You can sue them for damages.

Case:
Venes v. Professional Service Bureau, Inc.
Court of Appeals of Minn.
353 N.W.2d 671 (1984)

check out this case

Hello Everyone,

I have been contacted by asset acceptance llc (AAC) via my cell phone a few days ago. Kudos to their skip-tracers as I am not easy to find, and it is a new number, curious as to how they got that. AAC is claiming to have an alleged debt from a Discover card account. I am waiting to take legal action until 1/2008. Unlike some people I am not afraid of being sued, so if AAC decides to sue me on this alleged debt I would welcome that action. I am simply waiting until 1/2008 as it offers a ripeness to my legal case when I decided to go on the offensive against them.

Facts:

Alleged debt is for $3550
Offering Settlement of $1780
According to a Credit Reporting Agency the date this account originated was 12/2003; it will expire from that credit report 1/2011 according to the report.

Contacted Discover Card:
Alleged original amount: $1803
Date of last activity (payment): 12/2000
Date of charge off: 10/2002

Residency: Texas

I am going to hire an attorney to deal with Asset Acceptance LLC and potentially sue them if they do not discontinue lying in regards to this alleged debt.

Does anyone have any advice on attorneys with experience in the Austin, Texas area with this type of legal issue? I already have one in mind, but would like to hear more options. Furthermore does anyone have a list of important persons, agencies, or entities I should be writing complaints to regarding this issue. For example, writing the Texas Attorney General, BBB, and FTC? I want to have substantial documentation regarding this issue and am willing to follow up, so please let me know what you would recommend. Also, has anyone really had any luck with the form letters found on-line for disputing a debt on SOL? I have read other forums where attorney's state that when they get such letters they laugh knowing that they are dealing with someone who is not educated in the law and proceed to trounce them. This is ultimately why I am hiring an attorney in this matter, but I do need to respond to AAC within 30 days of that phone call.

Any help is appreciated,

-S

[Ang]

Are u sure on the dates of last payment and charge off?? Usually a credit card company will charge off an acct after 90 days of non-payment! Urs is 2 years! Go to naca.net to look for an atty in ur area.
Good luck and keep us updated,
Ang

Update:

I just checked my credit reports and scores: asset acceptance llc (AAC) has been removed from my credit reports. At least they are no longer reporting the AAC collection on any of my credit reports on myfico.com anymore. I really do not trust this since they have called me recently. I am not calling them back or speaking with them. When I hire an attorney he/she can speak with AAC on my behalf via certified registered mail. Though I would love it if they suddenly put their alleged collection back on my credit report; would make legal actions a little easier. I may end up hiring an attorney to draft a letter to inform them that this is an invalid debt and regardless beyond the statute of limitations (SOL - 4 years in Texas). FYI: I am certain about the dates, I contacted Discover Card Financial Services and obtained the dates from them directly. Allegedly Discover Card sold this alleged debt to Vision Management (a debt collector) and AAC obtained this alleged debt in 12/2003. Interesting how that 12/2003 date coincides with the date AAC alleges the account was opened. This alleged debt is now only appearing on one Credit Reporting Agency's (CRA) credit report as Discover Card debt with the above noted information. I wonder if AAC is going to move to attempt a default judgement against me. That would be entertaining and I would go after their attorney for both legal and ethical violations. Having reasonable knowledge that they alleged debt is not valid and not collectable and pursuing it outside the SOL.

For clarification if this debt were valid I still would not be legally obligated to repay it under the SOL and it can not be reported on any credit report by any CRA after 7 years, which would be next month, or as I read and understand FCRA 180 days from the date of 12/21/2000 and 7 years, which would be approximately June 20, 2008. This date is the date of last payment activity according to Discover Card and is the controlling date with regards to credit reports.

Disclaimer: my information is based on research I have conducted and my be incorrect. You should verify any information if it pertains to you. Always consult an attorney with complex legal issues regarding debt collections. Check your area governments as you may qualify for free legal assistance. In no way should any statement I have made be construed as legal advice as I am not an attorney.

-S

I have never had xcel energy and out of the blue I am getting collection notices for these clowns.

Is this business also known as Asset Care? I just had my 1st encounter with them over a phone bill back in 1998.

