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Posted: Fri May 19, 2006 12:14 pm Subject: Creditors and lawsuits

I received this email from my friend today:

"This creditor called, I am in deep crap right now. They are saying that they are sending it to my county for a lawsuit against me if I don't pay the amount. I have missed payment for several months now. Can they do this?"

I advised her to sign up on here to get some help and advise - but she is very cautious about that so I'm just going to step on in and post the situation. Can they sue AND what should she do ASAP to give her some time to figure out what she needs to do?

Posted: Fri May 19, 2006 12:18 pm Subject:

and FYI - they called her at work - on the general line and asked to speak to her (they didn't even call her extension). Is that legal?

Posted: Fri May 19, 2006 12:28 pm Subject:

Ehwin-don't know where you friend lives,but check the states laws there. Also,LVNV-Phillips-Cowen,etc.,said they were going to sue me and issue a jusgement if I didn't pay in full. They wouldn't even talk about payments. What I did was,send a debt validation to the. Your friend can also send a cease and desist to the certified mail. That way she can have them only contact her through the mail. I am still waiting in DV from mine,been over 30 days,so I sent them another request-still haven't heard from them. They will threaten and harrass anyone. Have your friend keep notes,names,dates,and times of the calls and correspondence. She might try to call and set up payment she can afford if they will work with her. Have her just visit this site for a while,maybe she will become more confident and sign up and get free counseling. Hop this helps! Smile

...Karen

Posted: Fri May 19, 2006 1:26 pm Subject:

Thanks Bossy -

I jut walked her through MANY different options. Here's more to the story (that I didn't have when I posted this). We pulled her credit report and that very account is only a bit past due and says she only has $120 past due - I told her to call the actual creditor (and not the collection company that called) and get more details. It's Citi Bank and the total amount is so low that I can't imagine why they sold it to a collection agency when she is only a couple of months past due. It all sounds very fishy.

Linda · Posted: Fri May 19, 2006 1:49 pm Subject:

IF they call your employer they CAN NOT release the information on what the call is regarding to anyone but you....that is what I have been told by CNI.

Posted: Sat May 20, 2006 4:21 am Subject:

Yes, they can call her at work. They might not have her extension. A Collections agency can take legal action, however if they threaten to do so they must. The can not bluff their way into it.

Citi Bank is one of the lartgest lenders in the US. How do you think they got that way? By not letting the small things go. If they sent it to a collections agency it is because she hasn't made a pmt for 90 days or the min amount she has been sending in isnt sufficient enough to cover the min monthly pmt. And they now want the balance in full which they have every right to ask for.

Always make sure you read the fine print when you sign up for a credit card.

My suggestion is contact citi bank and see what type of plan she can get to pay this thing off. Especialy if it hasn't charged off yet because she could be still recieving late fee's on top of the intrest. Postponing the situation, especialy on a pre-charge off credit card, isn't the greatest of ideas.

Posted: Sat May 20, 2006 5:13 am Subject:

Trust me - I read my fine print and never miss payment - no matter WHAT I have to do! I just posted this for her to get some advice since I haven't dealt with these situations and didn't want to steer her in the wrong direction. All of your postings have been very very very helpful.
I think she did call Citi Bank and they sent her to the dispute department. I just told her to explain her story in a letter if they won't talk to her and try to make some kind of payment to the collection company (something substantial) only after getting a debt validation letter from them. What a mess!

V-JIPAT · Posted: Sat May 20, 2006 6:02 pm Subject: Capital One

Just recieve a call from this callection agency in GA, Guy told me that they were gettign ready to sue cause i owe money to capital one, i remember this account and the reason i couldn't make payments cause i got sick and end up in hospital. I call capital one and told me that the account has zero balance meaning that they sold it to the colletion agency, So anyways this guy calls andtold me that i could either pay 775 and make a payment now, or they would need a credit card on file to charge me 999 on may 26, i told him that i didnt had the money and that i was desable and he told me that,it was not his problem. so i end up giving him my debit card # for the 26, i know i probably wont have the money so if is decline he said that they will porceed with the lawsuit and stated" refused to pay".. i do want to pay this account but i cant affor to pay all of it, what can i do? Oh yeah i have not even recieve a letter from them or anthing and today is the 1st time i had talk to them.. i reside in Wa state any help.. can they really come to my county and sue me?

Posted: Sun May 21, 2006 5:35 am Subject:

Posted: Sun May 21, 2006 8:12 am Subject: Does anyone know....???

Jedi--are you out there? (or anyone)

Did you tell me that since I am in a debt settlement program that it would be hard for a collection agency or original credit card company to get a judgement against me? I am just really worried about this.

I mean, I am just really terrified that they will try to garnish me or seize my only checking acct. I know credit cards are unsecured accts, but they sound so dead beat serious when they call wanting their money (the CA's)

Posted: Sun May 21, 2006 10:31 am Subject:

Posted: Sun May 21, 2006 10:46 am Subject:

Posted: Sun May 21, 2006 5:26 pm Subject:

Lessismore:

Nope, 3 cards say they do not work with the settlement companys and they are not required to work with them.

The settlement company says, they work with them every day, they are just wanting their payment and trying to bluff me into paying them.

I have been told that since I am in a debt settlement program that the judge will throw out the judgement against me....

I have no money for a bankruptcy lawyer, this is why I turned to a debt settlement company.

are you telling me this will be a waste of my time?????

ljclark1 · Posted: Sun May 21, 2006 5:56 pm Subject:

Lessismore,

I am in a debt settlement program. There is alot of people on here that gets them confused with consolidation help. Debt settlement people DO NOT make monthly payments to the creditors.

All payments are stopped completely and you only pay the settlement company. They in turn put the money into an account and "settle" with the cards on a one by one basis (as long as I have enough saved in my acct to settle and that both the company and I agree to settle for the certain amount.)

Of course my cards don't want to settle for half of the balance, however something is better than nothing (if I were to bankrupt.)

I don't know...but I hope they don't try to get a judgement on me, before it is all said and done.

Posted: Sun May 21, 2006 10:51 pm Subject:

ljclark1 · Posted: Mon May 22, 2006 7:11 am Subject:

Lessismore:

I talked to a local attorney here and told him my situation and he told me that he would not tell me what the judge would or would not say. He told me the odds of the credit card companies getting a judgement on me were very slim, to not worry about it.
This was after he asked me my balance and I told him the maximum on like 4 cards are 5000.00 (they are collecting interest now) and 3 are like around 1000.00.

I don't know what to fear or think.....

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