I defaulted on my Target account back in 2003

Since you were taking time to set financially, your account was adding up with interest charges till the time you were contacted again. But, adding up of interest charges is only possible if it's stated in the agreement contract while you signed with your original lender.

The lenders have to mention this point very clearly in the contract that the collectors will be allowed to charge the permissible rates of interest as per the state laws where the account is being collected. Check the prevailing rates of interest with your local consumer protection office. They will give you more details regarding this matter.

Ask the collection agency to validate the debt in writing. In their debt validation letter, they must put every detail about this account in writing. It should show your account's break off with a separate column of interest calculations. This debt validation letter should also mention the date of last activity in the account. This will explain if it's within the legal SOL period. If the account is out of the statutes, you can legally refuse to pay them anything. Ask for proper paperwork before paying the collection agency anything. Send all your correspondences through certified mail with return receipt requested. Keep everything documented in a file for proving the facts.

Quote:

Is there a good website to find SOL on unsecured debt? I googled it and I'm all over the place.

Try this one http://www.fair-debt-collection.com/statue-limitations.html

It's a very good website that gives valuable information on all the credit related queries.

Oh Gosh, Tennessee's SOL is 6 years not 5 like it is in most states. wow, one year from it being removed from credit report. Just means that I thought I had a year left on something before SOL ran out, now its two. shirley

Thanks David. You've been a big help to me!

Ohio states 6 years for oral or written contracts or even 15 years for written contracts. It gives more info on demand notes and time frames. Now, I'm more confused than ever. I'll have to do some more research but in the meantime, I've written up a dv letter to send to the CA this week.

I went on the website you listed to find the SOL. I'm not sure of what I looking at(Below)this is a Target Credit Card am I to assume the SOL is 6 yrs from the last transaction on the account?

Also the collector is asset acceptance llc, I see their name in several complaints on this forum, are they or aren't they ligit? How can I find out?

Pls help.


Massachusetts Statutes of Limitation

Debt instruments issued by banks, Contract under seal: 20 years.
Judgments: 20 Years.

Oral or Written Contracts: 6 Years.

Consumer Protection Actions: 4 Years.

Recovery of Property: 3 Years.

Probate Claims: 1 Year from date of death.

Claims on mortgage notes following foreclosure or on claims junior to a foreclosed mortgage: 2 Years.

Quote:

Thanks David, below is the info I got from the BBB on the collector FBCS that is calling me and listing asset acceptance llc as their client (go figure). Any way they are not harrassing me in any way as I have contacted them to find a fair payoff amount as I suggested in my first post. I'm waiting for them to get back to me on my offer of $200. If they agree, is it safe/ligit to pay them? Will they do the right thing with my credit report? Also should I still persue the validation if I'm willing to pay the agreed amount? I honestly don't think the SOL applies here.

FBCS, Incorporated
841 East Hunting Park Avenue
Philadelphia, PA 19124
Philadelphia County

BBB File Opened December 01, 1997

BBB Member This company is not a member
Type of Business collection agencies

The information in this report has either been provided by the company, or has been compiled by the Bureau from other sources.

Customer Experience
The company has been responsive to any complaints brought to its attention by the Bureau.

Customer Complaint Data

Number of complaints processed by the BBB over the last 36 months: 57
Number of complaints processed by the BBB in the last 12 months: 24

Complaints Concerned:

Selling Practices (7 complaints)
6 Resolved
1 Company made every reasonable effort to resolve

Service Issues (12 complaints)
11 Resolved
1 Delayed Resolution

Credit or Billing Disputes (32 complaints)
30 Resolved
1 Unresolved
1 Company made every reasonable effort to resolve

Delivery Issues (1 complaints)
1 Resolved

Refund Practices (2 complaints)
2 Resolved

Contract Disputes (2 complaints)
2 Resolved

The company's size, volume of business and number of transactions may have a bearing on the number of complaints received by the BBB. The complaints filed against a company may not be as important as the type of complaints, and how the company has handled them. The BBB generally does not pass judgement on the validity of complaints filed.

Additional File Information
The company has responded to most complaints by researching and resolving credit disputes and by providing information in a timely manner.

Thanks so much for you input. :D

Debbie, being a consumer, your first concern should be to remain proactive while dealing with any agencies. It is very important that you should get the worth of your money sent to them and not getting scammed.

Asset should have no problems in updating your account is have served you the validation properly in writing. But, you should be more interested in getting a statement from them in writing about how they will report to the bureaus. If they have been hired by your creditors, the account will be sent to them who will be further responsible to do the update.

It will be better for you to negotiate tactfully with this collection agency. Many have faced problems while dealing with them. So, it will be in the best of your interests to get everything in writing. They will say that if you don't pay them, your credit will get hurt. Well, at this point your credit is already hurt being the account reported in collection and there is nothing worse they can do further. It is they who will be accepting your deal more happily. But you should not move from your legal basis. I am hoping that the matter will get solved positively.

David thank you so much for your help. I just got off the phone with FBCS and they have agreed to the $200.00 payoff I'm waiting for a validation letter as we speek before I pay anything.

For anyone who has to deal with these people I must tell you that I have spoken to every idiot in this company who think we are just dead beats and treat us as such, unbeknown to them that we have much higher educations and as for me experience in the Accounting world, that said I have been dealing with Lynette Lopez who is in a supervisory position, she is well spoken, polite, helpful and most of all knowledgeable !!!!!!! She will do everything she can to help you as long as you are willing to settle and not argue. It pays to ask to speak with someone who is athorized to make decissions, you bypass all the morons on the first call.

Thanks again David :D I'll let you know how it turns out.

Thanks Debbie. I am happy for you that you have been able to resolve this matter. Continue with your payments after the debt is validated. I am sure everything will be just fine and your credit will show some improvement.