olvrtw Posted September 25, 2018 Report Share Posted September 25, 2018 I wish I found this forum a long time ago. Long story short, lots of debt, bad luck, depression, and now lawsuits. I'm in CT, I have 5 suits already, 3 of them I already had to file an Appearance and the deadline for the first pleading is coming up in less than 10 days. Also have 1 small claim which starts with an answer right away ( 10 days). Plaintiffs include, citi, portfolio recovery, barclays, and amex... I was going to go with the MTC arbitration strategy, but I don't even know how to write that up and if I am supposed to include my answer with it. Its especially hard on me right now as we just had our second baby and I'm left as a stay at home dad now as well as having to do everything around the house as the wife is always working, and working late sometimes... Worst part is I feel frozen, I cant even focus on things at home anymore, fridge is breaking, stove is breaking, problems around the house and cars, problems with everything else, its just piling up. Please help me out, what should I do? I have the Practice book, I have read some of the relevant info, but I am still not 100% sure of what to do. Quote Link to comment Share on other sites More sharing options...
Goody_Ouchless Posted September 25, 2018 Report Share Posted September 25, 2018 44 minutes ago, olvrtw said: Worst part is I feel frozen, I cant even focus on things at home anymore, fridge is breaking, stove is breaking, problems around the house and cars, problems with everything else, its just piling up. You're not alone. When we got hit by the "wave" (perfect analogy), it seemed like I got into a routine of heading to the bar early, knowing I would find another disaster in the mail box, on my way out, which served to justify my drinking. I wouldn't recommend that approach. You need to start by providing details of who is suing you now - what was the OC, is it owned by a debt buyer, etc. There are some standard questions posted on a sticky somewhere. The good news is that, depending on the card and the plaintiff, arbitration has done amazingly well this year - we've had several people have cases dismissed in that past week, or so. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 25, 2018 Author Report Share Posted September 25, 2018 Don't think that the info would help, but if you really want to know: Portfolio Recovery Associates, Synchrony Bank $11,xxx Citibank - $10,xxx Citibank - $8,xxx Barclays Bank - $4xxx - (small claims) Amex - $20,xxx All well within the SOL. All seem to have the same stuff, the suits by Citi and Amex state 2 counts, I guess breach of contract and Account Stated. The Portfolio one states account stated... Not much more to them. I would at least like to get Portfolio and barclays to back down, and perhaps I can test if Citi would back down... Amex looks like no hope... Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 25, 2018 Author Report Share Posted September 25, 2018 I'm essentially judgement proof. No employment, I have pretty much given up on my self-employment/sole proprietor business when it was a total money pit and I quit paying all the bills, nothing left there, I just got rid of everything and quit. My finances are seperate from the wife and she owns the house and cars, which she purchased on her own with her own money... I should probably just file bk7, but the amount is quite large, its kinda scary... All my debt is unsecured and its up there with the best of the best (I was into the whole points thing, racking up miles and cashback, especially signup bonuses, then I was able to juggle the debt via 0% offers while I tried to expand my business among other things, too much debt, too much spending and it all came crashing down hard)... Quote Link to comment Share on other sites More sharing options...
