How to calculate Statute of Limitation?

[bendol100]

I received a response for a DV letter I sent back in mid January 2011. CA’s response letter simply says: Enclosed are the documents you asked for. Your response is requested within ten days. They included a letter from Paypal (dated Janury 31, 2010) which stated the following:

My Paypal account number,

Paypal account creation date,

Date of Charge-off: June 19, 2003

Charge Off Amount: $574.53

Total Amount Due: -$574.53

Date placed for collection with AR Solutions: 07/09

The above-captioned account has been referred to ER Solutions for debt collection efforts. As you know, when you opened your Paypal account, you agreed to be bound by the User Agreement for Paypal Service by clicking”I have read and agreed to the User Agreement….” We are in receipt of your acceptance of the Paypal User Agreement. The amount due, which can be found above after “Total Amount Due”, is justly due and owing and remains unpaid.

The undersigned is a custodian of the records of this account. The undersigned states that the information contained within this notice is true and correct.

(1) reversal for $592.00 involving (buyer’s e-mail address I can’t disclose)

Transaction date May 19, 2003.

Paypal, Inc.

That reversal was for a legit transaction paid by buyer with what Paypal claimed as hacked account. I received the payment from the buyer. Delivered the good (electronically) and withdrew the money from my Paypal account. The next day Paypal dinged my empty Paypal account (reversal). I attempted to work with Paypal, but could never get a human being on the phone! So, I just ignored them all together.

This is the second attempt by ER Solutions (Renton WA) to collect. Last year I also sent a DV letter, get the exact same response. Decided to sit on it. They never touch my credit report (luck ?). Anyway, I can’t do that right now, as I’m trying to buy a house!

My first question is: Isn’t this debt already pass California statute of limitation of 5 years? For statute of limitation, do you look at transaction date (May 10, 2003), Charge-off date (June 19, 2003) or the date Paypal placed it on collection (07/09) ?

Question 2: CA is obviously not providing me with what I requested in my DV letter. Among other things; proof of authorization/assignment to collect on Paypal’s behalf, calculation of amount owed, license to collect in my state, their license numbers and Registered Agent. Should I press for the stuff I requested on my DV Letter.

Question 3: Am I really obligated to comply with their request to reply within 10 days (I assume from receipt of their response.

Any suggestions, advice, words of wisdoms are welcome and much appreciated!

[Guest usctrojanalum]

My first question is: Isn’t this debt already pass California statute of limitation of 5 years?

I would say yes.

Question 2: CA is obviously not providing me with what I requested in my DV letter. Among other things; proof of authorization/assignment to collect on Paypal’s behalf, calculation of amount owed, license to collect in my state, their license numbers and Registered Agent. Should I press for the stuff I requested on my DV Letter.

You could press for this stuff, but they are not required to give it to you and probably won't give it to you.

[bendol100]

Thanks usctrojanalum! Can you please advise me as to what my next move should be? Should I tell them to quit buggin me because the debt is pass SOL? Should I still press for those requested items?

[workingpoor]

Thanks usctrojanalum! Can you please advise me as to what my next move should be? Should I tell them to quit buggin me because the debt is pass SOL? Should I still press for those requested items?

send them a kindly worded letter stating that unfortunately, collection on this account is time barred pursuant to CCP 337, and any further attempts to collect will be returned with a lawsuit.

[bendol100]

Thank you workingpoor!

[Flyingifr]

Or, you could simply tell them "FOAD - what are you going to do? Sue me?" and hope they say "yes" - because that threat, all by itself, would be a FDCPA violation.

[Xcalibar]

I believe that there is a misunderstanding as to the purpose of the Statute of Limitations (SOL).

The SOL stipulates that a Collection agency may not resort to a lawsuit to collect on a time barred debt, but there is no prohibition from pursuing non-judicial legal means to collect upon the debt, well at least as it pertains toa violation of the FDCPA.

Now if they report this debt on your credit report, it will be a violation of the FDCPA because you can demonstrate that they are using an unfair and deceptive collection tactic to collect a time-barred debt.

Additionally the debt is more than 7-years old and therefore is beyond the reporting period for credit reporting purposes.

Basically, unless you agree to pay them, they don['t have much leverage to make you pay.

[diamonddan73]

The SOL for California is 4 years not 5

[BV80]

The SOL stipulates that a Collection agency may not resort to a lawsuit to collect on a time barred debt, but there is no prohibition from pursuing non-judicial legal means to collect upon the debt, well at least as it pertains toa violation of the FDCPA.

Now if they report this debt on your credit report, it will be a violation of the FDCPA because you can demonstrate that they are using an unfair and deceptive collection tactic to collect a time-barred debt.

I believe that JDBs must prove they own a debt and have a right to collect in order to report to a collection agency. Whether or not you can claim it's unfair and deceptive is another story. What we may consider unfair and deceptive may not be considered unfair and deceptive in a court of law unless there is case law to back up the claim.