Jump to content

CA letter after debt is past reporting period


baglady215
 Share

Recommended Posts

Please help.

I received a letter from NAFS (National Action Financial Services) seeking over $2K for an old MBNA charge off. This account was charged off in 2001 and was originally placed with Calvary. They both have since fallen off my credit report as the 7 year reporting period and SOL have elapsed. How do I prevent this new CA from appearing on my CR?

Link to comment
Share on other sites

Just saw the 20 year not long enough thread. Same CA too! Great advice in that thread, thanks!

Edit: I still need help! My debt MAY be in SOL. I was making payments to Calvary for a few months in 2004. SOL is 4 years in my state. So I plan to send a DV instead of a FOAD and see what happens.

Now I know why this is happening too... Getting ready to buy a house and had a mortgage pull a couple of weeks ago. Just when I thought these headaches were behind me...

Any other advice?

Link to comment
Share on other sites

I was making payments to Calvary for a few months in 2004. SOL is 4 years in my state.
that reset the SOL.... and they will be able to sue until X (month you made payment in 2004) 2008...

and

( EDIT) so it may report on your CR's until 2011. ( my bad... I'm tired .. no it shouldn't)

Link to comment
Share on other sites

I don't know about the reporting until 2011....

Check your state laws. We don't know which state you're in...but many states a new reporting period only begins when you bring hte account current, with the OC.

You DID reset the SOL, but may not have reset the reporting period. In fact, I HIGHLY doubt the reporting period was affected if you paid Calvary, not the OC..

Link to comment
Share on other sites

I don't know about the reporting until 2011....

Check your state laws. We don't know which state you're in...but many states a new reporting period only begins when you bring hte account current, with the OC.

You DID reset the SOL, but may not have reset the reporting period. In fact, I HIGHLY doubt the reporting period was affected if you paid Calvary, not the OC..

And since you paid a CA and that CA no longer holds the debt, it would probably be very difficult for NAFS to prove you made an SOL resetting payment.

Link to comment
Share on other sites

I don't know about the reporting until 2011....

Check your state laws. We don't know which state you're in...but many states a new reporting period only begins when you bring hte account current, with the OC.

You DID reset the SOL, but may not have reset the reporting period. In fact, I HIGHLY doubt the reporting period was affected if you paid Calvary, not the OC..

Thanks. I'm in Delaware, but was in PA when I obtained the credit card. Where can I check the laws regarding this? On the CIC SOL page it just said 4 years for both states.

Link to comment
Share on other sites

While there, be sure and check to see what your state says regarding the remittance of a payment. In some states, the clock is reset with a payment made, while others require a new signed contract. Do understand this only relates to the SOL regarding whether they can sue or not.

The reporting period of 7 years only applies to the date in 2001 when the OC (MBNA). It does not matter if Calvary, or whoever now owns debt, the reporting period is 7 years based on MBNA only.

First things first. All you need to do is to send them a C&D telling them to close, delete (if reported), and go eat Maggot Droppings. First, you will look up your state's SOL for if they can file suit. If past, you will cite in your letter, for beginners, FDCPA 807(2)(A), as the SOL has run, and they have no legal recourse to the alleged debt. Failure to comply will result in your suing them, plus, the complaints to be filed, etc.

NOW, in your letter so as to protect yourself, plus, put them on notice, you will include in your letter as to their alleged claim being barred from reporting due to statute. If you find they have reported, you will sue without further notice. Understand that many of these idiots "hang" around the CRA's for this very reason, hoping to cash in on your ignorance. And, most lenders will not fund loan unless any collection TL shows a zero balance, even if you prove there is no legal recourse available. Do not cave, fight. Even if you have to put your loan on hold. Just in case, if it is a dream home, and a TL does show up, put in writing to lender, that you will deposit the amount claimed in an escrow account until resolved. Key here is to deny debt and play dumb to anything about it. If the lender comes up with an old TL from the OC, then, you could simply state you thought all was resolved, blah, blah. You get the drift. I've heard this was accepted at times, not always.

