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BEING SUED BY JBR Please help!!!


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Hello everyone,

I am new to this process. I'm being sued by Javitch,Block & Rathbone, LLC in Texas for non-Payment to GE Capital Retail Bank. And I tried calling them and settling with them and they wanted more than I can pay. I tried 2 different times talking to them and tried to come to an agreement and they won't budge much.

I have to write a letter to the courts to respond to their suit against me and not sure how to start. I've been looking around the forum and not to familiar with it so I would appreciate any help.

The amount they say I owe now has inflated by $1450 from the original amount. Not sure how to start the letter. When I called them they said I could agree to a settlement amount and not have to show up to the court hearing but what I've read online states if you don't write the letter and don't show up the judge would automatically grant the plaintiffs case and put a judgement on me. So any information would be great. Thanks

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You don't write a letter. You write an answer to the Complaint and file it with the court. Read your court's Rules of Civil Procedure. Those rules will have information on how to answer and format the Complaint. It must have a court header just like the Complaint: Name of court, case number, plaintiff, defendant, etc.

It would help the members here if you would answer the questions in the following link:

http://www.creditinfocenter.com/forums/there-lawyer-house/242744-qs-answer-when-posting-forum-please-read.html

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If you are inquiring about a lawsuit in which you are the defendent (ie you are being sued), you need to answer the following questions (as much as possible):

1. Who is suing you? Javitch,Block & Rathbone,LLC, from Richardson Tx.

2. For how much? $5950.00

3. Who is the original creditor? GE Money Bank

4. How do you know you are being sued? Got served Civil Citation Papers

5. How were you served? Were you served? In person at my residence by a woman that didn't have a uniform on.

6. What was your correspondence (if any) with the people suing you before you think you were being sued? None, they have tried to contact me via mail but I didn't respond.

7. Where do you live? Denton Co. Texas

8. When is the last time you paid on this account?1 year ago.

9. What is the status of your case (if anything has been opened)? You can find this by a) calling the court or B) looking it up online (many states have this information posted daily). It has a case # on Denton Co. website

10. Have you disputed the debt with the credit bureaus (both the original creditor and the collection agency?) No I haven't

11. Did you request debt validation before the suit was filed? If not, don't bother doing this now.No I didn't know I was being sued.

12. Does your summons require a response in writing? (Look hard!) If you don't get a questionnaire with your summons, you are still probably required to answer it in writing. If you don't respond to the lawsuit notice you will lose automatically. In 99% of the cases, they will require you to answer the summons, and each point they are claiming. We need to know what the "charges" are. Please post what they are claiming. Did you receive an interrogatory (questionnaire) regarding the lawsuit? No I didn't but it says I have 10 days to have a written response to the suit.

13. What evidence did they send with the summons? An affadavit? A statement from the OC? Anything else they attached as exhibits?No, just a total amount due which was around $1500 more than

14. What is the SOL on the debt? To find out: 4 yrs

I appreciate your response BV80. I have until the 10th to respond. I got served the papers on the 1st and been trying to research and find the best possible way to act/write a response. I've also read that most of the time the plaintiff won't show up to the hearing and the judge will dismiss the case. Not sure if this is the case or not here and won't know until the court date comes up. There hasn't been a court date set as of yet.

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You need to answer the Complaint within the allotted time. Read your court's Rules of Civil Procedure. You can try to fight, or you can choose to elect arbitration. Read the arbitration thread. Some of the members here are very knowledgeable regarding the process.

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Please help. I know I made these charges to the CC and want to pay to resolve this suit. I've talked to the DC and they say they were hired by GE Capital Retail Bank Successor to GE Money Bank. Not sure how to answer but I have to answer by 10AM on Monday and was going to admit to this so I can resolve it. The DC said they would settle for $483 per mth for 6 mths for a $5800 balance would settle for $2900. But I've been reading where in some cases they will still sue you after you have settled for a certain amount. And I tried to negotiate my credit standing with them and they said they are a lawyer firm and don't report to the credit bureau. not sure how I should answer I see everyone say to deny the claims due to no evidence to back their statement. I'm just afraid of going to court. I would appreciate advise. Thanks.

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I'm not trying to be rude. I'm really not. However, what do you want us to do? Did you read the rules of procedure as advised? That will tell you the procedure side of it. All we can do, unless somebody is from the same state and very familiar, is give you general advice.

