misscrystal23

Being sued by Midland Funding pre-legal letter from Atlantic Credit & Finance Inc. FL

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I received a letter today from Atlantic Credit & Finance Inc, informing me Midland Funding, LLC is considering forwarding this account to a attorney in my state (Florida - St. Lucie County). 

The letter states:

Original Creditor: SYNCHRONY BANK AMAZON 

Current Owner: Midland Funding LLC

Current Servicer: Atlantic Credit & Financing, Inc.

Balance: $4,350.23

Date of Default: 11/15/2017

Last Paid Date: 05/08/2018 (This is not correct as I have not made a single payment since defaulting)

 

I wish to send them a debt validation letter as from what I've read on here, however I am unsure how to proceed with arbitration if they are able to validate.

They have only provided me with a P.O. Box to send correspondences to, how can I get a signature with this method?

What specifics should I ask for in the letter? I saw someone mention asking for an Original Agreement between me and my creditor.

What should I look for in their response to let me know if they may or may not have a case against me? Debt history, invalid/outdated information, etc?

Should I mention a possible arbitration or leave it out? 

Do any of you have a link to a good validation letter sample?

 

Thank you so much for your time.

I really appreciate it.

 

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Follow all of these steps, and you have an excellent chance of winning this completely.

1.  Take a deep breath.  Relax.  They feed off your fear.  If you are not scared, you can beat them.  They hate it when you aren't scared.

 

2.  Send in a DV letter.  KISS -- Keep It Simple, Stupid!  Within 30 days after receiving the letter, send a DV letter.  Just say you dispute this debt, you demand validation and the original account information.  One or two sentences is great.  In the old days we thought the 27 page letters were the ticket.  We were wrong.  Simple is better.

The ONLY other thing I would add would be you are electing arbitration.

Make a copy to keep, send it CMRRR.  Keep EVERYTHING.  Judges and arbitrators love that.  

 

3.  Start preparing to file in arbitration NOW.  Get a copy of the CC agreement, along with the arbitration.  Sychronicity is one of the best agreements.  Do they allow JAMS?  If so, prepare to file in JAMS.  If not, prepare to file in AAA.  Ask any questions you have about filing ASAP, so that when they get back to you, you will be ready.

 

4.  When they get back to you, I would suggest a pre-emptive filing in JAMS.  Why?  Because in Florida it is really, really easy to waive your arbitration rights.  The person who came up with the preemptive arbitration tactic was someone in Florida.  We all thought he was crazy, until he started winning.  Some people still think he's crazy.  Doesn't matter.  He had a great record.  (I have had a great record the few times I did a preemptive arbitration as well, but those were times I had claims against them).  

 

If you do NOT file a preemptive arbitration, then there is another strategy -- file an MTC instead of an answer when they do file in court.  If you don't file by then, you have waived your rights in Florida.  The sooner you file in arbitration the better.

 

You don't need a lot to file in arbitration.  Just say the claims are (unspecified) FDCPA and state violations.  That's it.  If they follow you, you can file a real deal.  Almost all the time they will NOT follow you.  In that case, you win.  

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On 9/18/2018 at 12:06 PM, BackFromTheDebt said:

When they get back to you, I would suggest a pre-emptive filing in JAMS.

Pre-emptive arbitration is opening a case with an arbitrator before a lawsuit has been filed (which is a horrible idea).  OP has already been sued, so this won't be pre-emptive arbitration. 

 

On 9/18/2018 at 12:06 PM, BackFromTheDebt said:

Do they allow JAMS?  If so, prepare to file in JAMS.

@misscrystal23 AAA is better than JAMS. The fees are lower and AAA rules expressly prohibit an arbitrator from allocating Synchrony's arbitration fees back to you. JAMS rules are not so clear on this matter and we have a member that has been ordered by JAMS to pay the tens of thousands of dollars of the other side's arbitration fees. The only way this could happen with AAA is if you being frivolous claims against Synchrony. See below. 

 

On 9/18/2018 at 12:06 PM, BackFromTheDebt said:

You don't need a lot to file in arbitration.  Just say the claims are (unspecified) FDCPA and state violations.

No! Do not allege "unspecified" claims in arbitration. This is exactly the kind of thing that could get you slapped with Synchrony's arbitration fees. When you open your arbitration case, you say that you have been sued by Synchrony and want to use arbitration to settle the claims Synchrony has made against you. Never allege claims against the other side unless you have proof of SPECIFIC violations. 

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Who says the OP has already been sued?  I missed that.  What I read said the OP was being threatened by a law suit.

 

As for preemptive arbitration, you and I will have to disagree on that one.  My track record was perfect for preemptive arbitration.  It was also perfect for arbitration after being sued.  It is a tactic that can be used in certain situations effectively. No one tactic is good or bad all the time. 

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Thank you so much for your responses. These were very informative.

You are correct, the letter I recieved stated it was a "PRE-LEGAL NOTIFICATION"

I am really new to all of this, concerning the debt validation, what should I look for to determine if they have a case against me? Do you have any recommendations for 'demands' or a link to a recommended DV letter? I found one but it was two pages long and it appears you guys favor the 'KISS' method. 

Thank you for your time!

 

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39 minutes ago, BackFromTheDebt said:

As for preemptive arbitration, you and I will have to disagree on that one. 

It's fine if you disagree. It's irresponsible to promote this tactic to new users without letting them know it's completely unnecessary and can backfire in a horribly catastrophic way. 

39 minutes ago, BackFromTheDebt said:

Who says the OP has already been sued?

The subject of the thread says "sued".

So @misscrystal23, since you haven't been sued, you are in a position to really make a mess of things if you follow the strategy outlined by backfromthedebt.The whole point of using arbitration against Midland after they sue is it puts them in a position where they will have to pay $5,000 to collect a $4,000 debt they paid $400 for. Common sense says they will drop it and walk away. But if by opening an arb case against them, you force them to pay the $5,000 fee before they sue, you have put them in a situation where they have nothing to lose, and will file their counterclaims against you in arbitration instead of court, where you will lose just as you would in court. Consider yourself warned. 

39 minutes ago, BackFromTheDebt said:

It is a tactic that can be used in certain situations effectively.

An unnecessary tactic with very real risks.

39 minutes ago, BackFromTheDebt said:

No one tactic is good or bad all the time. 

Any tactic that exposes a user to unnecessary risk (i.e. there are much safer alternatives that are more effective) is bad all the time.

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13 minutes ago, misscrystal23 said:

what should I look for to determine if they have a case against me?

If they send anything, assume the debt has been legally validated. The bar for validation is incredibly low.

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And FYI, I'm not being a Chicken Little about this. What I described regarding Midland filling counterclaims in arbitration has happened. The person it happened to effectively sued himself.

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