Is this Texas attorney right?

[SafetyDude]

Or am I totally off base in figuring that Unifund is doing something wrong?

Through a case review page, I sent a NACA member attorney a CA dunning letter, my 2 DV's, their promise to deliver (NOT), and extracts from my CRA's:

EQ-

Type of Account: Open Current Status: -

Date Open: N/A High Credit: $5,906

Date Reported: 02/2008 Credit Limit: $0

Date of Last Payment: - Terms Frequency: -

Date Major Del First Rptd: - Balance: $12,333

Charge Off Amount: $0 Amount Past Due: $12,333

DOLA: N/A Months Reviewed: 9

Type of Loan: Factoring Company Account

Date of First Delinquency: 09/2002

Comments: Collection Account

EX-

Account Type: Unknown - Credit Extension, Review, Or Collection

Account Status: Closed

Monthly Payment: -

Date Open: 2/1/2006

Balance: $12,333

Terms: 1 Month

High Balance: -

Limit: -

Past Due: $12,333

Payment Status: Seriously past due / assigned to attorney, collection agency, or credit grantor’s internal collection department

Comments: -

Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar

06 06 06 06 06 06 06 06 06 07 07 07 07 07 07 07 07 07 07 07 07 08 08 08

ND KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD KD

TU (listed under installment accounts)

Condition: Derogatory Pay Status: Collection/Charge Off

Balance: Factoring Company Account Past Due: $12,333

High Balance: $5,907 Terms: - Limit: - Payment: -

Opened: 02/27/2004 Reported: 04/07/2008

Late Payments Last 7 yrs: - Remarks: Collection Account

Account information disputed by consumer, meets FCRA requirements

**His Reply**

Dear SafetyDude,

Thanks for contacting me, but I don't see anything here that I would be interested in taking to court.

As far as I can tell, Unifund is not reporting anything incorrectly.

The account is obviously past due. A credit card account is an installment account, even if it is charged off. A debt buyer is a factor, as the definition of a factor is one who buys a business's accounts at a discount. As long as Unifund is trying to collect the account, it is an open collection account, even if the original creditor charged it off and closed it. As the assignee of your account, Unifund has the right to continue to charge interest on the account under the terms of the original agreement. That right was not terminated by the original creditor's decision to charge off the account or sell it. In short, I don't think I could persuade a judge or jury that Unifund has made a false report about you. That is an essential element of most any claim under the FDCPA, FCRA or TDCPA.

Comments? Suggestions?

[Robert Nashville/Savannah]

It's not clear to me exactly what you are objecting to/what you feel is wrong but I don't see anything actionable here either so I guess I would agree with the attorney.

[Focus2069]

double post?

you have the same post in the "ask an attorney"

[Big Time]

Unifraud is a JDB. They likely can't get anyhting from the OC. First off, to be sure, contact the OC and ask if you can get records of the original account to give you some idea if they even still exist.

If they don't and Unifraud obviously doesn't have them, then you've got them, but you have to sue, or at least type up the pleading papers and threaten to.

Unifraud will face the dilemma of spending a lot of money defending themselves when they have no hope of ever recovering anything from you.

It comes down to a business decision for them, and it's cheaper to delete their TL than to try to fight an informed consumer who will demand strict proof of the assignment and how they calculated that amount, etc.

That lawyer is just blowing you off as some guy who is trying to avoid paying a legitimate debt, which is arguable to no end once a JDB has it. He also has no clue about collection accounts. They can't be "open."

[LoveToGod]

Unifraud is a JDB. They likely can't get anyhting from the OC. First off, to be sure, contact the OC and ask if you can get records of the original account to give you some idea if they even still exist.

If they don't and Unifraud obviously doesn't have them, then you've got them, but you have to sue, or at least type up the pleading papers and threaten to.

Unifraud will face the dilemma of spending a lot of money defending themselves when they have no hope of ever recovering anything from you.