Clydesmom Posted September 25, 2018 Report Share Posted September 25, 2018 3 minutes ago, olvrtw said: I'm essentially judgement proof. No employment, I have pretty much given up on my self-employment/sole proprietor business when it was a total money pit and I quit paying all the bills, nothing left there, I just got rid of everything and quit. My finances are seperate from the wife and she owns the house and cars, which she purchased on her own with her own money... I should probably just file bk7, but the amount is quite large, its kinda scary... All my debt is unsecured and its up there with the best of the best... You should DEFINITELY do a free consult with a few BK attorneys. My educated guess is that Chapter 7 is your best option. Wipe it out and start over. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 25, 2018 Author Report Share Posted September 25, 2018 So what about these cases? Just let them get the judgements? My wife does make over 100k, but with a family of 5 (mil lives with us and is a dependent on taxes) we still pass the means test I think, especially since she was just on maternity leave for a while... But I should just file on my own right? Worst thing is since business closed up, I had a big loss on our tax return, and forget about paperwork, its a mess and mostly I threw everything out when I was depressed, I just wanted to move on and now I am getting better and being a good stay at home dad... or at least as good as I can be now... Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 25, 2018 Author Report Share Posted September 25, 2018 If I could get more time in these cases I would try to get some consultations with some BK attorneys. How can I get more time in these cases? Is there a way to ask for an extension or can I file a motion or something to extend the case longer? In the practice book it states: Pleadings Allowed and Their Order The order of pleading shall be as follows: (1) The plaintiff's complaint. (2) The defendant's motion to dismiss the complaint. (3) The defendant's request to revise the complaint. (4) The defendant's motion to strike the complaint. (5) The defendant's answer (including any special defenses) to the complaint. (6) etc. (7) etc. (8) etc... then there is Time to Plead Commencing on the return day of the writ, summons and complaint in civil actions, pleadings, including motions and requests shall advance within thirty days from the return day, and any subsequent pleadings, motions and requests shall advance at least one step within each successive period of thirty days from the preceding pleading or the filing of the decision of the judicial authority theron if one is required, etc... Also I know that if you don't use it you lose it, so if I submit my answer which is due in about 10 days, I lose 2, 3 and 4... Could I file a motion to dismiss just to buy me more time, before filing the answer...? And what can I put in the motion to dismiss, can I include arbitration in there? Will I lose my option for arbitration if I do file a motion to dismiss or an answer later on? I still am not exactly sure how to format any pleadings or motions yet... Font, font size, margins, etc... Also it says somewhere that I am supposed to punch 2 holes in the paper, seriously, who has this special 2 hole punch? Quote Link to comment Share on other sites More sharing options...
BackFromTheDebt Posted September 25, 2018 Report Share Posted September 25, 2018 You should consult with a BK attorney anyway. Suppose you lose all these cases. The judgments will be part of the BK. Talk to a BK attorney now. It may things can go quickly enough for them to stay the proceedings. Or not. Either way, the sooner you deal with a BK attorney, the better for you. Quote Link to comment Share on other sites More sharing options...
Clydesmom Posted September 26, 2018 Report Share Posted September 26, 2018 You should be able to get at least 2 appointments with good solid BK attorneys within days. Especially if you tell them about five pending suits. DO NOT delay start calling firms. DO NOT email that might not be seen for a week or more if ever. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 how about a Motion for Extension of Time to Plead? What can I put in one of those? Was thinking about asking for an extension because of the number of suits that at this point I would need to seek counsel...? Quote Link to comment Share on other sites More sharing options...
WhoCares1000 Posted September 26, 2018 Report Share Posted September 26, 2018 For the first 3, if you file a MTC to Arbitrate, that will hold them off indefinitely so I would do that with those (since Citi is not in small claims, the arb clause applies). I am not sure about the Barclay's contract as to whether it has an arb clause and if there is a small claims exclusion. You can to an MTC to Arbitrate for AMEX but they will quickly follow you into arbitration. That said, other than Barclay's is in regular court. That means if you answer, there will be discovery events and it will take time to get to trial. More than enough time to consult with a BK attorney and get that ball rolling. Since you have no income and CT is not a community property state, they cannot go after your wife at all. Just make sure all accounts are in her name rather than both of your names (which I think is already the case). So even if they did get judgements, there is nothing for them to collect it from. That will also allow you time to do a BK. Since these are unsecured debts, they will all be wiped away in a Chapter 7 if you qualify. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 My wife always kept her own bank accounts and I my own, she owns the house only on her name, mortgage only on her name. Cars only on her name. I never paid a dime on her mortgage or anything. I used to pay the cell phone bill and some utilities, until I couldn't pay them anymore, she does now... I'm looking for a BK attorney, there is only 1 in my town, she seems ok, I see lots of foreclosures in her CT case history, some credit cards (most of which went to judgement and then got satisfaction of judgement). But she says she specializes in bankruptcy on her website... I'm worried I may not be able to get a lawyer to take my case. The cases I posted above are not even 10% of what I owe... Also, what about possessions at home? Do they come and scrutinize everything we own? Do we have to seperate what I own and what my wife owns, and what about my children's belongings, their grandparents buy them too much toys...? Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 here is what it says about small claims for barclays: In addition, in any arbitration that you elect to file that could be heard in Small Claims Court in your jurisdiction, we will pay the filing fees and other arbitration fees above the cost of filing in that Small Claims Court. If you are required to advance any fees or costs to the arbitration Administrator, but you ask us to do so in your stead, we will consider and respond to your request. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 Ohh and while looking at that lawyer's cases, I did find the Motion for extension. So I will just format it the same and drop it off in a couple days. I will ask for 45 days. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 Amex lawyers are the only ones who sent me a letter to contact them to settle... I've gotten offers in the mail as low as 10% in one payment from chase, but I couldn't pay so I ignored everything. Has anyone done like a 10% settlement with monthly payments? I'm guessing Amex doesn't go that low... Also amex actually filed suits in NY (where I lived 2+ years ago, and prior to defaulting), but those cases have been in limbo, no date or anything. They still say active, but amex full well knows that I live in CT as I had all my billing addresses changed to CT and I likely even got a new amex card or 2 while living in CT... Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 there has to be some kind of violation for them filing cases where I don't reside, and these cases have been active for a while.. I have no business with NY and don't plan on going there for anything. I hate NYC, never will live there again. Sorry... I didn't do anything with those cases because I figured there would be no point, I just dont live there and they know full well that I dont. I only know about them because I searched ny court records for my last name when looking for info regarding my cousin... Quote Link to comment Share on other sites More sharing options...