You don't want to pay the debt or can't (don't blame you) because your scared they might still sue (anything is possible, but with a proper settlement agreement getting sued after you pay won't happen 99% of the time). However, you don't want to go to court, but you want to answer the lawsuit so they don't get a default (smart).

You can't have it both ways. If you fight it you will probably have to go to court. If don't pay you will probably go also. If you pay them then you won't have to go to court.

There is a reason attys make a couple hundred bucks an hour. It's not rocket science, but you must do a ton of studying, research, and critical thinking. I might be wrong, but it does not appear you have done any studying on your own. We can't just write your answer and then you turn it in. That is just an outline, you will still have to argue it yourself.

As was stated when you first posted, answer the lawsuit. You can find a ton of examples, but you basically go through the complaint and admit or deny each allegation. You will have to get caught up to speed in record time, but it can be done.

It's not like you have a ton of options. You can answer the lawsuit. If you do that then Google is your friend. Just put in Texas collection lawsuit sample answer and a bunch of search phrases like that.

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Thank You for your input Coltfan1972. I have been researching a lot lately on this forum and most everything that I see is deny,deny,deny and fight it. I just don't want to get up in front of the court and make a fool of myself because I don't do well in front of a Judge. But on the other hand I have been doing some researching and have copied and adjusted an answer letter to suit my situation. I'm just basically not wanting to get sued after I pay the settled price. And want to answer so the Judge doesn't give them a Judgement against me. I am just confused with all of the different answers and trying to decide which is best for my situation. Thanks

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Was it a Lowe's card? If so, I'd approach it this way. Of course, you need to get your answer in, with denial of everything except that you are who you are and you live where you live and include affirmative defenses.

But, if it is a Lowe's card (or let me know what kind it was), I want you to read the arbitration provision I've listed below. I would immediately send a letter to the attorney electing arbitration via JAMS and include the notice in the papers to court. And I'd have that you are asking them to pay your fees per the terms of the agreement. Then in addition to filing your answer/affirmative defenses, I'd also file a MTC arbitration with your court.

I would then move forward and initiate with JAMS.

They will start to listen to you then! :)++

ARBITRATION PROVISION. Please read this arbitration provision carefully. IT PROVIDES THAT ANY PAST, PRESENT OR FUTURE LEGAL DISPUTE OR CLAIM OF ANY KIND, INCLUDING STATUTORY AND COMMON LAW CLAIMS AND CLAIMS FOR EQUITABLE RELIEF, THAT RELATES IN ANY WAY TO YOUR ACCOUNT, CARD OR YOUR RELATIONSHIP WITH US (“CLAIM”) WILL BE RESOLVED BY BINDING ARBITRATION IF EITHER YOU, WE OR LOWE’S ELECTS TO ARBITRATE.

Right to Reject Arbitration: You may reject this arbitration provision, in which event neither you nor We will have the right to require arbitration. Rejection will not affect any other aspect of these terms. To reject the arbitration provision, you must send Us a notice that we receive within sixty (60) days after you open your account. The notice must include your name, address, and account number and be mailed to P.O. Box 981429, El Paso, TX 79998-1429. This is the only method

you can use to reject the arbitration provision. As used in this provision: “We,” “Us,” and “Our” mean (1) GE Money Bank and all of its respective parents, subsidiaries, affiliates, predecessors, successors, assigns, employees, officers and directors (collectively, the “Bank”), and (2) Lowe’s Companies, Inc. and all of its respective parents, subsidiaries, affiliates,

predecessors, successors, assigns, employees, officers and directors (collectively, “Lowe’s”), if Lowe’s is named as a co-party with the Bank in a Claim asserted by you.

This arbitration provision covers all Claims, except that We will not elect to arbitrate an individual Claim brought by you in small claims court or its equivalent, unless that Claim is transferred, removed, or appealed to a different court. This provision replaces any existing arbitration provision between you and Us.

The following describes the arbitration procedure, and its implications:

• Notice: If you or We elect to arbitrate, the other party must be notified. Your notice must be sent to GE Money-Americas, Legal Operation, 777 Long Ridge Road, Stamford, CT 06927. Notice can be given after a lawsuit has been filed, in which case it can be made in papers in the lawsuit.

