Sued by Rausch Sturms in Oklahoma.

[nawvelty]

Sorry if this template doesn't apply, but I feel it answers most relevant questions. Kind of just looking at my options as somebody with low income and no clue what to do. When I received by initial letter two months ago from RS, I checked payments options on their website, which the $80/month payment was feasible. I couldn't afford it, put it off, and now I check today to try and start that payment plan and they are only offering me payment options of over $700 per month. I have not spoken to them in any manner. It looks like they are representing Cascade Capital that bought my debt from Santander USA.

 

Any information at all would be extremely, extremely helpful. I am terrified.

 

1. Who is the named plaintiff in the suit? Cascade Capital LLC

2. What is the name of the law firm handling the suit? Rausch Sturm

3. How much are you being sued for? <$10,000

4. Who is the original creditor? (if not the Plaintiff) Cascade Capital, who purchased from Santander

5. How do you know you are being sued? Found it on the court website. Money judgment has been filed.

6. How were you served? I have not been served yet, but I expect to be any day now.

7. Was the service legal as required by your state? Yes.

8. What was your correspondence (if any) with the people suing you before you think you were being sued? None. They sent me a letter 2 months ago, I panic and put it off.

9. What state and county do you live in? Oklahoma, Pontotoc

10. When is the last time you paid on this account? (looking to establish if you are outside of the statute of limitations) 07/15

11. When did you open the account (looking to establish what card agreement may be applicable)? 2013

12. What is the SOL on the debt? 7 years? Not sure.

13. What is the status of your case? Suit served? Motions filed? Court website says "Filed".

14. Have you disputed the debt with the credit bureaus (both the original creditor and the collection agency?) No.

15. Did you request debt validation before the suit was filed? Note: if you haven't sent a debt validation request before being sued, it likely won't help create FDCPA violations, but disputing after being sued could be useful to show the court that you dispute the debt ('account stated' vs. 'breach of contract'). No.

16. How long do you have to respond to the suit? Not sure.

17. What evidence did they send with the summons? An affidavit? Statements from the OC? Contract? List anything else they attached as exhibits. Have yet to receive summons.

[Clydesmom]

1 hour ago, nawvelty said:

When I received by initial letter two months ago from RS, I checked payments options on their website, which the $80/month payment was feasible. I couldn't afford it, put it off, and now I check today to try and start that payment plan and they are only offering me payment options of over $700 per month. I have not spoken to them in any manner.

There are 2 major problems with that payment "plan" that I am concerned about.  Without seeing ALL the fine print of what you consented to it is possible that by agreeing to it you re-affirmed the debt and reset the SOL and worse that you also agreed to a consent judgment meaning they don't have to sue you to collect through the courts.

This statement worries me about a possible consent judgment being in play:  

1 hour ago, nawvelty said:

Found it on the court website. Money judgment has been filed.

Typically they don't file for a money judgment unless you consented for them to be able to do so if you defaulted on the payment agreement (which you did).  

If they do have a judgment they can go right to bank levy or wage garnishment to collect.  Chances of them agreeing to any payment agreement after you defaulted a second time are slim to none.

You need to find out what is in that court case.  When they serve you then you can post copies of the documents with your personal information removed so we can help with that.

[nawvelty]

40 minutes ago, Clydesmom said:

There are 2 major problems with that payment "plan" that I am concerned about.  Without seeing ALL the fine print of what you consented to it is possible that by agreeing to it you re-affirmed the debt and reset the SOL and worse that you also agreed to a consent judgment meaning they don't have to sue you to collect through the courts.

This statement worries me about a possible consent judgment being in play:  

Typically they don't file for a money judgment unless you consented for them to be able to do so if you defaulted on the payment agreement (which you did).  

If they do have a judgment they can go right to bank levy or wage garnishment to collect.  Chances of them agreeing to any payment agreement after you defaulted a second time are slim to none.

You need to find out what is in that court case.  When they serve you then you can post copies of the documents with your personal information removed so we can help with that.

@Clydesmom To your first point, I did not accept either of the payment plans and have not made a payment or had any correspondence with Rausch Sturm outside of receiving the letter and seeing they have filed a money judgment. The payment options were on their online portal that I logged in to using the last 4 digits of my SSN, birth date, and "case number".

To clarify, I didn't default a second time.

Based on the petition, they are looking to garnish my wages (asking the Employment Commission for a list of my employers)

I had a payment agreement with Santander, not with Cascade Capital (who now owns the debt) or Rausch Sturm. Santander charged it off. Do you really think they won't make a payment agreement now even though they have offered me a payment plan? They are still offering me a payment plan, even as of today, albeit one I have no chance of affording.

At any rate, I will be speaking to an attorney via Legal Shield's, who I've used in the past for a parking ticket, on Monday. I already know the practice. Do you think there is any chance of me being able to arrange something without being garnished? It looks like I have 20 days to "respond".

I'm attaching redacted images of the documents filed with the court.

I'm in my twenties, already burdened with bills, I guess I'm just looking for some sliver of something, even though I fully accept responsibility for my own actions.

 

Thank you for the help and the response.

 

[Goody_Ouchless]

Credit card debt, or something like a house or car or hernia operation?

 

[Clydesmom]

5 hours ago, nawvelty said:

Do you really think they won't make a payment agreement now even though they have offered me a payment plan?

Not for an amount you can afford.  They can collect potentially more than you would want in a payment option by garnishing wages.

5 hours ago, nawvelty said:

Do you think there is any chance of me being able to arrange something without being garnished?

Anything is possible.  If you still have your loan agreement you could also see if arbitration is an option.

1 hour ago, Goody_Ouchless said:

Credit card debt, or something like a house or car or hernia operation?

Defaulted car loan.  Santander is a sub prime lender.  Usually charges 14-20% interest rates.

[KR Washington]

For months I have been receiving letters (sporadically) regarding 3 judgements from 2014.  They obtained a default judgement, as I did not receive the documents. I am currently on disability (thus my not being able to pay my credit cards (all Capital One). In the letters there are two payment options, 2 payments for a reduced rate and monthly payments for the full amount. Unfortunately due to my limited income from SSDI neither of their options are feasible for me. I've contemplated calling them but after reading several reviews about Rausch & Sturm, I am extremely reluctant to do so for two reasons., 1) I have read reviews where they don't apply the payments and are able to obtain another judgement allowing them to garnish one's bank account. 2) I know it resets the SOL once you acknowledge the debt. 3) I can't afford either of their options which makes it pointless to call.  I do want to settle the debt but it needs to be more than 80% of the total debt. Again, calling to negotiate puts me in a difficult position should they decide that they don't want to work with me which I have read in several reviews. I've called credit debt attorneys but they want to charge me separately for each judgement which gets pricey fast.  What do you recommend my next steps be? As much I have researched they cannot garnish my bank account because I have my SSDI direct deposited. But I also don't want this hanging over my head because it causes me stress which wreaks havoc with my illness (multiple sclerosis). Any guidance would be greatly appreciated. Also, they have started calling my brother even after he has told them that he does not know my situation.