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OC harassing me. Please help me...


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Hi

I have a debt in a credit card company of around $14,500. I could not pay the minimal payment, for the past 3 months. I am in a financial situation that I could not pay, even any other credit card(I have one more). I had a house, which I sold for short sale.

I talked to the creditor and explained my situation and asked whether they agree for settlement. They offered me 70% settlement. but I could not pay that much. Hence I offered them I can pay a maximum of 10% so they could settle the account. The creditor did not agree for that and forwarded to their own collection division in Georgia state. I am in california.

Now the person from Georgia state calling me to pay the minimum payment and keep my account current. He is harassing me that he will dig into my details using my social security number and forward to the attorney so he can dig into my case further, whether I have any money left and will make sure to pay them, before I pay to income tax. This person is asking me all the personal questions, whether you are married(he said, I talked to your wife, now I know you are married etc), what job you have etc. Is it legal?

I do not have any money in the bank, I have only the job, which I need money for the emergency situation back at my home. I do not have money left out to pay the minimal payment every month. Hence I offered him to settle once for all.

The person from Georgia is saying I am going to send your account to the attorney and you are going to remember this day, that being offered to pay minimum payment, you do not agree, now had to pay $24000 settlment including the lawyer fees etc. I am mentally depressed, he harassed me. I need your serious help.

Just background of the credit card, I was paying the minimum payment with out any default and was in good standing (for the past 9 years) until 3 months back. But 7 or 8 months back they denied access of using the card, since because of my home shortsale and some negative points in credit history(but i was never late on them till 3 months back)

I do not want to file for bankruptcy. What answers should I tell him?

Thanks,

Me.

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The collector is free to ask any question they wish. You are free to refuse to answer.

The creditor is under no obligation to accept what you wish to offer; even if it is the best you can do.

For a balance this high a lawsuit is almost certain. If you are sued, what will you do?

You should consult with a bankruptcy attorney. There is life after bankruptcy.

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Yes, you would be required to pay their attorney fees too. If you look at the note you signed there is typically a provision for the losing party to pay the winning parties attorney fees. Also they will charge default interest and any other kind of fee permitted in the note you signed. If you did not sign a note, because it is a credit card, then check your terms and conditions that you received with the credit card - it will disclose the fees and attorney fee's information too.

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Thanks wisernow.

My question is would they not sell it to collection agency?

I do not have any property(house or land or lump money in bank) and if they sue, would I need to pay their attorney fees too?

Thanks

Credit unions do not often sell debts. But, it makes little difference. For a balance this high, a lawsuit is highly likely.

Yes, you will pay attorney fees and court costs.

A judgment lasts for a very long time -- usually between 5 and 10 years and can often be renewed at least once. That is a very long time to live under the gun of bank levies, wage garnishments, asset attachments, etc. You may not have anything now but hopefully that will not always be the case.

Talk to a bankruptcy attorney and see if it makes sense for you.

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First, some semantics. CAs don't buy debts. Junk debt buyer (JDBs) buy debts. CAs are hired by either OC or JDBs to hassle you for the money. They cannot legally agree to anything without the consent of their client.

At this point, you've only been hassled by the OC's internal collections. They are pretty much free to be as nasty as they like...and, most of what this guy said to you is intended to panic you into doing something you might not have to. There is only about a 20% chance they carry through on any of it...other than getting a CA involved (who might just happen to be a lawyer) to continue hassling you.

If you wind up getting sued, you may or may not have to pay their lawyer. If they actually want money, they may settle for much less before it goes to court.

But...I agree...if your assets are gone, and you have little or no income...go talk to a couple of BK lawyers and see what your options are.

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First, some semantics. CAs don't buy debts. Junk debt buyer (JDBs) buy debts. CAs are hired by either OC or JDBs to hassle you for the money. They cannot legally agree to anything without the consent of their client.

At this point, you've only been hassled by the OC's internal collections. They are pretty much free to be as nasty as they like...and, most of what this guy said to you is intended to panic you into doing something you might not have to. There is only about a 20% chance they carry through on any of it...other than getting a CA involved (who might just happen to be a lawyer) to continue hassling you.

If you wind up getting sued, you may or may not have to pay their lawyer. If they actually want money, they may settle for much less before it goes to court.

But...I agree...if your assets are gone, and you have little or no income...go talk to a couple of BK lawyers and see what your options are.

Thanks willingtocope for the encouraging words..

I will continue to try the OC settle for atleast 30% and pay to them as installments. His only aim now is to make me agree the minimal payment of $400 for now and keep me current(atleast thats his job in that department, which he try to scar me with all the legal things and make me current). I do not want to pay minimal and again go behind them for settlement. Since th 90 day clock ticked, now time for asking for settlement, otherwise I have to wait another 90 days(of defaulting) after making current to talk for settlment.

If they do not agree for 30%, then I will buy more time(I dont know whether they will give) and talk to BK lawyers..

Thanks again for your help.

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OC is pushing for $250 min payment, since he does not accept my 20 30% offer. He was saying if u could come up with 20 to 30% now, min payment could be run for a year or so with that money.

what should I do?

