logcabin

Collections after SOL

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Last year we received a collection letter, and thanks to everyone in this forum, I was able to file for arbitration, and we never heard from them again.  It is past the SOL in MI, which is 6 years. Now we have received a letter from a debt collector (cav.......), and they are offering a 60% discount, (LOL) payable in a 1 time payment, 18 monthly payments, or 36 months.  “This offer expires 2/3/18, and they are not obligated to renew the offer”.  Then near the bottom of the letter, it states:

”The law limits how long you can be sued on a debt.  Because of the age of your debt, we will not sue you for it, even if you make a payment or promise to make a payment.  We may report information about your account to credit reporting agencies”.

The debt is from Citi, and was originally 19,xxx.xx.  It also goes on to state :  That this is an attempt to collect a debt.........  My question is do I need to start the arbitration process again?  Do I need to send a DV letter?  Or do I just ignore this?  I’m afraid if I ignore it, it may come back to bite me in the butt down the road.  This has never shown up on the CR.. 

Thanks for any and all of your help/insight.

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59 minutes ago, logcabin said:

Last year we received a collection letter, and thanks to everyone in this forum, I was able to file for arbitration, and we never heard from them again.  It is past the SOL in MI, which is 6 years. Now we have received a letter from a debt collector (cav.......), and they are offering a 60% discount, (LOL) payable in a 1 time payment, 18 monthly payments, or 36 months.  “This offer expires 2/3/18, and they are not obligated to renew the offer”.  Then near the bottom of the letter, it states:

”The law limits how long you can be sued on a debt.  Because of the age of your debt, we will not sue you for it, even if you make a payment or promise to make a payment.  We may report information about your account to credit reporting agencies”.

The debt is from Citi, and was originally 19,xxx.xx.  It also goes on to state :  That this is an attempt to collect a debt.........  My question is do I need to start the arbitration process again?  Do I need to send a DV letter?  Or do I just ignore this?  I’m afraid if I ignore it, it may come back to bite me in the butt down the road.  This has never shown up on the CR.. 

Thanks for any and all of your help/insight.

You can either send a DV request or, since it's past the SOL, tell them to cease and desist collection efforts.

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23 minutes ago, logcabin said:

So, no need to worry about a DV letter?  Would they have purchased this from the other DC, and are trying a new tactic to collect anything at all?

Considering they can't legally sue you, I'd just send a cease and desist.   It's possible the new collector is a JDB who purchased the account account from the last JDB.   Or, it could be a collection agency collecting for the same JDB.   But it doesn't matter because they can't do anything to you.

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The wording of that letter is a problem for me.  I might call a few consumer attorneys and see what they think.  They say they won't sue you even if you make a payment. So the LSC may think there is no negative consequence for making a partial payment to shut them up, even though it would reset the SOL and allow ANOTHER collector to sue on it.  That is very, very close to the edge if not a full on violation.  I would want a few opinions on that.

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I get same letters every month and also felt they contained misleading and sketchy language. I ran it past my lawyer and he said there's nothing there worth pursuing. They have vetted these things and fly as close to the line as they can without violating.

I would ignore them, just because I wouldn't want a poorly worded cease-and-desist to trigger any kind of 1009 for debt forgiveness. In any event, it's just junk mail as they can't sue or report.

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On 1/17/2018 at 1:14 PM, fisthardcheese said:

The wording of that letter is a problem for me.  I might call a few consumer attorneys and see what they think.  They say they won't sue you even if you make a payment. So the LSC may think there is no negative consequence for making a partial payment to shut them up, even though it would reset the SOL and allow ANOTHER collector to sue on it.  That is very, very close to the edge if not a full on violation.  I would want a few opinions on that.

I also have a problem with the wording of their letter to the OP.

As stated here, the Least Sophisticated Consumer might easily be mislead by this language.

I see a $1000 FDCPA Violation, or at least good grounds to go for it.

Keep in mind that although the SOL is past and they can no longer put it on your credit report, they can and likely will, continue to ask you to pay.

Just know your rights and of course, pay them nothing.  :)

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SOL for credit reporting is 7 years. I Don't see anywhere where you said it's past that, so it could still show up on your report of it hasn't been 7 years. 

Who was the prior JDB? Midland and Portfolio can't sell their debts, so if it was one of those, you might have a violation there. 