• Administrator: The person who starts the arbitration proceeding must choose an administrator, which can be either the American Arbitration Association (“AAA”), 335 Madison Avenue, New York NY 10017, www.adr.org, (800) 778-7879, or JAMS, 620 Eighth Avenue, 34th Floor, New York, NY 10018, www.jamsadr.org, (800) 352-5267. The actual arbitrator will be selected under the administrator’s rules, and must be a lawyer with at least ten years of experience.

• Applicable Law: These terms involve interstate commerce and this arbitration provision is governed by the Federal Arbitration Act, 9 U.S.C. Section 1 et seq. (the “FAA”). Utah law shall apply to the extent state law is relevant under Section 2 of the FAA in determining the validity of this provision. The arbitrator has to follow: (1) the substantive law, consistent with the FAA, that would apply if the matter had been brought in court, (2) this arbitration provision, and (3) the administrator’s rules. The arbitrator is authorized to award remedies that would apply if the individual action were in a court (including, without limitation, punitive damages, which shall be governed by the constitutional standards employed by the U.S. Supreme Court).

• Location/Fees: The arbitration will take place in a location reasonably convenient to you. If you ask Us, We will pay all filing, administrative, hearing and/or other fees the administrator or arbitrator charges up to $2,500. If the cost is higher, you can ask Us to pay more and We will consider your request in good faith. Under all circumstances We will pay all amounts We are required to pay under applicable law.

• Judgment/Appeals: A court may enter judgment upon the arbitrator’s award. The arbitrator’s decision will be final and binding except for: (1) any appeal right under the FAA; and (2) any party may appeal decisions relating to Claims of more than $100,000 to a three-arbitrator panel appointed by the administrator, which will reconsider all over again any aspect of the appealed award. If you appeal, We will consider in good faith a request that We pay any additional fees of the administrator or arbitrator.

IMPORTANT LIMITATIONS AND RESTRICTIONS: IF A CLAIM GOES TO ARBITRATION, NEITHER YOU NOR WE WILL HAVE THE RIGHT TO: (1) HAVE A COURT OR A JURY DECIDE THE CLAIM; (2) ENGAGE IN DISCOVERY (I.E., THE RIGHT TO OBTAIN INFORMATION FROM THE OTHER PARTY) TO THE SAME EXTENT THAT YOU OR WE COULD IN COURT; (3) PARTICIPATE IN A CLASS ACTION IN COURT OR IN ARBITRATION, EITHER AS A CLASS REPRESENTATIVE OR A CLASS MEMBER; (4) ACT AS A PRIVATE ATTORNEY GENERAL IN COURT OR IN ARBITRATION; OR (5) JOIN OR CONSOLIDATE YOUR CLAIM(S) WITH CLAIMS OF ANY OTHER PERSON. THE RIGHT TO APPEAL IS MORE LIMITED IN ARBITRATION THAN IN COURT. OTHER RIGHTS THAT YOU WOULD HAVE IF YOU WENT TO COURT MAY ALSO NOT BE AVAILABLE IN ARBITRATION. ONLY A COURT MAY

DETERMINE THE VALIDITY AND EFFECT OF PARTS 3, 4 AND 5 OF THIS PARAGRAPH. IF A COURT SHOULD HOLD SUCH PART(S) TO BE INVALID, THEN THE ENTIRE PROVISION SHALL BE NULL AND VOID. HOWEVER, THIS WILL NOT LIMIT THE RIGHT TO APPEAL SUCH HOLDING. IF A COURT SHOULD HOLD ANY OTHER PART(S) OF THIS ARBITRATION PROVISION TO BE INVALID, THE REMAINING PARTS SHALL BE ENFORCEABLE.

This arbitration provision will survive the termination of your account and the card and will remain in force no matter what happens to you or your account. If the administrator’s rules conflict with the rules described in this provision, this provision will apply.

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I'm not a fan of arbitration, but Linda7 never seems to be able to help herself but suggest it.

Arbitration is a bad move in my opinion, you forgo many of the court protections. If you're going against a JDB, you have a pretty good chance of winning.

