credit2013

Will requesting DV increase the chance of JDB filing suit

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I will try and be as detailed as possible.

I have been contacted by a JDB regarding an alleged

credit card debt. From my estimation this has been through at least two collection agencies before the JDB took on the account. The alleged debt is between 10- to 15K. The SOL is about a year out. My question is should I DV the JDB or just lie low in hopes of the SOL passing before they file suit.

I would also like to work on cleaning up some issues on my credit report unrelated to the collection attempts by the JDB but wanted some advice on if this activity to clean up my credit report would in any way cause the JDB to increase the likelyhood of filing suit.

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Always DV.  If they file suit before they respond, you have a counter claim,  Its unlikely a JDB can prove anything in court anyway.

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I take a different stance on this, I believe DV only makes them get all the litigation documents sooner. Because when you DV they say"they are not going to pay so we will have to sue them." They will get documents and sue you to call your bluff. Because they know that you need time to get a litgator for FDCPA violations the accelerate the filing of the case forcing you to pay fees to answer that you would not be ready to.

 

It is the equivalent to a boxing match, you touch gloves then the first thing they do is explode out of the corner and punch you in the breadbasket. after that you are dazed and confused scrambling to get your strategy together.

 

AlsoMy opinion is a DV letter only gives them the missing skip tracing information to sue you. You see they put that entry on the credit report so you will contact them. best to ignore their initial communications as they cannot prove you recieved it and any communications before lawsuit can be used to show prior "business dealings".

 

If you are gonna make a deal with them however, it would be good to use DVfor leverage in negotiation because they may say "Hey we can maybe stall enough to negotiate". I read an article on insidearm that said that litigation costs are approx 45% of the account value so you have to realize if you have a high balance account the litigation 55% may be better than any settlement  you propose and the DV may just make that happen faster by providing a verified address the process server can use to serve.

 

If the account is a low value account under 4000 dollars then the dynamic changes as litigation does not make sense to pay the $1800 to get 2000 when someone is offering 2000 off the top.

 

I will never DV because they will never give any useful information and will lie and say they sent a response if you sue them so no value for debtors in my opinion.

 

Frankly, I have learned that the FDCPA is not a weapon like a light saber or a sword, it is more like a wiffle ball bat which stings and annoys the person you are hitting but if it is taken away from you and used against you could subject you to pain in a very sensitive area that is round.

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First, JDBs seldom contact you directly.  They have a CA do it.

 

Second, by not DVing, you are allowing them, under the FDCPA, to assume they have the right person, the right account, the right amount, and the right to continue to hassle you.  While the info they are required to respond with is not more than that, at least they are required to get it from the OC.

 

Third, under the FDCPA, they do not have to prove you got this info...only that they have a mechanism in place for sending it.  Your CMRRR DV is your proof that you asked for it.

 

Last, if the acount has been sold (the OC's TL will read "sold to another lender" and their balance will be $0), then there is an excellent chance that the JDB just bought your name on a list and has no proof you owe them anything.  If it hasn't been sold, you're dealing with just a CA...and the DV will show them you are an informed consumer, so they are likely to send it back to the oC for someone else to deal with.

 

Always DV.

 

On the other hand, if you'd rather not...I now know you owe somebody $15k...I'm collecting it.  i'll let you know where to send the money.

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The alleged original creditor has charged this off with an account balance of $0.00. As I am just starting my journey on this board I may have used the wrong term to describe the present claimed owner of the alleged  debt.  I am not sure if they are considered a collection agency but they are mentioned frequently on this site and others.

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Some JDbs do have subsidiaries that are CAs with similiar names.  Its often hard to tell.

 

Doesn't really matter...send the DV to the address on the letter you received, along with a copy of their letter and the registration number of the CMRRR.

 

(Just an FYI...many JDBs are "investment companies" where dentists or doctors or other professionals invest their spare cash because of the potential high rate of return.  that's why the JDB has a slightly different name than the CA...to protect the "shareholders" from liability).

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Always DV - it sets up your ability to hit back with any FDCPA violations - in fact, I'm filing a suit on Monday morning for this exact reason...

 

I sent a DV - they waited 2 months and called again... when I brought up the DV letter on the recorded call, I asked why they hadn't responded to my DV letter... and the CMRRR says they got it 5 full weeks before the call.

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First, JDBs seldom contact you directly.  They have a CA do it.

 

Second, by not DVing, you are allowing them, under the FDCPA, to assume they have the right person, the right account, the right amount, and the right to continue to hassle you.  While the info they are required to respond with is not more than that, at least they are required to get it from the OC.

 

Third, under the FDCPA, they do not have to prove you got this info...only that they have a mechanism in place for sending it.  Your CMRRR DV is your proof that you asked for it.

 

Last, if the acount has been sold (the OC's TL will read "sold to another lender" and their balance will be $0), then there is an excellent chance that the JDB just bought your name on a list and has no proof you owe them anything.  If it hasn't been sold, you're dealing with just a CA...and the DV will show them you are an informed consumer, so they are likely to send it back to the oC for someone else to deal with.

 

Always DV.

 

On the other hand, if you'd rather not...I now know you owe somebody $15k...I'm collecting it.  i'll let you know where to send the money.

I agree with you on this.    The trouble here with conflicting DV advice is that really, no one can accurately predict what the CA's next move will be.  And yes, they all have fairly predictable patterns but it depends on the amount of debt and previous efforts by the OC to collect.     

 

Always leave a paper trail and contact a pro-bono consumer rights atty ASAP.   It seems the further down the line a debt goes, the sooner these thugs will trip themselves up.

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