Sign in to follow this  
grldbeasley

Trying to settle a judgement owed to CitiFinancial

Recommended Posts

In 2006 I obtained an unsecured loan for $5,000 from CitiFinancial and made some bad choices which left me unable to pay on the debt. Later that year a legal judgement was issued in the amount of $5,300.

I'm now in a position where I could settle the debt for around $3,000 so I recently called CitiFinancial and was told the account was closed and referred to a collections agency. I called the collections agency they referred me to CitiFinancial saying they no longer have it either. I called CitiFinancial back and was referred to the legal department where all I was able to do was leave a voicemail. After several days passing and never getting a response by phone, I sent a certified letter to both Citi and to the collections agency (ER Solutions). I received a response from CitiFinancial about a month later that simply contained all my old payment forms that were to be used to make payments on the account that was now closed out.

ER solutions has contacted me once again offering to settle the debt for 50% of the original amount. I offered to pay it, but requested a written guarantee that the judgement would be lifted upon settlement. They declined to provide the guarantee. They simply said that Citi would be legally required to lift the judgement, otherwise it would be requesting double payment for the same debt. I then asked for this statement in writing and yet again they refused to provide it. Therefore I was left with no option, but to opt out of sending them the payment.

Meanwhile I want to pay the debt, but Citi Financial will not put me directly into contact with someone to discuss a way to pay it off. I would think they'd be eager to speak to me about it, since they haven't gotten one cent from me in 6 years!!!

What do I need to do? Please help!!!

Share this post


Link to post
Share on other sites

It will drop off your report sometime in 2013 based on the general date of the judgement that you posted.

I can't say you should not pay something if you have a judgement and want to pay, but dang, you had not paid in six years, it will come off your report very soon, you are trying to throw money at them and they want take it?

I can honestly say your problem is a new one that I've seen on this board. I guess you could draft your own settlement turns, send it to them, see if they will sign it and return it and then you pay the settlement.

Boy, if I had just tried to throw money at these clowns and you have not paid in six years??? Well safe to say their payment ship just sailed.

Why don't you take the money, put it in a sock, bury it in your back yard, then if they try to enforce the judgement you have the money (plus some interest). However, if the time frame for them to enforce the judgement passes (probably around 10 years with being able to renew it), go dig up your sock and pocket your money.

Share this post


Link to post
Share on other sites

Judgment creditors have a very long memory/life cycle. I would pay -- under the right terms. First, contact CitiFi through the BBB. You will get in touch with a decision maker there. Then, you don't need them to remove the judgment; rather, you only need them to not oppose your future motion to vacate the judgment, which you'd file after payment.

Share this post


Link to post
Share on other sites
Judgment creditors have a very long memory/life cycle.

That is correct.

First, contact CitiFi through the BBB. You will get in touch with a decision maker there.

While I totally disagree, it is for sure another legit way to go about it.

Then, you don't need them to remove the judgment; rather, you only need them to not oppose your future motion to vacate the judgment, which you'd file after payment.

That's not correct, it's called a satisfaction of judgement and it is to be filed in every case when a judgement is satisfied. There is not not opposing or a any motion filed, because you don't vacate the judgement, you have paid the judgement. The judgement stands, it just goes from owed to paid (satisfied).

Share this post


Link to post
Share on other sites
In 2006 I obtained an unsecured loan for $5,000 from CitiFinancial and made some bad choices which left me unable to pay on the debt. Later that year a legal judgement was issued in the amount of $5,300.

I'm now in a position where I could settle the debt for around $3,000 so I recently called CitiFinancial and was told the account was closed and referred to a collections agency. I called the collections agency they referred me to CitiFinancial saying they no longer have it either. I called CitiFinancial back and was referred to the legal department where all I was able to do was leave a voicemail. After several days passing and never getting a response by phone, I sent a certified letter to both Citi and to the collections agency (ER Solutions). I received a response from CitiFinancial about a month later that simply contained all my old payment forms that were to be used to make payments on the account that was now closed out.

ER solutions has contacted me once again offering to settle the debt for 50% of the original amount. I offered to pay it, but requested a written guarantee that the judgement would be lifted upon settlement. They declined to provide the guarantee. They simply said that Citi would be legally required to lift the judgement, otherwise it would be requesting double payment for the same debt. I then asked for this statement in writing and yet again they refused to provide it. Therefore I was left with no option, but to opt out of sending them the payment.

Meanwhile I want to pay the debt, but Citi Financial will not put me directly into contact with someone to discuss a way to pay it off. I would think they'd be eager to speak to me about it, since they haven't gotten one cent from me in 6 years!!!

What do I need to do? Please help!!!

In South Carolina, a judgment can be enforced for 10 years. After that, they can't do anything to you. Since the judgment is still within the 10 year period, it constitutes an automatic lien on your home, if you own one. During the next 4 years, you wouldn't be able to refinance your home unless the judgment was satisfied. If you decide to sell, Citi would be in line for part of the profit.

A forced sale on their part would depend upon your situation.

Personally, if I were in your situation, if I didn't need to sell my home, or they couldn't force a sale, I would wait out the 4 years considering I wouldn't know who to pay or if the terms would be agreeable.

If you really want to pay it, contact the law firm who represent Citi 6 years ago. They should be able to tell you who to pay.

Share this post


Link to post
Share on other sites

Or put the money in the sock, in the hole in the backyard, and if you want to sell your house, dig up the sock.

Don't pay people that when you throw money at them won't take it.

Share this post


Link to post
Share on other sites

That's not correct, it's called a satisfaction of judgement and it is to be filed in every case when a judgement is satisfied. There is not not opposing or a any motion filed, because you don't vacate the judgement, you have paid the judgement. The judgement stands, it just goes from owed to paid (satisfied).

Not quite. Just like a complaint needs to allege an underlying debt to proceed to a judgment, so can the underlying debt be paid without satisfying any judgment. Even if there is never a settlement of the judgment debt, a defendant can still pay the underlying debt, while moving to vacate the judgment for, say, lack of personal or subject-matter jurisdiction. Payment of an underlying debt does not retroactively vest the court with subject-matter jurisdiction if it never had one, and the judgment may still be voided. When the payment is part of a settlement, the parties can, for instance, stipulate that: 1. Defendant would pay the underlying debt; 2. Plaintiff admits that service may have been deficient and would not oppose defendant's motion to set aside for improper service.

Edited by options

Share this post


Link to post
Share on other sites

You are very smart to withhold payment until you have something in writing regarding the terms of the settlement. I'm sorry they are so hard to deal with; stick to your guns and do not send them one cent until they give you something in writing outlining the terms. I would ask to speak with a manager of the department; it's a longshot, but the manager of the collection department is expected to collect a certain amount of $$ each month; and if he/she knew you were ready to pay, they may be more forthcoming with a letter of guarantee than an hourly worker. Most of the items I've read say the judgement will not be removed, only marked as 'PAID' on your report, and each state differs on the length of time a judgment can stand on your credit.

Share this post


Link to post
Share on other sites
Guest
This topic is now closed to further replies.
Sign in to follow this