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It is not clear who the plaintiff is. The law firm you mentioned represents the plaintiff. Is it GE? Just want to be sure, it makes a big difference. If it is a "junk debt buyer" you should fight because they rarely have the paperwork to win. Also, post the complaint here, word for word, no mistakes or omissions.

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I'm not a fan of arbitration, but Linda7 never seems to be able to help herself but suggest it.

Arbitration is a bad move in my opinion, you forgo many of the court protections. If you're going against a JDB, you have a pretty good chance of winning.

I'm sorry, but ever since Coffeemama got railroaded, that left a sour taste in my mouth. Also, there seems to be a lot of what should be slam dunks against JDB, suddenly turn on the consumer. When I see an agreement like the one I posted above, I know that will take the court's jurisdiction away, it won't cost the consumer anything as the fees according to the contract will all be paid by the creditor and with a debt this small, the creditor will pack in a hurry.

When I try to decide which might be best, I weigh the outcome from some of the "kangaroo court" reports that we've seen from some of the other members in regard to their experiences with JDB versus the language of the agreement and knowing that the JDB is not going to pay the fees to arbitrate . . . it just seems safer at times in my opinion to suggest arbitration. But, I don't always suggest arbitration - however there are many others that know the ropes for staying in court, so I don't usually reply to posts where I see that staying in court is the best option and others are helping them. And I do actually help others without going the arbitration route. As a matter of fact, we have one member now that I'm helping that has a wonderful chain of custody issue of 5 different creditors having had the account, yet they show no bills of sale. Now you know I want to see that one in court! :mrgreen:

Admin, I tried to send you a pm (and would still like to), but can't get through to your pm box. :)++

Edited by Linda7
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Arbitration is just another stick to be employed (when appropriate) in beating back a potential 'kangaroo court'.

I got a judgment levied against me by just such a court.

They sued me .... I answered. Trial date was set.

My Mom got sick and I left the area to take care of her.

They propounded Discovery on me at my address .... I was still with my Mom and didn't know it.

I returned for the trail date and found the Discovery requests in my mailbox the day before the trial.

Asked the court for a continuance due to circumstances and was DENIED.

You know if the JDB's lawyer had asked for the same, for any reason, ..... GRANTED.

Talk about a sour taste .....

So yeah, there are kangaroo courts out there, as many have attested to, and if you can get the venue out of such prejudice ... go for it.

Hey, life happens.

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Thanks for all of the advice and comments everyone. I'm not sure what to expect with arbitration but I did read up and it says that we meet with someone neutral and they make the decision to weather I pay as expected or the case is dropped or come to a mutual agreement. Is this so?

As my summons it is a civil Citation from denton county court Texas and the names of all parties to the said suit are: GE Capital Retail Bank Successor to GE Money Bank as Plantiff(s), and me as Defendant.

Claim Amount $5669.59

Filing and Service Fees $31.00

Interest $0.00

Attorney's Fees $250.00

Total $5950.59

And yes it is from Lowes that they are suing me from. Parties

1. Plantiff, GE Capital Retail Bank (hereinafter "Plaintiff"). whose business address is 170 Election Rd Suite 125, Draper, UT

Defendant is me (hereinafter "defendant") who may be served at my address

Plantiff intends for discovery to be conducted under Level 1 of the Texas Rules of Civil Procedure.

Venue

2. Venue of this action is properly in the county named above because me is and individual believed to be residing is said county at the time of commencement of suit.

Facts

3. In the ususal course of business, Plaintiff issued a credit card in the defendant's name under it's account number*******.

Defendant received and used, or authorized the use of, the card and thereby became obligated to pay for the charges incurred with the card.

4. Defendant defaulted on the obligation to make payments on the credit card account. The entire balance on the credit card account is presently due and payable in full.

Debt/Breach of Contract

5. By using and/or authorizing the use of the credit card, Defendant accepted the contract with the Plaintiff and became bound to pay for all charges incurred with the credit card. Defendant also became subject to all of the terms and conditions of the cardholder agreement.

6. The Plaintiff sent to Defendant monthly bills reflecting, inter alia, all charges incurred with the credit card, the payment due,and the total balance due. To the best of the Plaintiff's knowledge and belief, there are no disputed charges reflected in the balance due and owing.

7. Defendant defaulted in the payment obligation on the credit card. Such breach of contract proximately caused the Plaintiff damages in the amount of the balance due on the credit card account.