[Shay]

I'm fighting with this company too! A couple of days ago, I received a letter from asset acceptance llc. The letter informed me that they bought a debt from Sam's Club and that I now owe them $197.00. Well, IF I had used the Sam's Card, I would pay the money I charged on it, but the fact of the matter is, I never even picked up the card from the store! I filled out an application for the card (to receive the free gift) in 2003 and when a letter came telling me that I was approved (and had to pay $30+) for the card, I decided I didn't want it, so I never picked it up.

After telling my story to countless people (I was told to call Sam's Club, WalMart Account Services, GE Capital, Sherman Financial and numerous other people), the issue is still not resolved. I finally told the people at Asset that I want a copy of the contract I signed stating that I would be responsible for annual feel and finance charges, without having the card authorized. I was told it would take them 30 days to get the contract and that I would have to call back and it would take me a couple of weeks to get it from them! Keep in mind that the representative I spoke to from GE said that the debt was bought in October of 2006 and everything (paperwork wise) was sent to Asset.

I am now stuck on how to proceed. This debt is being reported to the credit bureaus every month as delinquent. I am attempting to restore my credit and raise my credit score, so I need this debt removed from my credit report, however, I refuse to pay $197 for something I never picked up, never authorized and never used. Can anyone give me any advice on what to do?

dear pd25yrs,
asset care is not affiliated with asset acc. to my knowledge. if someone knows better please let me know!!

Shay,

Be careful dealing with a debt collector on the phone. Based on your commentary you may have inadvertently admitted to the debt collector that the debt is valid.

You said:

"I filled out an application for the card (to receive the free gift) in 2003 and when a letter came telling me that I was approved (and had to pay $30+) for the card, I decided I didn't want it, so I never picked it up."


I am not an attorney so I am not advising you on this issue, but these are theoretical circumstances I would conduct.

Personally I would never speak with a debt collector on the phone. If I were to speak with a debt collector on the phone I would record the call. Prior to recording the call I would research if my state were a one-party state and what level, if any, the debt collector has an "expectation of privacy." I would only discuss issues in writing via certified registered mail. If the debt is not mine (not valid) I would challenge said alleged debt in writing by requesting a validation of said alleged debt (perhaps not wise in your circumstance - see note below). I would also send a letter to the original creditor challenging the alleged debt and appraising them that unfounded collection activities are occurring against me originating from them (again see note below). If the debt collector and/or the original creditor does not reply within 30 days then I would write the credit reporting agencies and send a copy of the letter I sent to the debt collector (and original creditor) and request the collection item to be removed from any report since it had not been validated. I would also request that a written investigation report be remitted to me at my current address. I would also review the pertinent sections of The Fair Debt Collection Practices Act, The Fair Credit Reporting Act, and any applicable state statutes and consumer protection acts. Also I would refer at all times to the debt as alleged and deny it outright (if the alleged debt is indeed invalid). I would also include a statement in any correspondence that states something like "I deny this alleged debt and in no way should any statement I have made be construed as a validation of this alleged debt." I would also conduct searches on the internet as a resource for validation letters then consult an attorney with said letter for their recommendations of additional inclusion or exclusion of language. Preferably have the attorney send the letter on their letter head.

You should consult an attorney regarding your issue. Yes it will cost you money. Potentially several hundred dollars over a period of about a year or longer. Be aware that if you attempt to solve such a credit issue yourself you could complicate matters significantly and end up with the alleged debt becoming a legally enforceable and valid debt (research default judgements). However, in your circumstance it may already be a legal debt; you would have to speak with an attorney about that issue.

Also speaking from experience it took me about four years to remove over 50 revolving trade items and one instalment account (mortgage), none of them mine, from one of my credit reports. I did this myself and can tell you that I will never do it again. I will happily hire a lawyer to deal with such issues.

Get a lawyer and save yourself the hassle. If you are worried about the costs think about the costs in higher interest rates or denial of credit. Furthermore, think about this: if you work in the financial sector or require security clearance you may risk your employment or be denied employment.

I would recommend hiring a lawyer and getting all pertinent documentation:

Have a copy of your credit report.

Have a record of every time you have been contacted by or have contacted the debt collection agency.

Provide your attorney with a transcript (recording) or notes of what you have disclosed to the debt collection agency on the phone or in writing.

Have the debt collection agency's address and phone number.

Note:
In your circumstance you did fill out an application. This potentially indicates a signed document exists for a contract for an account. This could complicate things for you significantly. Just because you did not pick up the card does not mean the account was closed. You did apply for an account and were subsequently approved. This is a fact that an approved account in your name was opened. You may be potentially held responsible for "membership" fees (and subsequent late fees and other penalties) on said account that was left open, which you failed to close. Of course if you never received a bill or were not properly billed you should state that to your attorney as it may have some bearing. You really need to consult an attorney to determine what legal options are open to you.