BV80 Posted September 26, 2018 Report Share Posted September 26, 2018 23 minutes ago, olvrtw said: there has to be some kind of violation for them filing cases where I don't reside, and these cases have been active for a while.. I have no business with NY and don't plan on going there for anything. I hate NYC, never will live there again. Sorry... I didn't do anything with those cases because I figured there would be no point, I just dont live there and they know full well that I dont. I only know about them because I searched ny court records for my last name when looking for info regarding my cousin... At the time the accounts were opened, did you live in the judicial district where the lawsuits have been filed? Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 I am not sure, it does not show the complaint on NY court records, so I have no idea which cards those are. But I likely did have 2 or 3 amex cards while I did live in NY, but the billing address was changed the same month that I moved to CT and I likely have received statements or mail from amex regarding those accounts to my CT address. But I don't have any of that mail anymore as I threw out pretty much everything, there was too much junk in my life and I cleaned a lot of it up... Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 Also, all but 1 creditor has been sending me statements, the only one that is sending me statements since is the one card I have kept a 0 balance on when I defaulted on all the others. I did end up having to use that card, and I did end up defaulting on it as well, like 6 months ago... So pretty much from the moment they closed the accounts and sent to collections, I have been unable to log into almost all my accounts, and I dont even remember the passwords for those that probably didn't get locked, I have not received any statements in the mail. Other than random collections letters from collections agencies or law firms, but they are definitely not statements. AND no interest has accrued since they closed the accounts, which is what I was actually hoping would happen when I defaulted in the hope that somehow I would be able to pay down the line in some magical way which is just not going to happen unless I win the lotto at this point... Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 And NFCU actually decided to take whatever money I had in my checking account with them to make one more monthly payment on their own. Which I am pretty sure is a violation... Quote Link to comment Share on other sites More sharing options...
Clydesmom Posted September 26, 2018 Report Share Posted September 26, 2018 1 hour ago, olvrtw said: And NFCU actually decided to take whatever money I had in my checking account with them to make one more monthly payment on their own. Which I am pretty sure is a violation... No it is the right of set off and it is legal. Quote Link to comment Share on other sites More sharing options...