8.Defendant is presently indebted to Plaintiff for the balance of $5,669.59. Plaintiff seeks judgement for such claim, together with post-judgement interest at the maximum rate allowed by law.

Account Stated

9. Pleading further in the alternative, without waiving the foregoing, Plaintiff asserts that Defendant's use of the credit card represented a periodic account, for which the Plaintiff generated regular statements. Defendant is liable to Plaintiff for the account balance, together with interest thereon at the rate allowed by law.

10.Through its undersigned attorney Plaintiff has demanded payment from Defendant, but defendant has not satisfied such demand. Plaintiff has performed all conditions precedent to the filing of this action, or all such conditions precedent have occurred.

Attorney's fees

11. defendant's default has made it necessary for Plaintiff to employ the undersigned attorney to file suit. This claim was timely presented to defendant and it remains unpaid. A reasonable fee for the attorney's services and to be rendered is $250.00.

Prayer

Plaintiff prays that:

1. Defendant be cited to appear and answer herein;

2. Plaintiff be granted judgment $5669.59 as the amount due pursuant to the subject agreement;

3. Plaintiff be granted pre-judgment interest;

4. Plaintiff be granted judgment in amount of $250.00 as reasonable attorney's fees;

5.Plaintiff be granted judgment for all costs of court;

6. Plaintiff be granted judgment for post-judgment interest at the highest rate allowed by law;

7. Plaintiff be granted such other and further relief, special or general, legal or equitable, as Plaintiff may be shown to be justly entitled to receive.

Summary;

I typed up a letter that admits to where I live and who I am but have denied everything else. But I have talked with the so called lawyer firm and they said they would settle for the amount of $2900.00 and I could pay it out in 6 mths. Really confused with all of this legal stuff. But I am learning and I have a lot of others to settle with or they will probably take me to court also. I also have a lot of creditors calling my relatives house and wanting to speak with me and I am thinking of sending a cease and desist letter to them for their phone number that they are calling but it is at the same address as mine. I appreciate any comments; THANKS!!!:?:?

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You settle this thing and have it marked as settled on your credit report, and you just became a marked man. Anybody you owe money to is going to be coming hard and fast for you. I'm afraid your right. The others will be a ton more likely to sue since they know your willing to fork over the money to settle.

I'm not telling you not to settle. I'm also not trying to imply you would be doing something wrong if you did. I'm just giving you a heads up. Ever watch people in a casino flock to a slot machine that just paid off the jackpot.

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Okay, you need to get your ducks in a row.

First of all - is this the Original Creditor or has someone bought the debt?

You can look at your credit report and see if the original creditor has sold/transferred or if it lists the debt as purchased by another lender. Post back and let us know precisely what it says.

We need to get that information first.

Another reason I am also leaning toward arbitration is the fact that you have admitted to the debt on the open forum and no telling what you might have said when you talked to any of them.

Creditors have been known to use information from posts on public forums to prove that the consumer acknowledged the debt.

Also, I'm a little confused with what you said in your first post - "I have until the 10th to respond". But, in another post you said you had to have this done by Monday. Monday is the 14th.

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Coltfan1972---yes I did figure I would be a marked man if I did the settlement then the others would be coming after me.

Linda7----The firm told me they are working for the creditor. I don't know if they are really working for the OC or the are JDB. you are right I told them I didn't have the money and I did say I owed Lowes. But I probably stuck my foot in my mouth now.

On the paper it says I have 10 days after being served so I went to go Friday and then remembered that the offices were closed for Veteran's Day. And I looked on my paperwork and it states that I have until the following Monday after the 10 days that I've been served. So I guess I have until 10AM on Monday. As you can tell I'm not to sure about anything at this point.

Thanks for everyone's comments and advice.

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You can look at your credit report and see if it says the debt has been purchased by another lender. That will tell us if it is the OC or a JDB.

I still fear that you are dealing with the OC.

If it were me - I would indeed elect arbitration "now". Even though it is the weekend, you can fax a letter electing arbitration to the attorney's office and probably also to the OC. Their fax number might possibly be found if you don't already have it.

If you're interested, I can show you a letter to send to them.

The next step would be to have your answers and affirmative defenses ready to file on Monday.

