid once upon a time as that is about when I got laid off and fell behind on all my bills, but I don't know if this lawyer is legit and authorized to collect this debt as there was no documentation included assigning this debt to him by the original credit card company.

Any help or suggestions would be greatly appreciated.

mr.yet
Jan 26, 2007, 05:59 AM
Yes, dispute the alleged debt in writing withint the 30 days, make them validated the alleged debt, by producing the original contract, do not call them on the phone, all contact must be done in writing.

Failure to dispute the alleged debt will lead to a summary judgment in court.

Deny all until they prove they havethe original contract.

Since you are summons file NOtice of Intend to defend, after that file discovery with against the plaintiff and demand the produce the original contract, not a copy the original, ask if they purchaed the debt, and at what price. And stuff like that. Limit question in discovery to about 12, send t othe attorney for the plaintiff, not the court.


See link:

https://www.askmehelpdesk.com/bankruptcy-debt/helpful-information-about-bankruptcy-debt-credit-bureaus-51714.html

chippers
Jan 26, 2007, 06:36 AM
Write the collection agency for validity of the debt. Also check with your states statue of limitations regarding credit collections. Also notify the court you are disputing the claim. Send everything to the collection agency by return receipt requested. They have 30 days to respond. When you write them make sure you state not to contact you by phone. That way all communications are done in writing and no one can deny having said somehting. Also check out the web site of the federal trade commisioon regarding the fair credit and colletions act. By all means go to court on your court date. Ask for an extension to get you papers as in you were notifief just prior to the court date. Most likely the judge will grant a continuance. By not showing up, there is a 88% of the collection agency getting a judgement against you.

ScottGem
Jan 26, 2007, 06:53 AM
Just to add some points here. First, there are several threads here with circumstances almost exactly like yours. And the answers to them were exactly like you received. It's a good idea to browse the forums before posting, you might find the answer already posted.

Second, Lawyers and collection agencies will purchase old, written off debt from creditors for pennies on the dollar. Its pure speculation figuring if they can collect then haven't risked much. The problem (for them anyway) is that too often, then don't get full documation verifying the debt. This works to your advantage because you don't have to pay unless they can produce the original contract with your signature. There is also a Statute Of Limitations issue with such debt having expired. Doesn't mean they can't try to collect, just that they can't get a judgement to collect.

So, as advised, you respond to the court that you intend to defend. You then contact the attorney, requesting proper documentation (again, there are previous threads that detail how). Finally you check local laws for the SOL. You can then go into court prepared to fight.

However, if the SOL hasn't expired and they do produce the original contract, then they will win the judgement.

chippers
Jan 26, 2007, 08:35 AM
Sorry scottgem, I got the spread it messege. I coulkdn't agree more with your advise. I couldn't have said it better myself.

Chippers