Lots of information; sorry if it's not all what you wanted to hear, but it's hopefully helpful. If I were in your circumstance I would consult an attorney. If you really are concerned about costs then research if your state has a legal referral system or free legal aid. I know in Texas there is LRS (legal referral system) and if you go to an attorney based on an LRS referral the initial consultation is on $20.00, but after that it is full price. Some counties offer free legal aid and advice services (and yes representation).

Personal word of experience. When dealing with an attorney do not bother them on a daily basis unless you what a really high legal bill. Ask the attorney to give you milestone reports and have that factored into your bill upfront. E.g. pay an upfront retainer to cover majority of the costs including calling you and updating you on your case, say every two or three weeks for 15 minute calls each. Keep conversations on the phone or in person short and to the legal issue(s). Good idea to keep all information in a file for quick reference.

Good luck,

-S

We had a citi card sold to Asset Acceptance. They sent us a notice to go to court. We answered that notice so they would not get a default judgement. Now they are still taking us to court, on Dec 6. I don't know what to do.

You should consult an attorney. I am not offering advice simply and I may be incorrect in my statements that follow. You should conduct your own research and seek legal counsel. Just because you responded (either by phone or in writing) does not mean you get out of a court date. Also your statement indicates to me that you do not understand what a default judgement is by definition. A default judgement is the result of not attending a court date. If you are served you are required to show up to court. If you have the serving papers you will want to show those to your attorney because if they did not serve you properly then that may buy you time. If you do not show up to court the judge views the creditor or debt collector's assertion as valid by default since you did not show up to challenge the allegation, hence default judgement. The alleged debt then becomes a current and legally enforceable and collectable debt. The creditor or debt collector then acquires a default judgement against you and gets significant capacities to collect those funds depending on your state's regulations (wage garnishment, bank account seizure, property liens, etc.). Depending on the age of the alleged debt it could be beyond the statue of limitations. You would need to check your state requirements and you may be able to defend on that basis, but you did not give specifics about the alleged debt. I can not emphasize enough that you need to hire an attorney.

Good luck,

-S

You should consult an attorney. I am not offering advice simply and I may be incorrect in my statements that follow. You should conduct your own research and seek legal counsel. Just because you responded (either by phone or in writing) does not mean you get out of a court date. Also your statement indicates to me that you do not understand what a default judgement is by definition. A default judgement is the result of not attending a court date. If you are served you are required to show up to court. If you have the serving papers you will want to show those to your attorney because if they did not serve you properly then that may buy you time. If you do not show up to court the judge views the creditor or debt collector's assertion as valid by default since you did not show up to challenge the allegation, hence default judgement. The alleged debt then becomes a current and legally enforceable and collectable debt. The creditor or debt collector then acquires a default judgement against you and gets significant capacities to collect those funds depending on your state's regulations (wage garnishment, bank account seizure, property liens, etc.). Depending on the age of the alleged debt it could be beyond the statue of limitations. You would need to check your state requirements and you may be able to defend on that basis, but you did not give specifics about the alleged debt. I can not emphasize enough that you need to hire an attorney.

Good luck,

-S

[jpalacios161]

my husband got papers saying asset is suing for a judgement on account they bought from citibank in 2006..the papers show delinquence as of 11/2003 but say citibank got a payment 3/2004.if they got payment in 2004 then wouldn't the delinquency be that year also? don't know much about SOL but seems if he was delinquent in 2003 then it's been 4 years but seems they filed the lawsuit Oct 31 2007 so that would be 2 weeks before SOL is up. they say they can't send paperwork to us as they already have and they haven't..problem is we are trying to buy our first house and can't afford to have this appear on the credit within the next month or so because then we will get declined when we have already started the process and gotten pre approved

Mid 2003, Assets Acceptance acquired my debt from Providian (the original Lender). That debt was from 2001. Is it still within the statute of limitations?

Can anyone enlighten me on this issue?

I received a court summon on behalf of Assets Acceptance for a debt they acquired around 2003. The original debt was with Providian and it happened around 2001.

A couple of issue regarding this matter:

• I'm thousands of miles away from the county court. Anyway I can just pay this without appearing in court?
  Is my debt still within the Statue of Limitation?