I would also have a MTC arbitration ready to go for Monday too. Come Monday, I would either call when they open or be there when they open and ask if you can still file your motion to compel. Then also be sure to file your answers/affirmative defenses by 10 a.m.

Your agreement says that they will pay "all" fees if asked and of course we will ask this in the election letter.

Arbitration is done in steps. The first step will be to let them know that you are electing it and that you want them to pay all the fees. They can then dismiss the case because they don't want to or they can ignore. At that time, the court having your MTC arbitration will rule on whether you have the right to arbitrate and since the AT&T vs Concepcion ruling - you'll probably be granted your motion.

At that time, they may decide to back off.

Just to cover the bases though, you want to go ahead and initiate with JAMS to make sure they don't initiate with AAA. When they get the JAMS demand, again another chance for them to decide to back off.

In the event they don't - they probably will when they get their first bill. Then don't forget . . . they get lots more bills.

It is just not cost effective for them to proceed into arbitration.

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Also, Texas seems to be debtor friendly.

I found this -

"Texas is very favorable to debtors. They cannot force the sale of your homestead, take your personal property up to a certain dollar amount or garnish your wages to satisfy a judgment. About all they can do is seize funds in a bank account so if it ever comes to that point a debtor can live on a cash only basis.

In general, a debtor may claim exemption of his homestead and certain personal property from attachment and execution of a judgment.

A debtor's homestead and one or more lots used for a place of burial of the dead are exempt from seizure for the claims of creditors. (Prop. C. 41.001.) If used for the purposes of an urban home or as a place to exercise a calling or business in the same urban area, the homestead of a family or a single, adult person, not otherwise entitled to a homestead, consists of not more than one acre of land which may be in one or more lots, together with any improvements thereon. (Prop. C. 41.002(a).) If used for the purposes of a rural home, the homestead consists of:

(1) for a family, not more than 200 acres, which may be in one or more parcels, with the improvements thereon; or

(2) for a single, adult person, not otherwise entitled to a homestead, not more than 100 acres, which may be in one or more parcels, with the improvements thereon. (Prop. C. 41.002(B).)

Personal property of a debtor which may be exempt from garnishment, attachment, execution or other seizure may include property having an aggregate fair market value of not more than $60,000, exclusive of liens, security interests, or other encumbrances if it is provided for a family, or an aggregate fair market value of not more than $30,000, exclusive of liens, security interests, or other encumbrances if it is owned by a single adult. (Prop. C. 42.001(a).) These property may include home furnishings, including family heirlooms; provisions for consumption; farming or ranching vehicles and implements; tools, equipment, books, and apparatus, including boats and motor vehicles used in a trade or profession; wearing apparel; jewelry not to exceed 25 percent of the aggregate limitations prescribed by Section 42.001(a); two firearms; athletic and sporting equipment, including bicycles; a two-wheeled, three-wheeled, or four-wheeled motor vehicle for each member of a family or single adult who holds a driver's license or who does not hold a driver's license but who relies on another person to operate the vehicle for the benefit of the nonlicensed person; certain animals and forage on hand for their consumption; household pets; and the present value of any life insurance policy to the extent that a member of the family of the insured or a dependent of a single insured adult claiming the exemption is a beneficiary of the policy. (Prop. C. 42.002.)

Other personal property, which may be exempt from seizure, may include current wages for personal services, professionally prescribed health aids of a debtor or a dependent, alimony, support, or separate maintenance received or to be received by the debtor or for the support of his dependent, qualified retirement plan, annuity or account. (Prop. C. 42.0021.)"

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From what you posted, you are being sued by the original creditor. You'll have a tough time with this one unless you are very well versed in law and can mount a rational defense.

Just a further suggestion to the admin, those "fill in the blanks" questions always result in confusion. "Who is suing you" always results in the name of the law firm. It should be "who is the named plaintiff in the suit?" followed by "what is the name of the law firm representing the plaintiff?"

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Hello Everyone, I am not very versed in the law. So to make things easier I'm going to settle with this OC and their law firm. What is a good way to answer their summons letter. Does anyone have a form or something I can use as a templet? I can do a 6 month program to repay the settled amount,Also I have been approved for a loan from my retirement account so I can settle with them and many of the others that I have. The reason I got loan is to take care of things and make things right. I don't like hiding anymore and my credit rating is suffering really bad and I want to get things cleared up so I can improve my score and stop hiding and ignoring collections. I appreciate everyone's help and input and suggestions. If anyone has a suggestion to how to answer this summons so I don't hurt myself but agree to and settle with the OC and their law firm would helpful. Thanks.

