Hero.Won

You're right, Fisthardcheese generally advises against filing arbitration before a lawsuit. In my particular case, however, things are different because I'm dealing with a Citi account (that has a small claims exception to arbitration in its agreement) and because the dunning letter from a local law firm means a lawsuit is imminent.

Hi BV80, thank you for taking interest in my thread. As a scared but eager newbie who has scoured the pages of this forum (and know whose comments are more insightful and trustworthy than others) before uttering a squeak, I am honored to be in a dialogue with such knowledgeable and generous people like yourself and Fisthardcheese. Of course I'm not Fisthardcheese (although I wish I were given my situation), but if I understand Fisthardcheese correctly, he's NOT saying to include the demand wording for arbitration in the DV letter, but to send a copy of the Demand for Arbitration I've already filed with AAA along with the DV letter. This way, the JDB attorney knows I'm not just bluffing arbitration but have initiated it. In the meantime, the DV letter is only to buy me more time and keep them from suing me for the time being.

Thanks for your advice, Fisthardcheese. I will do just that. Tomorrow is exactly 30 days, so I will send the law firm a post-marked CMRRR DV letter first, and shortly thereafter I will send them the copies of my Demand for Arbitration with AAA. I can't thank you enough for taking the time to help consumers like myself get smart and empowered. I will keep you posted.

Hi Fisthardcheese, Thanks so much for replying & offering your seasoned insights (you're so amazing I wish I could retain you as my lawyer!). My apologies for asking more novice questions, but to clarify: So if I understand you correctly, as I'm dealing with Citi account, I should file for arbitration without necessarily even asking for a DV from the law firm representing LVNV? Would it be sufficient notification, then, to inform the attorney for LVNV with a CMRRR'd copy of my Demand for Arbitration (as you advise in your Arbitration Strategy post)? In the meantime, what do you think I should do about the larger Citi CC account (close to $10K) which I'm almost positive LVNV owns but I have not received a dunning letter from Harris and Zide (the same law firm that sent me the dunning letter for the smaller account (less than $2K)? I'm thinking of lying low and hoping somehow they have overlooked this account (probably a wishful thinking), but I do want to anticipate a strategy in case they did send a dunning letter that somehow got lost in the mail & they end up suing me. Given the amount ($10K), I don't think they would be able to take me to small claims court, but now I'm starting to feel paranoid and wondering if they can find a backdoor way to sue me in small claims after all. If you were me, what would you do about this particular account? Thanks so much, Fisthardcheese; for those of us hard on our luck and trying to resolve our financial challenges with dignity and some leverage, you are our lighthouse!

Hi Fisthardcheese, First, I really appreciate all your insightful posts and advice--I'm a fan! I am new to the forum and am reaching out for some advice on what to do. I have 2 charged-off Citibank CC accounts that are now owned by LVNV funding. One is in the amount of about $9800 and the other $1900. I have received a dunning letter from a law firm (Harris and Zide) here in California. I have not been sued yet, but given that the law firm is local and I am very close to the SOL (in March 2019), I think it's a matter of time before I am sued. The strange thing is, I've only received the lawyer's dunning letter for the lower amount and did not receive any for the larger ($9800) amount. Upon closely reviewing the lawyer's letter, I've noticed that the mailing address that they have on me is incorrect, but somehow it still got delivered to me okay (they basically hybridized parts of my old address with my new). I have closely read your arbitration strategy, and I'm thinking of using it. I have a few days before the 30-day window to demand debt validation and articulate that I elect arbitration per the credit card agreement. I think this is especially suitable for the smaller amount, since, as you've wisely pointed out, Citibank has the "small claims exemption" for arbitration. But that leaves me wondering what I should do about the larger amount, for which I never got a dunning letter from this law firm (it probably got lost in the mail due to the wrong address they have on me). In California, the small claims limit for individuals and sole proprietorship is $10K, and for corporations and other entities, it's $5K. Should I just wait until I am sued to opt for arbitration? Should I send a letter of dispute with arbitration wording anyway? Is it possible i can use the incorrect address they have on my file as a basis of any kind for FDCPA or state and federal consumer debt collection laws violation? I understand the disadvantage of filing for arbitration before a lawsuit (JDB stalling and arbitration case closing; then JDB filing a lawsuit thereafter). But I've read somewhere that if they were to sue you after you make clear your choice to elect arbitration, they would be in violation of the FDCPA. Any thoughts you can offer would be greatly appreciated. This is so unnerving and confusing...

Hi Gotasha, Thanks so much for sharing your arbitration journey. Like you, I am dealing with Harris and Zide in CA, and the JDB is LVNV. My debt is also a little less than $2K. Your story gives me hope that despite their rudeness and bravado, Harris and Zide/LVNV will not pursue such a small amount all the way through arbitration. I am wondering if you can share more about how you got to judicial non-binding arbitration. Is this what you asked for, and if so, at what point in the legal/court process did you do this? I ask, because I'm still within the 30-day response period where I could ask LVNV to verify the debt and where I'm thinking of inserting the language that I opt for arbitration. I'm counting on the JDB to back off due to the cost of arbitration and offer me a settlement closer to what I can afford. Any thoughts or advice you can offer would be much appreciated!

Hello Everyone, Like many, I have been closely following this forum for a long time, soaking in so much empowering and invaluable information. After wringing my hands and banging my head against the figurative wall in agony, I've finally mustered the courage to reach out to you in hopes that you can give me some advice. The JDB I'm dealing with is LVNV, and the law firm representing them is Harris and Zide. The OC is Citibank. I have not been sued yet, but I did receive a dunning letter dated 10/19/18. From the various posts I've read so far, it will be a matter of time before I receive a court summons. The amount is a little less than $2K (OC: Citibank). The strange thing is, LVNV actually owns not one but two of my charged-off Citibank accounts, and the other one is a little less than $10K. I received a collection letter from LVNV on this larger debt back in June of 2018, but it wasn't from a law firm/department, and I have not heard back from them since then. Both debts have the last charged date of Feb. 2015, and the SOL runs out at the end of February 2019 (California). So why is Harris and Zide only sending me a dunning letter on just one of the debts (with smaller amount)? I would like to be proactive and develop a strategy to either make the JDB go away, or at least gain leverage for a smaller settlement. I'm thinking of sending them a Debt Validation letter where I include the wording that I want to opt for arbitration as per Citicard agreement (without admitting ownership of debt); my reasoning is that given the small amount of the debt (less than $2K), LVNV would conclude that the cost of arbitration would override the value of pursuing the debt all the way, which would give me greater leverage to settle on my own terms. I am concerned, however, about the other debt they own which, at close to $10K, might be worthwhile for them to stick through arbitration. Since Harris and Zide has not sent me any letter about this account, should I just stay mum and just focus on the smaller account? What are chances that it's some error or oversight that has caused them to overlook the other account? It's obviously way past the 30 days since I received a collections letter, but should I send a DV letter (again with the arbitration wording)? I'm hoping that given the cost prohibitive nature of arbitration, LVNV would choose instead to be more willing to work out a more amenable settlement arrangement with me. In the past couple of years, I have worked hard and settled all my other delinquent/charged-off CC debts (they were all with the OC in-house collections department). I have exhausted all my financial resources trying to clean up my credit and to take ownership of my debts. I don't have additional $12,000 to pay a JDB. I am exhausted, and I am so close to reaching the SOL (February 2018) that I really want to enrich this JDB as little as possible. Thank you for reading this long post. I would love to hear your thoughts and advice. What would you do if you were me? Any insights from our veteran California forum members?