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Anyone know PRA for filing lawsuits?


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I was just wondering if anyone has any idea how close to the SOL of a purchased debt (OC is Cap1) that Portfolio Recovery will still file suit? The debt is supposedly 1800.00 (there is a question as to the validation stuff they sent...they sent a statement that would show the last payment and one that shows the last interest and penalty before sign off...however, the account #s do not match, I'm thinking that it could be an error...?) but the SOL will be up in November. I was thinking of disputing with the CRAs (and maybe trying to run out the clock). Any ideas on this?

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5 minutes ago, BackFromTheDebt said:

If you want to run out the clock, you need to lay low and not call attention to yourself.  Disputes with CRAs have been known to wake up creditors.  

So if I already sent a DV letter, did I screw myself? That's the only way I found out about the differing account #s. The DV was to Portfolio, not CRA. I was hoping to stop any thoughts of a lawsuit.

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9 minutes ago, Desperate620 said:

So if I already sent a DV letter, did I screw myself? That's the only way I found out about the differing account #s. The DV was to Portfolio, not CRA. I was hoping to stop any thoughts of a lawsuit.

Disputing doesn’t stop a lawsuit.  By the way, DV means “debt validation”.  It is referenced in the FDCPA.  According to the FDCPA, one’s right to debt validation is triggered only after receiving an initial communication from a debt collector.  That’s usually the first collection letter which contains the 30-day validation notice.  Finding a collection on your credit report is not an initial communication that triggers your right to validation.  Portfolio didn’t have to respond or send you anything.

In regard to the differing account numbers, were both statements generated by the original creditor?  Or was one statement issued by the original creditor and the other created by Portfolio.  It might help if you could post screenshots of the statements with your personal information and account numbers redacted.

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14 minutes ago, Desperate620 said:

The first one "account ending in 9496" was apparently last payment (next payment was due Nov 15, 2015). Then the account ending number mysteriously changes after all the interest and penalties are added...?

Interest and penalties can be added.  Considering the 2nd statement date is August, 2016, the account was probably already charged off.  When a couple of accounts I had were charged off, the account numbers were changed after charge off.  And those accounts were not with debt buyers.  So it’s possible the account number might be changed because it was charged off and became a collection account rather than a current account.

Do you recognize the account?  Was it yours?

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Why would they change the #? Doesn't that only add to the confusion once it gets sold to the Debt Buyer? It was not sold (according to the papers they sent) until November 2018. Actually the account is not mine...asking for a friend. LOL, likely story right?

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Just now, Desperate620 said:

Why would they change the #? Doesn't that only add to the confusion once it gets sold to the Debt Buyer?

Charge-off is an accounting procedure.  Since it is no longer a current account, it is removed as an asset and has become a loss (collection account).   Procedure may require a new account number to reflect the new status of the account.

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So let me see if I've got this straight. The bank will hold onto the account and charge interest and fees (and change the account #) for about a year and a half after the last payment. Then, they charge off the account and sit on it for another 6-12 months before (possibly) selling it to a debt buyer. And now we sit and cross our fingers that it doesn't end up in court.

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7 minutes ago, Desperate620 said:

So let me see if I've got this straight though. The bank will hold onto the account and charge interest and fees (and change the account #) for about a year and a half after the last payment. Then, they charge off the account and sit on it for another 6-12 months before (possibly) selling it to a debt buyer.

After default, a bank is required to charge off an account within 6 months (180 days) if the account is not brought back to a current status.    During that 6 months, the bank can charge interest and late fees.  After charge off, the bank can continue to charge interest as long as it continues to send periodic statements to the consumer.

Again, not all accounts are sold to debt buyers.  Some banks don’t sell them at all.  Discover Bank is an example of a bank that keeps defaulted accounts.  

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6 hours ago, Desperate620 said:

I was just wondering if anyone has any idea how close to the SOL of a purchased debt (OC is Cap1) that Portfolio Recovery will still file suit? The debt is supposedly 1800.00 (there is a question as to the validation stuff they sent...they sent a statement that would show the last payment and one that shows the last interest and penalty before sign off...however, the account #s do not match, I'm thinking that it could be an error...?) but the SOL will be up in November. I was thinking of disputing with the CRAs (and maybe trying to run out the clock). Any ideas on this?

Did you take into account this trolling period in your November Calculation? 

On March 27, 2020, The New Jersey Supreme Court filed an Omnibus Order extending the applicability of various interim measures enacted to that point, including the tolling of statutes of limitations through April 26, 2020. On April 24, 2020, statutes of limitations were again tolled by a Second Omnibus Order of the Supreme Court through May 10, 2020.

2020_USLAW_NETWORK_COVID_19_Statute_of_Limitations_Quick_Guide_COMPILATION_version.pdf

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