Finding Attorney to Handle Summons for Debt

Credit card debt is one of the top causes of debt problem in the US, which means that several lawyers specialize in the field to help those that had been given court summons. In fact, a lot of consumers have received more than one summons for debt that some people tend to ignore the summon thinking that this would make the credit card company stop bugging them. However, this issue should not be taken lightly and you need to find a qualified attorney to help in handling the case.

A credit card lawsuit attorney is a valuable tool in your arsenal when dealing with massive debt and faced with a summon. As soon as you receive a court summon, you can attempt to either 1) stop the lawsuit so both parties can reach a settlement, or 2) create a defense with the help of an attorney. The first scenario is highly unlikely, which is why looking for an attorney to help with your case should be on top of your mind.

Make sure to choose a credit card attorney who specialize in handling debt cases and have extensive experience with credit card debt summons. That way, you can exploit their experiential knowledge to formulate a potent defense. They can even help you draft a defense that the plaintiff would find it difficult to respond to.

If the defense is not accepted by the court, an experienced attorney can help you negotiate with the creditor who filed the summon. They can assist in the negotiation process for your existing debt’s interest charges so you can fulfill your promise to pay them off, or other arrangements that will be agreeable to both parties.

What To Do When Negotiating Settlement For Debts

Working out a settlement deal with a creditor or a debt collection might sound intimidating but it's actually easy when you know what to expect. Apart from getting a reasonable amount to repay the debt, you can also minimize the damage the debt will cause to your credit report. The good news is, a large majority of collection companies and creditors are willing to take less than the original amount of money owed.

Debtors can either shoot for an installment basis of repayment or pay a lump sum to get rid of the debt completely. Whichever way you chose to repay the debt, it is important to know what you can and hat you cannot do during the negotiation period. Below are some tips you should keep in mind when dealing with a debt collection company or creditor:

Set Your Emotions Aside
Don't let anger, guilt, shame or embarrassment break down communication between you and your creditor. It's best to address the issue calmly and be honest about your financial situation with your creditor. Getting upset or crying will only make communication difficult so set aside whatever emotional issues you have attached with the debt and ask for options instead. Choose the option which suits your current financial situation and settle the debt as soon as you can.

Stop Spending!
If you have mounting credit card debts to think about, the only logical thing to do is to stop using your credit cards and close most of your accounts to stop the accruing interest charges and minimize penalty fees. Once you closed these accounts, try to negotiate for a smaller amount of repayment and set it in an installment basis. Offer as low as 30% of the original debt amount and work from there.

Repair Your Credit
Unpaid debts cause negative impact on one's credit report which is why it is important to repair your credit as soon as you start paying off what you owe. Here's a great tip, ask your creditor or collection company to note that the debt is paid off satisfactorily rather than less than what was due. This might not entirely remove the bad marks but it will improve your credit history that you will be able to apply for bigger loans and mortgages easily in the future.

Keep all the tips above in mind to reach a reasonable settlement. However, if you are not sure about negotiating with your creditor or collection agency on your own, you can always consult an experienced debt collection lawyer to guide you through this ordeal.

Making Debt Collectors Play Nice

It used to be that debt collectors had the upper hand when it comes to dealing with debtors. These days, the table has turned, giving thousands of debtors a fighting chance against abusive debt collectors. If you are dealing with a debt collector and you have little clue on how to make them play nice, we compiled helpful tips below:

Demand Debt Details

In the past, debt collectors would use just about every scare tactic in the book to make debtors pay for debts that they may or may not owe. When the Fair Debt Collection Practices Act was passed in Congress, debtors can now demand for information pertaining to the debt. For instance, if you are unsure that the debt is indeed yours, you can dispute the debt claims within 30 days. In turn, the debt collection company has to resent evidence that the debt is indeed yours. The debt collection company is not allowed to collect the debt during this time.

Limit Communication/Correspondence

Gone are the days when a collection agent can call you at work demanding for money or scaring you into paying by threatening to discuss your debt with your employer. By law, they are prohibited from calling you at work or at certain hours during the day and night. They cannot repeatedly call you to threaten, harass or use harsh language to get you to pay. They are not allowed to discuss debt information with other people, including your relatives. If you hired an attorney, they are only allowed to discuss the debt through your attorney.

Cease and Desist Letter

Debt collectors are infamous for their persistence. Put a stop to all collection efforts by sending a Cease and Desist letter via certified mail with return receipt requested. Let them know that you no longer wish to be in communication with them and would rather communicate via mail and nothing else. Most collection agents will stop once they received a cease and desist letter and will only hear from them once they file a credit card lawsuit. However, for others that did not stop, you can file a complaint and receive a fine for it.