It comes down to a business decision for them, and it's cheaper to delete their TL than to try to fight an informed consumer who will demand strict proof of the assignment and how they calculated that amount, etc.

That lawyer is just blowing you off as some guy who is trying to avoid paying a legitimate debt, which is arguable to no end once a JDB has it. He also has no clue about collection accounts. They can't be "open."

So here is a consumer lawyer who doesn't know beans?

[Big Time]

I certianly wouldn't hire him. Unifraud can only continue to charge interest if they can prove they are the assignee. They have to re-construct the chain of custody to prove that.

[Robert Nashville/Savannah]

Ah...but was the OP hiring the attorney or asking him to take the case on a contingency??? I suspect the latter.

Whether there are violations or not, and whether they can be proven or not, a case has to be worth (in terms of likely award), the time and expense for an attorney to take a case.

No matter how good/bad Unifund may "usually" be at substantiating their position, you have to be careful about assuming to much...Unifund can probably afford litigation far more than most attorney's working on a contingency can.

[Fizzle1979]

I looked for a NACA attorney last year and emailed and called plenty of them in TX. None would take my case without me paying them first.

If you think Unifund has violated the FCRA, FDCPA or the TFC you can file a complaint with the BBB, TX AG & OH AG. You can also file a complaint with the ACA International.

I filed with the ACA against Unifund last year and they came off my report after the ACA told them they screwed up.

[Robert Nashville/Savannah]

Fair enough but whether the OP was looking to retain the attorney and pay by out of pocket, win or loose, or looking for a contingency arrangemetn; there are still a lot of factors to consider before an attorney will take a case....just because something might be woth the consumer's time to pursue doesn't mean it's worth an attorney's time (or one particular attorney's time).

I suspect that were there provable damages involved here the attorney would probably have been a bit more excited.

[Feel violated]

I agree with Robert_Nashville. I see nothing actionable. Basically you won't pay and they can't sue you. The CRA is the only club they have against you and why should they give that up because then they would have nothing. You just want to have your cake and eat it too.

You can spend a pile of bucks to take them to court, but with no violations on your side, you risk paying your attorney and theirs. If they were suing you, then you could attack their shoddy documentation, but they still meet Federal minimums when you sue them.

Your best bet still lies with complaints, make it as expensive as possible for them to keep camping out on your credit report. With an expected gain of nothing for them, any cost on their part makes it a bad investment. And if you annoy them too much, they may just sell out to the next lucky CA so you can play the same game again.

[LoveToGod]

I looked for a NACA attorney last year and emailed and called plenty of them in TX. None would take my case without me paying them first.

If you think Unifund has violated the FCRA, FDCPA or the TFC you can file a complaint with the BBB, TX AG & OH AG. You can also file a complaint with the ACA International.

I filed with the ACA against Unifund last year and they came off my report after the ACA told them they screwed up.

Are the fees high or reasonable?

[Fizzle1979]

Are the fees high or reasonable?

I'm not sure what you are referring to here.

[smurfette in nyc]

Are the fees high or reasonable?

If I'm correct, I believe you are asking about attorney fee's? I have been in contact with several NACA attorneys, and can tell you that they don't ask for any money IF you have a case where there are violations with the FDCPA that they can file suit in Federal Court for, as they are entitled to attorney fees from the other party if and when they win.

However, in most other cases where there is a suit against you, most likely in Civil Court, they do require a retainer up front, and they charge $300 per hour. That may sound high, but it is the average here in NYC. Perhaps in others states it may be a bit lower, but nonetheless you must compensate a lawyer dearly for his time, knowledge, and experience. Unfortunelty, this does not promise a "win."

Judges are the one's in control of making the decisions in a case, and IMO, are unpredictable. That is why taking a case all the way to the trial stage can be a big gamble for either the Plaintiff or the Defendant, and also why I think it is almost always better to try to come to a settlement before that point if at all possible.