Link to comment
Share on other sites

Thanks guys for all your help. I need to clarify about MNBA/BOA. The OC TL is still on my CR (TU and EX), scheduled to fall off both in April. CA TL is gone from all three.

Another thing... Calvary also had a $8K (now $10K) repo that I got a letter on TODAY. Same story... Repo in 2001, was making payments to Calvary for a few months in 2004. CA is gone from my CRs (although the OC is still on TU and EQ, scheduled to fall off in July). This letter threatens to "resume collection activity".

I have pulled the codes for PA and DE. I am no lawyer, so anyone care to help me interpret this mess?

It appears in PA that I may have reset SOL:

§ 5525. Four year limitation.

The following actions and proceedings must be commenced within four years:

1. An action upon a contract, under seal or otherwise, for the sale, construction or furnishing of tangible personal property or fixtures.

2. Any action subject to 13 Pa.C.S. § 2725 (relating to statute of limitations in contracts for sale).

3. An action upon an express contract not founded upon an instrument in writing.

4. An action upon a contract implied in law, except an action subject to another limitation specified in this subchapter.

5. An action upon a judgment or decree of any court of the United States or of any state.

6. An action upon any official bond of a public official, officer or employee.

7. An action upon a negotiable or nonnegotiable bond, note or other similar instrument in writing. Where such an instrument is payable upon demand, the time within which an action on it must be commenced shall be computed from the later of either demand or any payment of principal of or interest on the instrument.

8. An action upon a contract, obligation or liability founded upon a writing not specified in paragraph (7), under seal or otherwise, except an action subject to another limitation specified in this subchapter.

And Delaware is even more confusing:

§ 2-725. Statute of limitations in contracts for sale.

(1) An action for breach of any contract for sale must be commenced within 4 years after the cause of action has accrued. By the original agreement the parties may reduce the period of limitations to not less than one year but may not extend it.

(2) A cause of action accrues when the breach occurs, regardless of the aggrieved party's lack of knowledge of the breach. A breach of warranty occurs when tender of delivery is made, except that where a warranty explicitly extends to future performance of the goods and discovery of the breach must await the time of such performance the cause of action accrues when the breach is or should have been discovered.

(3) Where an action commenced within the time limited by subsection (1) is so terminated as to leave available a remedy by another action for the same breach such other action may be commenced after the expiration of the time limited and within 6 months after the termination of the first action unless the termination resulted from voluntary discontinuance or from dismissal for failure or neglect to prosecute.

(4) This section does not alter the law on tolling of the statute of limitations nor does it apply to causes of action which have accrued before this subtitle becomes effective. (5A Del. C. 1953, § 2-725; 55 Del. Laws, c. 349.)

Is it me, or do they write the laws this way on purpose, so We The People can't understand them?

Anyway, I don't want to C&D if they are still within SOL. So to be safe, should I just DV both of them? You guys rock, as usual.

Link to comment
Share on other sites

First off, the laws of the state you now reside are all you worry about. That is the only place you can be sued, if it came to that. For now, the best you can do before going on is to read the laws of the state where vehicle was repo'd. You want to find if they acted accordingly. Did they act as required? Did they notify as required? These can help in offsetting things if found to not have been handled properly. Are all fees and claims legit?

Question #7 as the purchase is a contract, not a bond. I would challenge the SOL on this debt. Using the date of first delinquecy, add the 4 year period and go from there. They must prove the debt is within the SOL to proceed in court. Even if they did file, and you claimed the SOL defense in court (which you would automatically do in your answer), they must prove before proceeding. The key thing to remember here is that you are the only one who can ask for this, no one else. Therefore, if you can prove the SOL has passed, and the SOL has not been tolled, they are in violation of FDCPA 807(2)(A), just for beginners.

Research completely before taking next step.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.