The Fair Debt Collection Practices Act helps you deal with abusive debt collectors and prevent them from ever harassing you again so make sure you learn more about local and state rules in your area before you start discussing the debt you allegedly owe with a debt collectors.

A Thing Of The Past: Unfair Debt Collection

Evidence of deceptive, abusive and gross misrepresentation by debt collectors companies have been found in abundance with years of unsavory behaviors on record. As such, Fair Debt Collection Practices Act or FDCPA was passed by the Congress in 1977 to minimize the escalating cases of abusive and unfair debt collection practices in the country.

One of the most common concerns regards unpaid debts include the number of attempts collection agents can call regarding the owed money. It can be quite a nerve-wracking experience to be on the receiving end of these collection calls and letters. Under the FDCPA, debtors can set boundaries as far as collection efforts are concerned. Collection companies can no longer call debtors at the dead of the night or extremely early in the morning to collect. They can no longer call them from work without permission. They can no longer call at any time they want. If they do, debtors can file a complaint and collect a fine. However, debtors need to provide documented evidence proving that abusive debt collectors or junk debt buyers have violated their rights.

Very old, out of statutes debts can no longer be collected. This means collection companies can no longer threaten debtors with a credit card lawsuit or file a credit card lawsuit for out of statutes debts, for that matter. Even if the debt is within statutes, collection companies cannot simply threaten debtors with a credit card lawsuit without any follow through.

It is important to check the statutes of limitations as well as the local court laws in your state if you are dealing with debt claims. The fact is, nothing is preventing debt collectors from making false representation on debt statuses at all. This is why it is important for debtors to take the liberty of knowing more about consumer rights laws and how to deal with abusive collection companies. This is why you should never pay a debt unless you are sure that all information given to you are verified. Anyone can send collection letters and phone calls but if these debt claims don’t come with all information that pins down the ownership of the debts to you, you have to dispute the claim.

If you are disputing a debt, make sure you have all the evidences you need to prove your own claim. You will need to have documented proof if you want your claims to hold weight in court.

A Thing Of The Past: Unfair Debt Collection

Evidence of deceptive, abusive and gross misrepresentation by debt collectors companies have been found in abundance with years of unsavory behaviors on record. As such, Fair Debt Collection Practices Act or FDCPA was passed by the Congress in 1977 to minimize the escalating cases of abusive and unfair debt collection practices in the country.

One of the most common concerns regards unpaid debts include the number of attempts collection agents can call regarding the owed money. It can be quite a nerve-wracking experience to be on the receiving end of these collection calls and letters. Under the FDCPA, debtors can set boundaries as far as collection efforts are concerned. Collection companies can no longer call debtors at the dead of the night or extremely early in the morning to collect. They can no longer call them from work without permission. They can no longer call at any time they want. If they do, debtors can file a complaint and collect a fine. However, debtors need to provide documented evidence proving that abusive debt collectors or junk debt buyers have violated their rights.

Very old, out of statutes debts can no longer be collected. This means collection companies can no longer threaten debtors with a credit card lawsuit or file a credit card lawsuit for out of statutes debts, for that matter. Even if the debt is within statutes, collection companies cannot simply threaten debtors with a credit card lawsuit without any follow through.

It is important to check the statutes of limitations as well as the local court laws in your state if you are dealing with debt claims. The fact is, nothing is preventing debt collectors from making false representation on debt statuses at all. This is why it is important for debtors to take the liberty of knowing more about consumer rights laws and how to deal with abusive collection companies. This is why you should never pay a debt unless you are sure that all information given to you are verified. Anyone can send collection letters and phone calls but if these debt claims don’t come with all information that pins down the ownership of the debts to you, you have to dispute the claim.

If you are disputing a debt, make sure you have all the evidences you need to prove your own claim. You will need to have documented proof if you want your claims to hold weight in court.

Collection Agency Laws: Most Frequently Asked Questions

Despite certain laws being enforced to protect consumer rights, many debtors are still facing grave threats and abuse from determined collection agencies who want to extract every single penny they can get their hands on. Now, the key in protecting yourself against these abuses is to arm yourself with information in protecting consumer rights under the Fair Debt Collection Practices Act or FDCPA. Below are answers to some of the most frequently asked questions about FDCPA:

Apart from consumer debt, does the FDCPA apply to business debts as well?

Unfortunately, business debtors do not have the same rights as consumer debtors. Therefore, the FDCPA do not apply to business debts.

I'm getting collection calls day and night, are collection agencies allowed to call debtors at any given time?