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You've been sued. If you given up and raised the white flag, the settlement will be on their terms. Generally speaking, unless it's a stipulated judgement, your not going to get to pay it out over six months. The time for that was before you were sued. They now have time and atty fees invested.

Let me save you the settlement phone call.

You- Yes, I would like to settle this matter.

Them- Great, you can drop a certified check off, for the full amount, at our office or have it sent overnight. We will then sign a satisfaction of judgement, give you a copy, and file the same with the court in five days. If you have it to us by Tuesday the pre-judgement interest will be 8% from the time we filed, so don't forget to add that to your payment. However, we will forgive the 200.00 filing and serving you the lawsuit cost.

You- Well I'd like to pay that off over six months.

Them- Sure no problem. We will add the interest for the next six months and get a stipulated judgement for you to sign.

You- Yeah, but I wanted to do the right thing, not run from collections, pay you, and not have a judgement or this affect by credit, which I trying to rebuild.

Them- Yeah, that's why we tried to settle before we sued you, sent you letters, and called you.

You- Can I just pay this out over six months without a stipulated judgement.

Them- No

You- Please, I'm now trying not to run and hide.

Them- Yeah, right, after we caught you and sued your butt. Now you want to settle and do the right thing. You have two options, pay us our money, or pay us our damn money.

You- I'm getting a 401K loan.

Them- Good you can pay us real easy then.

You- But I have others to also take care of in addition to you.

Them- We don't give a damn about anybody else, we want our money. Pay us in full or stipulate a judgement, or we are getting a judgement against you, tacking on pre and post judgement interest, filing fees, and atty costs.

We're running a business here, not a charity and not a credit repair orginization. You borrowed it, you pay it back now, or see you in court.

You- Wow you guys are a holes and really not working with me. I'm trying not to run and hide. I'm taking responsibility.

Them- Good job, that's a refreshing approach. However, God forgives and forgets. We just want your money, not your apology. Those are the settlement terms. Take it or leave it. Have a nice day.

You- Well I'll just file my answer and let the court know I want to settle and you would not work with me.

Them- Good, that will save the Judge and all of us a lot of time. We will just go straight to summary judgement and get our money that way. Even though the money in your retirement is protected from judgement and even from bankruptcy, once you get that money out of retirement and into your hands or a bank account, were getting our cut because it now goes from 100% exempt to 100% able to levy and take from you.

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Coltfan1972

I didn't think in Texas they could garnish your wages or have a hold on your bank account for debt unless it's like a government debt like taxes or school loans. If this is the case that you are describing then I need to deny all the allocations. I do have a letter already printed off and in an envelope ready to send off to the lawyers of the OC. I know your not giving legal advice or anything but in your opinion should this be good to do or otherwise it will be a domino effect with the other creditors. And I don't want them to get a judgement and mess everything up. Now that I think about it you hit the nail on the head. I am trying to do the right thing and pay up with a settlement but they will come after me for it all. I've got to go to the court house in the morning and file an answer so I'll give them a copy of the same paperwork I'm sending to the firm. Thanks for your help Coltfan1972 I appreciate it.

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You're correct about wage garnishment in Texas. However, keep in mind you might not always live in Texas, the laws might change, or down the road you actually might want to own a house and/or other property they can come after.

If you want to borrow against your 401K and offer a lump sum settlement, they will listen and you would be able to knock off some with that type of settlement. Generally speaking, the paying over time without a judgement is not going to fly.

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Also, be very careful what you put in a letter to the other side. A settlement offer can't be used against you. However, anything else can be used against you.

So it wouldn't be a good idea to deny the charges. See I'm confused, I know it's what kind of chance I'm willing to take but I just want to answer in a way that will allow me to settle and not give them a judgement against me. Have any suggestions to how I should word that. I appreciate ur comments. I'm just very unsure how to approach this and get my end result that I want or I guess it's just going to happen a judgement I mean. Thanks coltfan1972.

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