BayAreaPhan

Debt Validation response in Calilfornia

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So this is double post since I saw this sub-thread. Mods can delete if needed.

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Hi all.

Thanks for all the good advice I've read so far. I stumbled in here from a google search.

I'm in the early stages of getting sued, I think.  I got a letter from Hunt and Henriques about settling or paying a debt of about $3,500 from an old credit card for Portfolio Recovery Associates (another common name on here).

I responded with a letter about 3-days before the 30-day expiration period. I used a letter similar to what I've found in this forum post... Verification letter thread ...pretty much cut and pasted with a few changes.

They just got their letter back with and I describe it at nonetheless than complete and total useless garbage:

"In response to your dispute related to the above account, Portfolio Recovery Associates has enclosed additional documentation for your review.

We have completed our investigation of your dispute concerning this account.

PRA, LLC has obtained and reviewed the attached documents related to this account, which establish its validity

If you wish to discuss this account please call......"

At the bottom it clearly states in BOLD "This communication is from a debt collector but is not an attempt to collect a debt. NOTICE: See additional pages for important information"

On the back page is bunch of information above PRA, their address, disputes email, etc.

I asked them for all this:

This letter will serve as notice that I am disputing the validity of the debt in its entirety, requesting verification of the debt in its entirety, and requesting the name and address of the original creditor. Verification of the debt is to include the following:

- A copy of the agreement between your client and the original creditor which gives your client the authority to collect on this alleged debt.

- An accounting of all transactions from the inception of the alleged debt. It must include all charges, fees, penalties, payments, and assessed interest.

Due to the serious nature of this matter, I do not wish to discuss this matter on the telephone. I request that all communication be in writing so that I may include your correspondence in my records

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They attached one copy of two old bills from the credit card, from fall 2014 and spring  2015. NOTING ELSE...ZERO OTHER  INFORMATION...NOTHING!

Is this is sick joke? 

So, what is my next step?  They literally provided ZERO EVIDENCE they even own the debt.

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@BayAreaPhan

If the amount on the credit card statements match the amount they're claiming you owe, they validated.  All that's required is for the debt collector to show that you're the correct consumer and that the amount is correct.

They do not have to show that they own the account.

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2 minutes ago, BayAreaPhan said:

So now what?

Just wait to get sued? Can I be more proactive?

Thanks for you time. I really do appreciate it.

Is the debt still within the 4-year SOL?   If so, there's no guarantee they will sue.    Have you checked your credit reports?

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-Yes it's within the SOL, the debt is a little more than 2-years old.  

-It does show up on the credit report.

I was one of those things...after a break-up.... the Ex took the card during the post-breakup melee of moving out etc.  Ran up the debt on the card for her new apartment...the card was in my name...I then called and had the card cancelled...but it was too late...It was in my name. Then I was chipping away at it for a few years....then lost my job and had to stop paying on it.

 

 

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2 minutes ago, BayAreaPhan said:

-Yes it's within the SOL, the debt is a little more than 2-years old.  

-It does show up on the credit report.

I was one of those things...after a break-up.... the Ex took the card during the post-breakup melee of moving out etc.  Ran up the debt on the card for her new apartment...the card was in my name...I then called and had the card cancelled...but it was too late...It was in my name. Then I was chipping away at it for a few years....then lost my job and had to stop paying on it.

 

 

Make sure it's being reported correctly on your CRs.   If it's not, you can dispute it with the CRAs.   Just make sure it's a valid error that you could prove.

Other than that, you just wait.  Like I said, it's a toss-up as to whether they sue.   But if they do, there's plenty of information on this site for CA lawsuits.   You might go ahead and start researching that information.  The CA members here are very knowledgeable.

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Hi again,  let me know if I should move this to a different forum.

I got another Hunt letter about the debt (the top of the letter say December 20th yet it wasn't post marked until Dec 29th)

It was a simple letter stating that "....purpose of this letter is to advise you that our fir, intends to file suit against you on behalf of our client...."  It's a brief two sentence letter.

Is there anything I can do to prepare for this? What is my next step?

Thanks.

 

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Hang on, the SOL period typically begins when the account first becomes past due.  I know at least one state instead begins their SOL clock when the last payment was made, but there's a good chance that SOL could have begun earlier than you thought.  When you were chipping away at it, was the account past due during that time?  In many states, making a partial payment on a past due balance does NOT restart that clock, because the delinquency is still there. 

 

Also, if PRA decides to sue, chances are good that they will not be able to provide proper chain of title documentation, and I would hammer on that as much as possible.

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32 minutes ago, kraftykrab said:

Hang on, the SOL period typically begins when the account first becomes past due.  I know at least one state instead begins their SOL clock when the last payment was made, but there's a good chance that SOL could have begun earlier than you thought.  When you were chipping away at it, was the account past due during that time?  In many states, making a partial payment on a past due balance does NOT restart that clock, because the delinquency is still there. 

 

Also, if PRA decides to sue, chances are good that they will not be able to provide proper chain of title documentation, and I would hammer on that as much as possible.

In most states, a payment will reset the SOL.

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1 hour ago, BV80 said:

In most states, a payment will reset the SOL.

OP is in California....this is not the case in CA--

R.N.C., Inc. v. Tsegeletos:

http://law.justia.com/cases/california/court-of-appeal/3d/231/967.html

In short, once an open account is no longer open--meaning you can no longer charge anything on that account--then no partial payment can reset the SOL clock.  This appeals ruling states that SOL does not begin to run until the account is closed for any new business.  That's when it starts.  Then, from that point, no partial payment can reset it:

The actions at issue arose out of the failure of Skip Sports to pay its account with RNC. Any action against Skip Sports, therefore, was governed by Code of Civil Procedure section 337, providing that such action must be brought within four years. [2] It is settled that "the liability of a surety (in the absence of a different contractual provision) accrues at the same time as that of the principal, or upon default of the principal." (Bloom v. Bender (1957) 48 Cal. 2d 793, 799 [313 P.2d 568].)fn. 2 It is further settled that "

a payment by a principal debtor will not operate to toll the statute of limitations as to a guarantor."

The plaintiff/appellant in that case sued more than 4 years after the account was closed for any new charges.  The trial court ruled in favor of defendants, because more than 4 years had passed before plaintiff sued.  Plaintiff appealed.  Appeals court affirmed the trial court's dismissal of plaintiff's complaint.

Now, the question for the OP is, when was the account closed?  It's possible that it was shut down by the OC and the OP continued to send payments here and there to them.  They only have 4 years from the date that the account was closed to file suit.

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That sounds like exactly what we all have been looking for - tell us more!!!

 

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