First of all, don't let them bully you. If they start trying to do all that talking down to you crap just politely let them know you will not be talked to like that. If they continue-hang up. If they call you 100x's a day, let them know that is harassment and will not be tolerated. Read the links below and hopefully they can kind of give you an idea of your rights.

http://www.ag.ca.gov/consumers/general/collection_agencies10.htm

http://www.bcsalliance.com/debt_california.html

http://www.leginfo.ca.gov/.html/civ_table_of_contents.html

I'm not saying they can't sue you or make things hard for you. They surely can. But just know that if they do, it's not the end of the world. Try to figure something out. Can you get a second job or perhpas sell some household items? Try Craigslist and see if you can barter! You never know!

Good luck!

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First of all, don't let them bully you. If they start trying to do all that talking down to you crap just politely let them know you will not be talked to like that. If they continue-hang up. If they call you 100x's a day, let them know that is harassment and will not be tolerated. Read the links below and hopefully they can kind of give you an idea of your rights.

I'm not saying they can't sue you or make things hard for you. They surely can. But just know that if they do, it's not the end of the world. Try to figure something out. Can you get a second job or perhpas sell some household items? Try Craigslist and see if you can barter! You never know!

Good luck!

Thanks Deannatx.

He asked me to call today. I called and left a voice message to call me back. He did not call yet. I am thinking of sending 40%offer in writing, by fax. I had one friend want to loan me for very low interest rate, so I could work for him to pay the loan. What do you think.

Shall I fax them my offer?

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if all of a sudden you say you can't do more than 30% then you offer them 40%, they're going to think to themselves "this guy HAS the cash just don't wanna pay us" and their settlement will be nothing less than 60 or 70%.

IMHO fax them the offer for the same amount you said you could afford. 20-30 percent. Then go from there. They'll go up, you go down, it'll hopefully settle for around 35-40%.

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Thanks Deannatx.

He asked me to call today. I called and left a voice message to call me back. He did not call yet. I am thinking of sending 40%offer in writing, by fax. I had one friend want to loan me for very low interest rate, so I could work for him to pay the loan. What do you think.

Shall I fax them my offer?

I would fax them your original offer like AK says. Don't let them know that a friend is loaning you the money. They need to know as little as possible.

Also, (and I'm sure you already have thought about this), please be careful to not let this loan ruin your friendship with your friend. You know what they say about loaning money to friends and family members.

Good luck!

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Just a word here; don't EVER offer more than you can actually afford to pay - the last thing you want to do is promise something and then default on that promise down the road because you put yourself in a position that became untenable.

Regardless of how much they'll settle for or how much they want, all you can do is all you can do but you have to know how much that "all" is.

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Thanks RN,

When shall i increase my offer? I am telling allthe time 20 to 30%, when shall I increase to 35% or 40%..

I could borrow or do some thing to get to 35 to 40%..

Today they were saying they will send me legal letter to pay the full amount ifnot legal action by attorney..

They are pushing me to pay the minimal still tomake my account current..

They are also asking how much debt I owe for the other creditor.

I told the creditor, I explained my situation to bk attorney and he said i would qualify for bk. Then they were asking give ur attorny name phone number.

Pls advise.

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Thanks RN,

When shall i increase my offer? I am telling allthe time 20 to 30%, when shall I increase to 35% or 40%..

I could borrow or do some thing to get to 35 to 40%..

Today they were saying they will send me legal letter to pay the full amount ifnot legal action by attorney..

They are pushing me to pay the minimal still tomake my account current..

They are also asking how much debt I owe for the other creditor.

I told the creditor, I explained my situation to bk attorney and he said i would qualify for bk. Then they were asking give ur attorny name phone number.

Pls advise.

I am suggesting you offer what you can afford...there is no way I can tell you what that is, either as a dollar amount or as a percentage of the debt.

If what you can do isn't good enough for them then the next step will be up to them...all you can do is all you can do.

Borrowing to take the pressure off this situation may be a temporary answer but you cannot borrow your way out of debt and there is no sense trading one debt you can't afford to pay for another debt you can't afford to pay.

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How long it will take to send summon, if they decide to sue, say for today?

So it has to be personally delivered to me by the court? or sent by registered mail? What if I am not living in that address, but my relative living there.

I talked to one bk attorney, he said dont worry file for bk.. it will nullify it even if they get judgement against me.

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How long it will take to send summon, if they decide to sue, say for today?

So it has to be personally delivered to me by the court? or sent by registered mail? What if I am not living in that address, but my relative living there.

I talked to one bk attorney, he said dont worry file for bk.. it will nullify it even if they get judgement against me.

Asking a bankruptcy attorney if you should file bankruptcy is like asking a kid if he wants ice cream. Most people can work through their debt problems if they simply don't give up.

I don''t know the rules of your state but there are a number of ways to "serve" you with a summons.

Is your move temporary or permanent? If temporary then I wouldn't do anything about changing your address but if perm, you should make sure they know your correct address or you run the risk of a default judgment against you because you didn't know you were being sued.

That's assuming of course that they sue...they may or may not and there is really no way to know who will and who wont so don't assume the worst...prepare for the worst but hope for the best.

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