By law, collection agencies are not prohibited from calling debtors before 8 in the morning or beyond 9 in the evening, in your time zone. While there is no definite rule on how many allowable times a collection agent may call a debtor, it is understood that they cannot use collection calls as part of their efforts to have the debt repaid.

Can I get arrested for unpaid consumer debts?

The quick answer is no, you cannot get arrested for consumer debts nor face jail time for it. Only a court of law has the power to release a warrant for your arrest, not the debt collector. If you were threatened in any way, of having the police arrest you for your debts, they are violating your rights and you can sue them for it.

Can a collection agency file a credit card lawsuit for my unpaid credit card debts?

Yes, some collection agencies would file credit card lawsuit and they have the right to do so. However, they cannot threaten a debtor with a credit card lawsuit unless they followed through. In addition, creditors can no longer file a credit card lawsuit nor threaten to file a credit card lawsuit if the debt is no longer within statutes.

I still get collection calls for old debts, is this legal?

Yes, they can collect old debts as long as the debts are within statutes. Each state has different rules regarding the statutes of limitation. Usually, the statutes of limitation will range from three to ten years. Once the debt is out of statutes, the creditor can no longer collect it nor can they file a credit card lawsuit or threaten you with taking legal actions.

What can I do to stop all collection efforts?

A Cease and Desist letter sent to the collection agency is one of the simplest ways to stop all collection efforts. They can no longer call you at ungodly hours nor contact people around you discussing your finances.

Collection Agency Laws: What Debtors Need To Know

Despite laws enforced to prevent consumer rights violation, it's not unusual for debt collection agencies to cross the line and talk their way into extracting money from debtors. Unfortunately, not all debtors are aware of the Fair Debt Collection Practices Act or FDCPA. To shed light on consumer rights laws, read

One: The Fair Debt Collection Practices Act was passed specifically for consumer debt. This means people with business debt are exempted from this act. Debtors who have business debts do not have the same rights as those with consumer debts.

Two: Debt collection agents are prohibited from calling debtors very early in the morning or beyond 9 in the evening. While the FDCPA did not specify how many times a collector can call up debtors, they are prohibited from threatening or harassing debtors into paying the alleged debt.

Three: Under the FDCPA, debt collectors cannot threaten debtors jail time for unpaid credit card debts. They cannot issue a warrant for arrest because only a court of law can send such warrants. Any debtors who threaten debtors with jail time or arrest warrants are violating the FDCPA.

Four: Collection agencies can file credit card lawsuit against delinquent debtors. However, they cannot use a credit card lawsuit as a threat unless they already acted on it. Debtors need to check if the age of the debt is out of statute. If such is the case, debt collectors can no longer pursue the debt via credit card lawsuit as it is already time barred. Debt collectors who plan to file credit card lawsuit should only.

Five: Statute of limitation varies from state to state. Usually, the statutes will range from three to ten years. It's best to check your state's statute of limitations for credit card debt to be on the safe side. Once a debt is out of statute, debt collectors can no longer file a credit card lawsuit nor can they collect the money in any other means.

Six: You can stop the credit harassment. If a collection agent is calling you on your home number or in your office, spewing threats and using profane language, or attempt to discuss the debt with a third party, they are violating your rights as a consumer and you can take legal action against such harassment.

Knowing your rights is the first step towards dealing with debt collectors, abusive or otherwise. Most debt collectors assume debtors have no idea about consumer rights and continuously use threats as a way of extracting debt repayments. So know your rights and stand up against abusive debt collection practices.

Debt Collectors: Rising Complaints For Abusive Collection Tactics

According to the Federal Trade Commission, gathered by the Consumer Financial Protection Bureau, debt collectors have the highest number of consumer complaints.  Both the Consumer Financial Protection Bureau and the Federal Trade Commission gathered all data and found that debt collectors routinely violate the FDCPA for their aggressive and unsavory behavior when collecting debts.

Now the question becomes, why are they rude when they collect credit card debt? Why do they cross the line routinely just to collect money from debtors? Below are some of the possible reasons why:

Commissions: Most debt collectors earn money each time they successfully collect the credit card debt. This is their prime motivation, if they cannot collect, they won’t get paid! This makes you wonder just how much they are getting the way they aggressively seek out debtors. From the looks of it, a lot of money is at stake.

Shady Employees: Did you know that some collection agencies actually hire convicted felons to collect credit card debt? Worse, others are caught red handed running scams, like making other people pay alleged debts they don’t really owe. These collection agencies have been routinely caught by the Attorney’s General and have paid hefty fines to bail themselves out of trouble. Unfortunately, the Attorney’s General does not have enough manpower to totally eliminate these scoundrels and some continuously cross the line, violating the rights of debtors.