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The SOL in MI is 6 years, and it is past that.  The previous JDB was Weber and Ol..........We successfully used the arbitration route for them, and they backed off.  We heard nothing for a year after that, and then the SOL ran out, and now they must have sold it to this new JDB.. I’m not so much concerned about a violation, as I am about them suing us.  I don’t want to ignore their letters and find out they are suing us.  So far, I have just ignored the first letter, and am waiting for the second to roll around.  So, would you just continue to ignore them, since some of you are leary about the wording in the letter?

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1 hour ago, logcabin said:

The previous JDB was Weber and Ol..........We successfully used the arbitration route for them, and they backed off.  We heard nothing for a year after that, and then the SOL ran out, and now they must have sold it to this new JDB.

Would you please flesh out this information? Did you initiate arbitration in response to a lawsuit, or just send a demand notice? We need to determine the facts of your situation to see if you may have had the limitations period tolled. 

You've been given excellent advice to run this by an experienced consumer attorney to see if you have any possible violations in that letter. 

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We initiated arbitration on a DV letter.  We filled, and all of the initial info from the arbitration people was sent to the other JBD, and they repeated sending out the info, and finally closed they case because the never received a response from the JDB.  Now... one year later, and a different JDB is trying to collect, so my assumption, it was sold.  Again, I’m not looking so much for a violation, as much as I am worried about the new JDB suing us, even tho the SOL is past.  In the past, I have called a couple of consumer attorney’s with no one interested in pursuing a CC case.  We live in a smallish town, and I even called a couple in the next larger city, without any interest.

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I would send them a FOAD letter.  I would not be concerned if they sued me now that it is beyond the SOL.  If they are silly enough to do that, you can be sure of those attorneys will take that case on for you for an easy $3500 payday and a $1k check to you paid from the JDB's pocket book.

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At this point, I would send a Cease and Desist Letter. Not much, just one sentence telling them to not contact you anymore. Send it CMRRR. If you already sent such a letter and have proof that they received it, look for a consumer attorney because they have violated law for any communication (other than 1 letter to tell you what their next steps are) and you can get an easy $1000.

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If you never sent a cease letter as I suggested back in Feb, then you might as well answer some calls and have fun with them.  Ask then what will happen in you don't pay.  Act dumb.  Record the calls.  Let them say "we will sue you" and take the recording to an attorney.

Are they calling your cell phone?  Answer and ask them if they have one of those older automated systems because there was a long pause before they came on the line and you were just about to hang up.  See if they don't admit to having some kind of automated phone dialer ("no, we just upgraded" or "yes, it's an older version").  Then sue them for the TCPA violations for EACH call.

You see, you don't have to sit back and be harassed over a very old SOL debt.  You can also do the harassing to them. After all it is YOUR phone they are calling.

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I did not send a cease letter because there were a few comments about the wording of the letter, and maybe it would be better if I didn’t send one.  At this point tho, I think I will send a very simple one to stop the calls etc.  Yes, they are calling my cell, and I will give them some harassment the next time they call.  You all keep posting to sue them if they have violations, which I’m not opposed to, but you have to remember that some of us are not as savvy as you all, and it is VERY frightening and intimidating to do that, and basically all I want is for them to stop.  But I am keeping track of everything, and will see if they cross that that little TCPA line.

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If you don't want to do the lawsuit yourself then take the recordings to a consumer attorney. If you have a case, they will do the suing for you and it will not cost you a dime because their fees are paid for by the JDB. Just give the attorney your evidence and they handle the rest.

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4 hours ago, logcabin said:

I did not send a cease letter because there were a few comments about the wording of the letter, and maybe it would be better if I didn’t send one.  At this point tho, I think I will send a very simple one to stop the calls etc.  Yes, they are calling my cell, and I will give them some harassment the next time they call.  You all keep posting to sue them if they have violations, which I’m not opposed to, but you have to remember that some of us are not as savvy as you all, and it is VERY frightening and intimidating to do that, and basically all I want is for them to stop.  But I am keeping track of everything, and will see if they cross that that little TCPA line.

Technically, they are violating the TCPA each time they call your cell phone - to the tune of $500 per call.  However, as of now you don't have great evidence of their violation.  Answering the call will cause it to appear on your phone bill records and tricking them into admitting the use of an automated system is another good piece of evidence for court.

All of my suggestions are just about collecting good evidence that you can present to an attorney to sue them for you, if you desire. Otherwise, send the C&D letter and they will leave you alone.

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