Served summons to appear from CC Company

[cronus2533]

What is the name of your state? TN.

The other day I received a summons to appear for failure to pay on my credit card. This card was opened in 99', when I got out of work I immediately called them to try and work out arrangements to continue my obligation. I even had that stupid insurance they offer, only to find out my losing my job didn't qualify me for the program. After no deal was able to be reached, I simply stopped paying on it when the load of other bills, plus this got to be too much. I am not sure when exactly I made my last payment to them, it was either in 2000 or 2001. My credit report shows the last activity on the account July 2005, which I am assuming is them reporting it charged off. Should I send the a certified letter asking them to validate the debt, and the last date payment was received, or simply try and throw out the SoL and see what happens? Or should I just head to court adn see what comes out of it?

Thanks,

[Debt Guy]

I am not sure when exactly I made my last payment to them, it was either in 2000 or 2001.

It is important to find out right away. The SOL for TN is 6 years. It is possible the SOL has passed. You should call the original creditor (whoever issued the card) and ask.

My credit report shows the last activity on the account July 2005, which I am assuming is them reporting it charged off.

That does not make sense. Either you are reading it wrong or the owner has "reaged" the debt.

Should I send the a certified letter asking them to validate the debt, and the last date payment was received,

You can request validation. But, you are already in court so that request is going to be virtually meaningless.

or simply try and throw out the SoL and see what happens?

Might be the correct strategy if you can document that the debt is OOS. If so, you must still file a formal response with the court before the response date specified in the summons.

Or should I just head to court adn see what comes out of it?

That is usually not a great strategy. If you walk into court unprepared you will walk out with a judgment and ensuing garnishment, etc.

[cronus2533]

Thank you for your response. What do you mean the creditor might have re aged the account? I am going to send them a cerified letter tomorrow requesting the information on the last payment.

[Debt Guy]

What do you mean the creditor might have re aged the account?

Almost surely your account has been sold by the original creditor. The buyers sometimes change the date of last transaction to make the accounts look newer than they are in reality. Technically, it is illegal under FCRA. But, there are no cops to turn them in to. So, unless you are capable of filing a lawsuit, put this issue on the back burner.

I am going to send them a cerified letter tomorrow requesting the information on the last payment.

Well, I don't know who "them" is but I think that is a mistake. You are going to waste a lot of time, get nothing meaninful as a response and end up with a judgment. Do what I said and get on the telephone to the original creditor. Ask the date of last payment and beg them to give you something in writing about the date of last payment. That is how you know if the debt is OOS and, if so, can win that argument in court.

I cannot overemphaisize how important it is that you must file a written response with the court that outlines your defense. Otherwise, put your head between you legs and kiss it goodbye.

[Ladynred]

In TN, small claims suits, like most credit cards, are handled in General Sessions court. You won't have much of a chance to defend anything, you'll likely be asked by the judge whether or not the debt is yours or not. If you say 'no' , then the case should be scheduled for a real court date. If you admit to it, you're toast, judgment for the plaintiff. I'd walk in with proof of the expired SOL if you can, but asking them to validate at this late date is not going to get you anywhere. You MUST show up for that court date !

[cronus2533]

Thanks guys.

If it starts getting close to the court date, what do you think the odds are of calling them up and trying to work out a settlement. If the it is not OOS that is.

[Debt Guy]

If it starts getting close to the court date, what do you think the odds are of calling them up and trying to work out a settlement. If the it is not OOS that is.

Usually the chances of a settlement are fair to good even in the hallway outside the courtroom. But, you need to make sure that what you offer is reasonable -- 20 cents on the dollar will likely result in howls of laughter. Also, be sure you can fund in cash very quickly.