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SOL: Which state - where I live or credit card issued??? Just threatened w/a lawsuit


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Hello all,

I am a newbie to the forum. I may consult attorney's I found on www.naca.com but before I do that, please if you can offer me any advice, I'd be in your debt (no pun intended). I recently hired Lexington Law (which may have been a mistake) to help dispute some negative items, specifically, an old "charge-off", and a consequent collection since 2001 or so. If you don't have time to read this I need to know if they can use the NJ SOL (where the debt originated/credit card), or the CA SOL (where I live now). And did I "reset the SOL clock" in 3/02 when I lived in PA where I made a payment or two? Finally, is this a credit contract issue (which I read generally goes under the state where the debtor lives) or a written contract issue? Today's phone msg. from the CA was about a lawsuit. Maybe the SOL (as NJ) is 5 years 7 months in and almost up and that's why they called? Or they see that I have a job and luckily financed a car? But if I can use the CA SOL then I'm fine and I can beat them? Here are the details:

This item has been hurting my credit for a long time and I want to consolidate my student loans, get my interest rates down, etc. Anyway, I have current CR's but I think I need to look at old ones. The charge-off date was 1998 or so. The original debt is from a credit card issued in NJ. I may have "reset the clock" when I made a payment/agreement back in 2002, March-ish, when I lived in PA. I don't know nor can I seem to find out if the law in PA states that making a payment does indeed "reset the SOL clock."?? Does anyone know? Also, I currently live in California. Equifax is the only report that states any useful details -- a 1st delinquency of march 2002. Date of last activity column states, "n/a". The other two reports state nothing of use except a "date placed for collection" as 5/2004 - whatever that means (maybe when this CA bought my paper from another CA?).

This current CA hasn't bothered me in 2 years. You see, I was unemployed for a while between 2001 and 2004. Had a few jobs but then started x-ray school bet. 04-06 and have finally started making money (but with huge student loan debt). Well, just today (10/26/07) they called and left a msg. I have not called them back and don't plan to. The msg was garbled but sounded like, "Hello, Mr.soandso, Attorney soandso has filed a lawsuit against (you?). Please call yadayaday."

Are they are filing a lawsuit b/c of the recent letter from Lex. law which may have goaded them into action? Or is my SOL almost up? (If they use NJ). My original debt was $4,000 but with interest is listed as $6,800. I only recently finished x-ray school in 6/2006 and I do have a job in Cali. I am financing a car and a motorcycle (that I need to sell), but have no other assets (and $50,000 in student loan debt).

Do you think the CA contacted me based on the NJ SOL (6 years for written contracts & open-ended accounts?). If that 6 years is based on the date of last payment, then I'm 5 years, 7 months in - from 3/2002). Regardless of why they contacted me, the ultimate question is: is my SOL up? If this is treated as a credit issue (open account) and not a written contract then I think I would be able to let CA (4 years SOL) be the state that determines the SOL? (and not NJ)? If so, then I'm fine and I can defend myself. If they can use NJ, and if NJ is 6 years SOL, then I may have to hire an attorney if they do indeed sue me. I'll check the mail.... Lex.law is unable to answer these specific questions. Also, the Transunion report says that this item is to be removed (estimated): 2/2009. This makes sense if I did "reset the SOL clock" in 3/02, per the 7-year rule. Like I said, I wanted to refi and consolidate my student loans but I need a higher FICO (say 20-40 points higher) and getting this CA item off my report should help me considerably. That's why I wanted to re-initiate the debt validation-thing with Lex.Law's help. I didn't want to wait until 2/09. This is really the only thing I can do to improve my credit now. Instead, I may have to deal with this CA now. Not good. I can't really afford a lawyer. They still have never properly validated the debt. That's what I'm using Lex. Law for. If Lex law is unhelpful in the next 50 days (according to their email - I should see something good on new credit reports by then) then I will cancel it. The ultimate question for YOU, please, is what SOL can they use? NJ or CA? I can't figure out whether this is a credit issue (Open account -as determined by NJ or CA depending on which state applies)?? (As opposed to a written contract, installment loan, etc.)?? Does NJ consider credit account an open account or a written contract? What about CA? What state matters?? I read that credit contract issues usually fall under the state one resides. I apologize for the length of this request. You'all are angels to have read this far. Truly, this is an old debt where a "friend" took advantage of me and I was unable to receive compensation. I'm finally, almost getting my head above water, notwithstanding the student loan debt, here in Cali to start a new life, and I finally got a car (haven't "owned" a car in 7 years) and now I'm very concerned. Whatever you can do or say to help me, you have my debt of gratitude.


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Hello and Welcome!

Take a deep breath and relax you nerves before you have a heart attack.

I believe that the SOL is determined by the State you live in. I also think you need to check if Cali requires licensing for CA's.

Most of us will tell you to get rid of Lex Law and Do it yourself they can't do anything you can't! Save yourself a bunch of money.

Dispute TL with CRA's as not mine.

and send DV to CA CMRRR.

Keep your green card when it comes back. Go from there.

Good Luck



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IF they sue, they usually sue you where they can find you, and that SOL can be argued. While they CAN use the NJ SOL, that's where you entered into the agreement. Add to that that leaving the state TOLLS (stops) the SOL from running so if they attempt to use the NJ law the SOL has NOT expired.

Hiring Lexlaw was a mistake, and yes you 'woke up' the CA by having Lexlaw contact them. Lexlaw is bad news - they cost you a lot of money and there is nothing that they do that you can't do for yourself. In addition, Lexlaw literally spams the CRA's with disputes, you'll get marked as 'frivolous' for their actions AND people have reported that they lost GOOD tradelines due to LL's tactics.

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I thought tolling only applied if they can PROVE you were unreachable, say in another country, or using false names and actually hiding from creditors, etc. I didn't do anything like that. I was registered to vote and all that PLUS the CA did contact me while I lived in Philadelphia, esp. around 3/2002 when I did make some payments and reset the SOL clock. PA has a 4-yr SOL so if that possibly applies, then I should be in the clear. Otherwise, I should only have 5 months left on a NJ SOL. Otherwise, this tolling thing doesn't make any sense. Why does leaving a state in any way other than becoming a fugitive add years and years to SOL? Seems unfair and plain dumb. Yeah, I've read different things about tolling....

Maybe I should cancel Lex-Law but I want to see those letters they allegedly mailed out. They are to mail copies to me tomorrow.

What would be my next step? Wait to see if I get served papers? Then consult an attorney IF that happens? Or pay the $45 for a short consult with creditinfocenter?

I don't know why they'd bother coming after me really. I still don't have any assets. Only difference is I did finish school last year and have an income (plus $55K in student loans!).



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