Creditors and lawsuits

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?

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! :) ...Karen

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.

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.

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.

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!

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?

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)

Quote:

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?????

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.

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.....

I'm in the same boat. I just received a call from citibank stating they are going to sue me and freeze my assest. I'm also in a debt settlement with a law office and this really concerns me. I've called the la office but couldn't tell me much since I had no number or name for citibank. Can they really do this or does it have to court first?

Agencies are by law not required to work with credit counseling affilates. Those that do so are doing it strickly as a curtesy. If you do not have an accepted proposal from the client or the agencie then they have the right to persue collection of the debt by any legal means.

Has anyone been enrolled in a debt settlement company and had a judgement granted against them while enrolled in a debt settlement program?

Like what was previously mentioned, should this occur--my whole plan with the settlement company would fall to pieces and I would be forced into bankruptcy.

I know it is not the end of the world to bankrupt, however even the cold heartest judge in my opinion would want to keep that from happening if at all possible.

It also seems in my opinion that the judge would penalize the cc company for not wanting to work out some sort of a settlement....

I know...I am in la, lah land.

Your documents that confirm you using a debt management program to pay off the past debts is very vital proof to avert a judgment. It is up to the interest of the credit company if they want to file a court case against you. In most case, they will desist doing it because of the court costs and fees involved with it. If the matter is taken to the court, the judge will find you taking care of this matter using a professional help. The credit company will have to take the expenses and work with your arrangements.

I am handling the collections agency's for my girlfreind, becuase they forced her into post dated checks by intimidation. long story short, the first "settlement" from a CA backfired 3/4 of the way paid off the CA said the creditor backed out is that possible? Also they are filing arbitration papers against her because of that. 2 different agency's are now involved.

I am clueless as to our options, my FA (Financial adviser) tells me to get everything in writing before sending any kind of payment, but the CA says the arbitration papers are enough. I contact the OC (Chase bank) and they tell me its not in there hands, that the settlements are not there problems. What can I do?

Your FA is right. Has she already been to arbitration? It's unfortunate that she (probably unknowingly) agreed to arbitration instead of trial, because it is usually nothing more than made up of creditor friendly arbitrators.

V-JIPAT
Yes they can come and sue you and they will. I am going to court on 6/12 for a capital one account. I spoke to the magistrate handling the case and he said they are probably filing the lawsuit because the statute of limitations is near. Once a civil suit is filed, it halts the SOL. He said they probably won't show up, but will appeal his decision if he rules in my favor, if they don't show. That I should contact them and get it taken care of. I tried to call today, of course can't get anyone on the phone. It is really frustrating. who is the lawfirm representing capital one on your case?

No she hasn't been in arbitration yet, they have just sent her the papers, she hasn't agreed to anything as of yet, we are waiting on the paperwork, but the agent told us that if payment wasn't recieved by the end of the month then the "settlement" would not be valid and action would be taken.

The above post is mine, it did not add my name to it.

What options do we have when the collection agency won't accept the payment we can make? they want XXXX we can only give XX, they say that this is not acceptable and they cannot accept payment.