Delav3

Being Sued by Capital One and Want to Settle

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About five years ago I went through a debt consolidation company that turned out to be a scam.

I received a summons to appear in court over my Capital One debt and went and talked to a lawyer who is dead set on me declaring bankruptcy (which I do not want to do).

So, I am wondering if I would be able to negotiate personally with the attorneys office (Nathan and Nathan) representing them (who appear to be a glorified collections agency).

I have been out of work since January but recently found a job whose training will take place on the court date and if I do not show up I will lose the job (which I cannot do) which is why I want to badly to settle and avoid court.

I have sold as much of stuff as I could to build up some cash to negotiate with and could pay off 50% of the debt in a lump some but was also wondering if payments were an option?

Sorry for the wall of text and I appreciate ANY input on this and will keep you up to date on what happens so the next person in my spot has something to reference.

Thanks!

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Hello fellow Tennessean!

How far away is the court date? There's always a chance you could ask for a continuance. If you are dead set on settling this, no need to fret over your job. If you work it correctly, the court will most likely acquiesce to an initial request for a continuance.

I would call the lawyers and ask them when is a more convenient later date for them as you will be moving for a continuance and let them know you're willing to work on a settlement with them. (Since you're looking to settle rather than fight this, being cordial and friendly here may work to your advantage, but remain firm).

If they refuse to work with you, just let them know you'll notice them in and schedule the motion hearing yourself, just be sure to serve them with a copy of it in advance (usually 15 days), but recheck our RCPs to be sure.

If time is on your side here, you can explain in your motion the reason for the continuance. A judge would be hard pressed not to grant it if you state that you're working on settling the matter outside of litigation and explain that you're scheduled for job training that day, and it would be much harder for you to settle with them if you have to miss the training and don't get the job. After all it's hard to pay someone without a form of gainful employment.

Trust me, small claims judges around here love settlements because it means less work for them to do.

Edit: I forgot one of the most important parts.

Worst case scenario, you for some kangaroo court reason don't get the continuance and they proceed with the judgment, you have an option to file a "slow-pay" motion, which means you pay very, very low payments per month directly to the court. You may consider mentioning that during your negotiations with them. After all, a lump sum of a few thousand dollars right at once, sure beats the hell out of them getting 50-100 dollars a month in their eyes. And such a motion also stops all forms of execution on the judgment (garnishment or writs of attachment or execution).

Edited by LUEser

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Wow I did not expect such a quick response!

Thank you so much for the information, the court date is actually on Friday the 13th of this month (go figure).

The reason I am cutting so close is that I have been dealing with an attorney who doesn't seem to want to try and negotiate the debt and it seems like they trying to scare me into doing a bankruptcy.

So tomorrow I will call the firm representing Capital One and use some of your tips.

But my main question is this: Once sued are CC companies or their representation generally willing to negotiate payment?

Thanks!

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Quick response. Haha, what can I say, I troll the boards late night.

Anyway, as for your main question. The short answer is Yes.

But, they have to run it up the chain of command. I'm a betting man, and I'd put 5:1 on the notion that the attorneys working on Crap One's behalf here in TN don't have the authority to negotiate just any settlement. They may have threshold limits they can settle on, but anything outside what they've been pre-approved to setttle on they most likely have to verify with Chase to finalize it.

Still, you have 12 days. After rereading the TN RCPs under Rule 6.04, apparently Motions only need to be served 5 days prior to their hearing (except for Summary Judgment motions, which require 30 days and a few others with different time frames). But for your purposes, you may be able to serve the motion to continue on them tomorrow or Tuesday, and then head by the courthouse and see if the court will grant you a hearing on it for say next Monday or Wednesday (That's when they hear motions in my county). Just ask the clerk and see if he or she will put it on the calendar for a day when you can be there prior to the initial hearing, or if she'll consult with the judge about getting a continuance granted. I don't think continuance motions can be heard ex parte, but don't know for sure as I've never tried it that way.

If they refuse to put it on the calendar prior to the 13th, then make sure you get the clerk to put it down on the calendar to be heard on the 13th and cross your fingers and hope the judge grants it despite you not being there.

Oh, and I almost forgot. You may be able to get a lawyer to stand in for you if you can set up a consultation. He'll probably charge you a couple hundred bucks (crappy I know) but it beats the heck out of a default judgment or gambling on whether or not the court will grant your continuance on the pleadings alone.

And familiarize yourself with this site if you do start to get the litigant fever:

http://www.tsc.state.tn.us/opinions/tsc/rules/TNrulesofcourt/02civp.htm

You can also search that site to see your local rules for your county.

T.C.A. 20-7-101 et seq may also be of interest.

20-7-102. Consent of parties. —

Any cause may be continued by mutual consent of the parties when approved by the court, or on sufficient cause shown by affidavit.

So it looks like if you are going to ask for a continuance by motion, you would also want to write up an affidavit stating why you need the continuance and get it notarized. And don't forget, if you do motion and use the affidavit to sign them.

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So what is sounds like is that my ideal chain of events can't/won't happen?

(ie) Call attorney representing Capital One / Negotiate some kind of payment / End the need to have the court involved at all.

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Not necessarily. Before you resign yourself to it not happening that way, give them a call tomorrow and see what they say. The worst they can do is say no :)

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UPDATE

I called the CA/firm representing Capital One and was able to negotiate a payment plan, the lawsuit is dropped, and I got to tell my lawyer they were wrong as well as "fire" them.

Long story short. Should have negotiated with them myself and never had a lawyer involved (who was desperately trying to get me to declare bankruptcy).

I took it like a man...I DID use the credit card I DO owe the money and I WILL pay it.

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Congrats!

You've pretty much embodied the spirit of boards like these. You found out you had rights, you asserted them, and you got the outcome you wanted. :)

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Good for you!

Did you get 50%?

You learned a lesson I tell a lot of my clients. I do BK, too, but it is not my first choice for most people. But BK attys are the flip side of the collectionfirms, in the repsect that they are paper mills. One solution fits all, as it is efficient. And they are like surgeons: go to a surgeon with a headcold and he'll tell you, " We'll cut off your nose and you'll be fine"

A hardcore BK lawyer will wnat to put you through becasue that is what he knows.

Best of luck to you

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Congrats!

Just make sure you get the deal in writing and that if settled for less than owed, the balance is forgiven and they cannot sell it to another JDB. Also make sure the court case is dismissed, some shady operations will settle with you but then not dismiss the case and get a default judgement when the defendant doesn't show up for a court case they only thought was dismissed.

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Did you talk to a specific person? Was it one of the collections people or did you talk to one of the attorneys?

How much did you end up getting your payments reduced by?

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