Ignorant Debtors: One of the most likely reasons why collection agencies even try their luck at bullying debtors is they know most of them do not even know anything about consumer rights laws. They go crazy scaring people out of their wits for unpaid credit card debt and getting more than the actual debt owed. If consumers do not know anything about the law, they cannot make debt collectors accountable for their actions. Debt collectors are always on the lookout for new ways to squeeze every last cent out of debtors so it’s important to educate yourself about the FDCPA and learn what you can do to stop abusive collection efforts.

All these factors play a role in encouraging debt collectors to obtain money through dubious and often illegal collection efforts. The important thing to remember is that there are lows enforced to control these unsavory strategies and you can bet that if you show your debt collectors that you know a thing or two about the FDCPA, they will think twice before they try to bully you into paying.

Important Questions to Ask When In Contact With A Collection Agent

Dealing with a collection agent is quite a stressful experience especially with the possibility of facing a credit card lawsuit. For others, ignoring the problem might seem like the best thing to do but if you want to rid yourself of a problem, you’re going to have to find to a resolution. If you came across a collection agent trying to get you to pay an alleged debt, it is important to ask yourself these important questions:

“Is he calling the right person?”

Many debt collectors contact the wrong person because they get very little information from the original creditor when they purchased charged off accounts for pennies on the dollar. Therefore, if you have a similar name as that of a debtor, they just might mistake you for the other person and call you. If such is the case, make sure you let the debt collector know and take note of the time and date he or she called you. If the calls persist, you can take legal action against the debt collector.

”Do I own the debt?”

If you own the debt, it is important to check if the debt is out of statute. If that’s the case, the collector can no longer pursue you since the account is old. On the other hand, if you are unsure whether or not the debt is yours, you can send a debt validation notice to get more information pertaining to the details of the debt account.

“What should I do to repay the debt?”

If the debt is indeed yours, you need to know what you can do to take care of the problem. Don’t just ignore the debt collector that may result in a credit card lawsuit, rather, talk to them and negotiate a settlement and just keep the agreement in writing. That said, it is important to not divulge any personal information, including your bank details and personal contact information. If you do not have the money to pay the debt, let the other party know. If the debt collector files a credit card lawsuit, you can defend yourself in court and quite possibly even win the case, as long as you do not ignore the summons for the credit card lawsuit.

“Should I hire an attorney?”

If you are facing credit card lawsuit, you can either hire an attorney or defend yourself in court. For many debtors, a great document with info about how to fight credit card lawsuit is enough to win the case. However, if you got the budget, go ahead and hire a lawyer. Also, if you feel that a debt collector has violated your rights, you can also pursue them legally and even pocket a fine for it.

Other Illegal Debt Collection Practices To Watch Out For

Credit debt collectors are known for their abusive and in some cases, downright illegal collection practices. In this article, we will discuss some of the other illegal debt collection practices you should watch out for.

Unpermitted Calls To Debtors’ Offices

Sometimes, when creditors or debt collectors are running out of ideas how to hound debtors, they go the extra mile to ensure the debtors will get in trouble for their unpaid debt, even going as far as calling their work office despite not having permission to call the place. Know that under the FDCPA, creditors and debt collectors cannot contact the debtor at work of the employer does not permit such calls. To stop a creditor from calling you from your office, tell your creditor to stop calling you from that number and follow up in writing. If the creditor continuously call you despite warnings, it’s best to press charges.

Divulging Confidential Debt Information To Third Parties

Under the FDCPA, debt collectors cannot contact other people and divulge sensitive information about the debtor, including the debt information, to another person. This rule covers families, friends, relatives, employers, colleagues, neighbors, etc. Debt collectors cannot discuss a person’s debt unless that person is a co-signer, spouse or the debtor’s attorney! If a creditor is found to have discussed a debt with another person other than the specified personalities, talk with a consumer debt attorney and file a complaint. Make sure to take a record or evidence of the incident.

Failure to Validate The Debt

Creditors should present documented evidence that will validate the owed money by the debtor when the latter sent a debt validation letter. Creditors are given 30 days to completely validate the debt and they should stop trying to collect the debt within this period. In addition, if the debt has been reported to major credit reporting agencies, the creditor has to report that the debt is being disputed.

Continuous Collection Efforts Despite Sending A Cease and Desist Letter

If you want to make your creditor stop contacting you, all you need to do is to send a Cease and Desist letter. This will allow your creditor to contact you through written correspondence only and when they do, it’s only to notify you of their next action, which is filing a credit card lawsuit most of the time. That said, do not send a Cease and Desist letter when you know you owe the debt and that you are only doing it just so you can continuously ignore the debt. You leave your creditor no other choice but to file a credit card lawsuit against you.