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Help with collection agency


juled
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I received in the mail from a previous address(lived there 10 months ago)a card from the circuit court stating a judgement I was never served papers on for credit card debt with Sears. I contacted the collection agency and they told me to go down to the court and file for a motion to have it vacatted due to improperly served papers. Then they told me to call them back to let them know I did this and they would take away the judgement and then I could set up a payment plan. Is this what I should be doing...I am so lost and need help!

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I dont think that a judgement can be etered with out your being served initially. How long ago was this? When was the last time you made any payment on this to Sears? Are you 100% sure that the item you have is in fact from the court? Does it have a case or file number? Call the court and see if its a real document. Start there and let us know what happens.

J

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I am a little flustered so sorry for the last post. THe card reads

You are notified that case

XXXXXXX

Sherman Acquisitio V. Me

An order for default was entered on 2/24/2004 by Judge Murphy Gorman, Joyce Marie

I have not made a payment to sears since 2001.

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Sherman huh-well there are tons of posts here regarding them. From what I have read they are really bad. I wouldnt put it past them to dummy up something like that. Keep that card!

Dont call them again!

Get on the phone to the court and verify the authenticity of this. Once you do that let us know the results and some of the other experts here will advise what your next steps should be.

Dont worry-It will get sorted out-eventually. Also, have you pulled your CRs? Does this item show up? You will want to pull them right away. You can start at privacyguard.com They have a $1 2 month trial going right now. That will pull a combined report. Start there. If this is showing up you might need to get individual reports from the 3 agencies.

J

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juled,

It sounds like Serman has gotten a default judgement against you. You will need to get the judgement vacated. This can be done by filing the proper motion with the court. Improper service of the summons is grounds for getting the judgement vacated.

The thing is, you need to file the motion before the time limit is up. Under state law, you only have a certain length of time in which to file the motion to vacate. I think one year from the date of the judgement is pretty standard BUT state laws vary. So you want to get right on this. If you are not familiar with how to file the paperwork you may want to get some legal help. Good luck.

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I am guessing that I just go to the circuit court to file the motion. I will do so right away. After that then what do I do? Should I make payment arrangements with the CA? Shall I contact the OC? I am so lost at all of this!

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You will need to show the judge that you were never properly served notice of the lawsuit. The existing paperwork will show how service was attempted.

Once the judgement is vacated, make sure it doesn't show up on your credit reports.

From this point on, do not talk to the OC or the CA on the phone. All communication should be handled in writing (certifed mail with return receipt). If you are disputing the debt, do a debt validation. You can also send a limited cease and desist notice (limited to communicating in writing only, NO phone contact). This will keep the phone harassment to a minimum.

You can then negotiate for settlement. (in writing)

Read all you can on this site about debt validation and settling the debt.

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Thanks...but when I am issued a court date, do I just show up? Do I hire a lawyer? What if I can't afford a lawyer? Then the CA said once I file to call them and let them know and then we can set up a payment arrangement, is this the wrong way to go?

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Thanks...but when I am issued a court date, do I just show up? Do I hire a lawyer? What if I can't afford a lawyer? Then the CA said once I file to call them and let them know and then we can set up a payment arrangement, is this the wrong way to go?

My best advice to you would be to get some legal advice about what to expect. You can handle it yourself but I'd at least talk to a lawyer just to make sure no mistakes are being made.

In this case, because I know it's Sherman you are dealing with, I'd advise NOT talking to them on the phone. If they are willing to set up payment arrangements verbally, then they should be just as willing to do it in writing. This way (in writing) you can prove you actually have an agreement. Verbally, you have no proof.

Remember, if you could trust Sherman, you wouldn't be having to deal with an improper judgement would you?

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Thanks...but when I am issued a court date, do I just show up? Do I hire a lawyer? What if I can't afford a lawyer? Then the CA said once I file to call them and let them know and then we can set up a payment arrangement, is this the wrong way to go?

www.naca.net start there and check for any consumer attys in your area...

Good luck btw... I think you'll be a-ok in the end so dont worry... just handle it like all those other nasty little things about life--taking out the trash, washing the dishes, cleaning the house... righting the wrongs of nasty unscrupulous CAs... all the same although some are much more fun than others. :wink:

J

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You should do nothing further until you've consulted an attorney!!! It appears that you could possibly have a valid judgment entered against you. Understand collection agencies are not your advocate and are your adversary! They would be delighted to cancel a questionable judgment if that gets you to agree to pay up because most of the money goes straight into their pockets! Sherman Acquisitions is a limited liablity corporation, in essence privately owned by investors who acquire charged-off credit card receivables for a penney or two on the dollar, then hire collection agencies to go after the entire debt. They often act deceptively, informing debtors their credit card agreements will continue in full force until paid, etc. This legally is not the case because it is nothing more junk debt with your name attached. Nothing you pay herein will go to Sears or improve your credit standing. While it's not likely junk debt can ever be validated, debt buyers like Sherman attempt to win default judgments by exactly the fiasco you described. Oftentimes, they will file in higher courts and hope the debtor doesn't respond to the complaint so they'll win and then go collecting their "just deserts".

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Ok so I am a little confused. Sherman Acquisitions is the one holding the account on my credit report, then this other collection agency called Blatt, Hassen-something is the one I was supposed to call back to have written arrangements on making payments for my debt. I have never had any calls or any contact with Sherman Acquisitions, hence the reason why I got this nasty little judgement delivered to an address I haven't lived at for 10 months. Sherman Acq. told me to contact the collection agency about my account and that I could set something up with them. So is it wrong for me to go and set up something in writing with this collection agency?

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... So is it wrong for me to go and set up something in writing with this collection agency?

That depends. Do you want them in your life for ever making it miserable or do you want to move on. Contact an atty from www.naca.net Just give them a call. They are there to help and I'm sure they will be very nice. You dont have a lot of time so I would move on this right away.

J

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Unless you're ready, willing and able to settle there is absolutely no reason to ever engage in conversation with a debt buyer or a collection agency! Debt buyers such as Sherman acquire portfolios for $0.01 to $0.02 on the dollar then contract with collection agencies to collect the entire balance along with penalties they've tacked on. Unfortunately, in cases where they've somehow won judgments against people owing the original debt, an attorney should be retained to assist in unraveling the mess. If the judgment is determined valid, you could legally be stuck with the debt. The debt acquision business overall is very profitable as on average they collect over $0.16 on debts they've acquired for $0.01. Once again bear in mind debt buyers and collection agencies are your adversaries---they do not care about hardships, circumstances or anything else. Further, ANY information you provide them will be used against you in any way possible to enforce collection. Hopefully, this clears up any confusion!

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So i went to the courthouse today...everyone must do that sometime in their lifetime-I have a court day next week to vacate the judgement. I certified mailed them the copies and the Validation all in one! Wish me luck next Friday!

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