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Anyone know about Credigy suing First Select?


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I found a reference I've posted below on a report from Providian. I wonder if there is a way to find out about it

In early 2004 we received a demand in arbitration from Credigy Receivables

alleging a breach of contract by our subsidiary, First Select, Inc., in

connection with the sale of a portfolio of certain charged-off consumer credit

card accounts. We have reached agreement to settle this matter and have funded

the settlement out of previously established reserves.

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  • 1 year later...

OK, here's what I remember. First Select was Providian's more or less captive JDB. When Providian needed bad paper off their books, it was just sent over to First Select.

Of course, First Select needs to do something with all that paper ... the options are to sue, sit on it or sell it.

Standard JDB practice is to bundle up the unwanted paper into batches of accounts having similar characteristics and sell it.

Other big JDBs like Credigy then bid on it.

In the course of setting up the "auction" the seller has to describe the bundle of accounts. There is a standard industry terminology for all this. Think of it as a used car lot. Do you write "cream puff" on the windshield, or "runs good"? The description, if accurate, will give the buyers a way to calculate what they might collect as a percentage of the total face value, and to adjust their bids accordingly.

The contract for sale will describe the characteristics of the accounts. It will also potentially include provisions that allow the buyer to return for credit those accounts that don't match the description. Say you liked to wear a different shirt every day, you were a medium who liked blue, and you bought a box of 365 medium, blue shirts ... except a few were red, pink, whatever and some others were large, small, XL, what-have-you. You get to take those back for credit.

First Select must have sold Credigy a lot of paper, Credigy wanted to take sme of it back, a disagreement arose over whether some fit the bill or didn't, and ultimately they settled.

Debt buying isn't a pretty business ... but you don't see a lot of these sorts of disputes ... most are worked out among "gentlemen".

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I have an account verification statement from credigy, who is suing me. On this statement it says assignee is First Select Inc and then it says c urrent owner is Credigy. This alleged debt is from 1999. Also this scumbag company wanted sent a motion to the court for him not to have to make the drive to westfield,Oh from columbus, oh. He stated in the motion that it woulld be an incoveniecne to him. Well I got a letter from the court where they denied his motion,stating that I did not have an attorney.

I just don't understand how they get away with suing people for old stuff that I do not recall. THERE OUGHT TO BE A LAW.

tsandy

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I have an account verification statement from credigy, who is suing me. On this statement it says assignee is First Select Inc and then it says c urrent owner is Credigy. This alleged debt is from 1999. Also this scumbag company wanted sent a motion to the court for him not to have to make the drive to westfield,Oh from columbus, oh. He stated in the motion that it woulld be an incoveniecne to him. Well I got a letter from the court where they denied his motion,stating that I did not have an attorney.

I just don't understand how they get away with suing people for old stuff that I do not recall. THERE OUGHT TO BE A LAW.

tsandy

Welcome Ohio native!!!! Probably the only State worse than Kentucky on SOL. In Kentucky the Judges just ignore it. In Ohio, a debt never reaches SOL.

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