SOL and credit card companies
Date: Mon, 03/08/2010 - 06:37
Quote:Originally Posted by AnonymousFor terms of SOL, does that
Quote:
Originally Posted by Anonymous For terms of SOL, does that mean the state I live in as the credit card holder or the state the original credit card company is in? |
The statute of limitation of the residing state of the card holder would apply.
There is only one exception to this and if you can fight it, you
There is only one exception to this and if you can fight it, you should be able to win...most of the time it is used in lawsuits....If you get a credit card agreement from a debt collector, read it over. Most state the credit card agreement governed by the state of Delaware and only that state...so if your state has a 10 year SOL, per the credit card agreement, you can actually use that SOL, Delaware is a 4 year SOL....Some say virginia, New Hampshire and Arizona,,,,,all a 3 year SOL...
They will try to fight you on this but I have seen quite a few cases that people have won and even some where people filed a lawsuit for violating the FDCPA, collecting on a time barred debt. The debt collectors would say in a lawsuit that the plaintiff has a 10 year SOL and the debt is not time barred, the plaintiff would say that the credit card agreement given by the defendant states it is only governed by say, Arizona laws, 3 year SOL.........the plaintiff ends up winning or they settle before trial and the plaintiff still wins.
Not many people know this, and if you know what your doing or have a good attorney, you can win.
Quite awhile back, I'd posted about just what pokertramp stated.
Quite awhile back, I'd posted about just what pokertramp stated.
It was a Virginia SOL. The defendant was in another state. The defendant won.
Quote:Originally Posted by pokertrampThere is only one exception
Quote:
Originally Posted by pokertramp There is only one exception to this and if you can fight it, you should be able to win...most of the time it is used in lawsuits....If you get a credit card agreement from a debt collector, read it over. Most state the credit card agreement governed by the state of Delaware and only that state...so if your state has a 10 year SOL, per the credit card agreement, you can actually use that SOL, Delaware is a 4 year SOL....Some say virginia, New Hampshire and Arizona,,,,,all a 3 year SOL... They will try to fight you on this but I have seen quite a few cases that people have won and even some where people filed a lawsuit for violating the FDCPA, collecting on a time barred debt. The debt collectors would say in a lawsuit that the plaintiff has a 10 year SOL and the debt is not time barred, the plaintiff would say that the credit card agreement given by the defendant states it is only governed by say, Arizona laws, 3 year SOL.........the plaintiff ends up winning or they settle before trial and the plaintiff still wins. Not many people know this, and if you know what your doing or have a good attorney, you can win. |
It would only help when the SOL of the residing state is greater than the SOL of the state mentioned in the credit card contract, right?
Correct, if your state has a 10 year SOL and it has been only 6
Correct, if your state has a 10 year SOL and it has been only 6 years since a payment was made, they could sue you......but if they did and they used a credit card agreement in the lawsuit and if that agreement says that it is governed by the laws of say, New Hampshire, you could push the NH 3 year SOL on them.....That should be able to win in court.
I have read more on it and there are some states that don't allow choice of law, not sure what states but you can't use the agreement if your state does not allow another states laws to go into effect.
The one good pawsuit I seen was Capital One, who was held as a debt collector at one point....They sued a guy for $800 and made him incure $100,000 in attorney fees....I think he got that case dismissed if I remember....He ended up filing a lawsuit against Capital One, used the SOL in the credit card agreement, which had a shorter SOL than his state making the debt time barred....He sued Capital One for suing him on a time barred debt and Capital One settled for $120,000.