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Facing court, need advice

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Need some advice on a topic I raised here before.

Lawfirm "LF" is counsel for two separate CC debt claims, A and B.  On claim A, they filed a Complaint, I filed an Answer, and it's set for hearing tomorrow.  I've been seeking to negotiate an offer in compromise, but no agreement so far.  I don't have an atty, but I am seeking one last minute - absolutely don't wan t to be in court pro se.

Claim B failed to provide proper service to me, got a default judgment without my knowing, and I only found out about it after my employer notified me of garnishment.  They garnished several checks before I filed a motion to set aside the judgment that was granted, and LF had to return all the money and the judgement was vacated and set for hearing in about a month.

So now I'm facing both claim A and B, with a hearing on A this week, and B end of July.  I'm seeking to settle both out of court via offers in compromise, but LF is unwilling to settle for less than ~90+% of the disputed amounts.

So, I'm wondering:

Should I get an attorney?

How can I buy more time for negotiation?

Should I share with LF litigation atty documents that show how I got into this mess (huge alimony & child support awards that took most all my income) in hopes of them seeing I'm in a hard spot to offer more?

Totally worried a second garnishment might get me fired.  What can I do?

Other advice?

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Who is suing you (NOT the name of the law firm)?  Is this the OC (Original Creditor) or a JDB (junk debt buyer)?

If this is a JDB, who was the OC?

What year did you allegedly default?

What are the approximate amounts?

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Claim A plaintiff is OC Discover Card (Delaware) for ~$7K from 2014-2015 (status: first court hearing tomorrow), account closed 2016.  SOL appears to be 6 yrs.  Credit report says status is "In Collections/Charge-off", and remarks say "Charged off as bad debt.  Account information disputed by consumer, meets FCRA requirements."

Claim B is JDB Calvary for OC Citibank for ~$6K (status: garnishment judgement set aside, hearing in ~1 month).  Credit report says account status is "open", remarks "Account information disputed by consumer, meets FCRA requirements".  SOL unclear.

My correspondence has been repeated attempts to resolve with offers of compromise at the 10%-15% level.  Response has counter offering ~90% while garnishment was in effect, no counter offer since garnishment was quashed and money ordered returned.

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There is no chance Discover settles that low.  Even a JDB will expect 40% bare minimum if you are lucky. Discover usually wants 80-90% but have heard of a few 60% making it.

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Check out this thread. Is pretty recent and details his settlement experiences with several different creditors. Granted, he proactively sought out settlements and all of his dealings were pre-lawsuit. I'm absolutely certain that is the reason he had the success that he did, so i wouldn't expect identical results after being sued. 

https://www.creditinfocenter.com/community/topic/330797-my-debt-settlement-275k-journey-ongoing/?tab=comments#comment-1378661

 

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You will have to figure out a settlement with discover.  Unfortunately you have very little time now, but using the arbitration in their card agreement can buy you time and a small amount of leverage to help with a settlement.  You will need to file a Motion To Compel Arbitration in court, like, today.  Even then it MIGHT be considered too late, but can't hurt to try.  If nothing else, you can try to ask them to agree to an extension of time and motion for a new court date to work on a settlement (or time to file the MTC).

Using the same arbitration tactic with the Citibank agreement against Cavalry will eventually get Cavalry to agree to dismiss the case against you completely and you would only be out about $250 for the arbitration filing fee.

The link in my signature below has all of the details on using arbitration in these types of cases.

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