WhoCares1000 Posted September 26, 2018 Report Share Posted September 26, 2018 OK, you have a bunch of questions here so I will answer them to the best of my ability: AMEX is an original creditor so there is no violation if they file in the wrong courthouse. My guess is that the case is languishing because they cannot serve you in New York (Surprise, Surprise, Surprise) and eventually, the case will be dismissed because of that. Make sure to inform your BK lawyer about that so that when the BK goes through, they can notify the court I assume NFCU is a credit union. Credit Unions put in the right of offset into their contracts for accounts and credits as a matter of fact. Therefore, authorized them to do the offset. I would close that checking account ASAP so that they cannot do that again. I cannot believe that there is only 1 BK attorney within 30 minutes from where you live. You are in Connecticut, not Wyoming. You either need to widen your search criteria or something. Besides, at some point you might need to go to the federal courthouse in Hartford so you might as well look there too. In any case, most BK attorneys get paid the same regardless of the size of the case and would rather small easy cases because they make more money. Your case will also be a rather easy case other than your wife's income so I cannot see why an attorney would not take it. As for the Barclay's contract, it sounds like arbitration might be an option there too to give you more time. AMEX will not settle for less than 80% AND they will follow you into arbitration, especially for $20,000. They also sue on their own debts and will have the records to prove their case. The only other creditor that is more aggressive than AMEX is Capital One. That is why they are not offering a deal and it will not be the deal that Chase is offering. Also note that if you owe NFCU any money, the will be just as aggressive (Credit Unions are very aggressive in collecting). I would still suggest looking for a couple of BK attorneys, even if you have to travel a distance to meet them. In the meantime, you can try to file for an extension but I would think that you should buy time by using arbitration. @fisthardcheese has a link (I don't have the link) which tells you how to do it. You will however need to organize your thoughts to do this because right now, you are all over the place. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted September 26, 2018 Author Report Share Posted September 26, 2018 I'm starting to think that I should just go with the MTC arbitration instead of an extension... I did find this: b. Setoff prohibited on credit card debt Section 169 [§1026.12(d)-Regulation Z] of the Truth in Lending Act prohibits a bank from exercising its right of setoff by taking a credit card holder’s deposit balances and off-setting them against the credit card holder’s indebtedness arising in connection with a consumer credit transaction, UNLESS: -Such action was previously authorized in writing by the cardholder as part of the plan agreement, whereby the cardholder agreed to make the periodic payments by debiting the deposit account; AND, -Such action with respect to any outstanding disputed amount is not taken. What does this mean? Unless the credit card holder has preauthorized debits from a deposit account to make payments to the credit card AND the amount due is not subject to a dispute, the lender is prohibited from exercising the right of setoff. This provision becomes more disconcerting when a debit card becomes involved with a line of credit. The issuing of a debit card that can access a line of credit can turn that debit card into a credit card when drawing against the line of credit [see the Regulation Z Staff Commentary at §1026.2(a)(15)]. As a result, any amount owed under the line of credit would appear to become a “credit card plan” balance, and subject to the setoff prohibition. And I am pretty sure I learned about setoff a long time ago, and knew that they are not allowed to do it. Even if it is in their agreements: "whereby the cardholder agreed to make the periodic payments by debiting the deposit account" I did not agree to any automatic payments, and also my payments have come from accounts other than the one I had at NFCU, sometimes... Quote Link to comment Share on other sites More sharing options...
WhoCares1000 Posted September 27, 2018 Report Share Posted September 27, 2018 Are you sure you did not agree to it. Most of the time, the language is buried among the many papers that you sign or in the case of a credit card, in the contract. I am sure a Credit Union in particular would know the rules of offsets because they do them all of the time. I had that happen to me many years ago in regards to an auto loan with a credit union. Trust me, this is not your biggest issue right now and this could lead to bigger issues. Let it be. Quote Link to comment Share on other sites More sharing options...
olvrtw Posted October 5, 2018 Author Report Share Posted October 5, 2018 Update: I filed motions for extention of time, even for the small claims suit, just so I can have a bit more time to talk to a lawyer. I'm guessing they will be accepted, one of them is showing up online in the court records, the other courts are taking their time I guess... So my consult with the lawyer did not go well at all, just as I assumed before. Wayyyyy too much unsecured debt, she says that they (trustee) will right away assume abuse and or fraud, and that bankruptcy is a whole different ball game than with what I am dealing with now. She also said that I wouldn't be able to just dismiss my bankruptcy case if it does start to go sour. She said to let them get their worthless judgements and just wait. She only mentioned the 6 year SOL, but nothing about the 20 years they would have for their judgements. I even said fine, no bankruptcy, but would you assist me with the cases, especially cases that I cant handle on my own, like amex. She said there is nothing to fight, I owe the money and they will just get a judgement... I even asked her, ok, so say somehow I can get my wife to take a home equity loan and I do settle even half of the debt or something, would I be able to do a bankruptcy then? She said there is no point because I am judgement proof. I told her, look, I went through hell with all of this, I want to start my life over, I want to be able to do something in the next few years... She said I just cant take your case, she gave me another lawyer to call and pretty much ended it... Quote Link to comment Share on other sites More sharing options...
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