Sued by original creditor. Need help.

[JenniferVA]

What is the name of your state (only U.S. law)? Virginia
My question involves collection proceedings in the State of:My question involves collection proceedings in the State of: Virginia.

I have a summons for a court date this month. I'm being sued by my credit union regarding a unpaid Visa credit card. The debt has not been sold. The credit union has retained an attorney to sue me. My credit card debt is 18K. The attorney's fees are additional $4500 + $75.00 court cost. With the summons they have also attached an affidavit, old credit card statement, transaction printout of 10 charges with redacted account number. I have verified that the person who has signed the affidavit still works at the credit union. I also also verified that the notary public who stamped the affidavit is in good standing.

I was mailed the summons. I have not responded. I will show up in court and ask for a continuance. This may give me time enough to see if I can fight this. Can you give me any suggestions? Also, I'm thinking about asking for an additional 3 months. Is that ok? Does that seem unreasonable? When I called the court, I was told that the other side has to agree to the date. If not, then it's up to the judge. This is Virginia and things are pretty conservative. Any suggestions on how to ask for more time?

I'm also concerned about the affidavit. There is verbiage in the affidavit that states that not only due I have to pay the 18K debt and $4500.00 lawyers fees and $74.00 court cost but I will also have to pay a 18% interest rate until paid in full. Is this legal?

Thanks for all of your assistance.

 

[Proserpina]

What is the name of your state (only U.S. law)? Virginia
My question involves collection proceedings in the State of:My question involves collection proceedings in the State of: Virginia.

I have a summons for a court date this month. I'm being sued by my credit union regarding a unpaid Visa credit card. The debt has not been sold. The credit union has retained an attorney to sue me. My credit card debt is 18K. The attorney's fees are additional $4500 + $75.00 court cost. With the summons they have also attached an affidavit, old credit card statement, transaction printout of 10 charges with redacted account number. I have verified that the person who has signed the affidavit still works at the credit union. I also also verified that the notary public who stamped the affidavit is in good standing.

I was mailed the summons. I have not responded. I will show up in court and ask for a continuance. This may give me time enough to see if I can fight this. Can you give me any suggestions? Also, I'm thinking about asking for an additional 3 months. Is that ok? Does that seem unreasonable? When I called the court, I was told that the other side has to agree to the date. If not, then it's up to the judge. This is Virginia and things are pretty conservative. Any suggestions on how to ask for more time?

Yes, that's unreasonable. No, it's not "ok".

I'm also concerned about the affidavit. There is verbiage in the affidavit that states that not only due I have to pay the 18K debt and $4500.00 lawyers fees and $74.00 court cost but I will also have to pay a 18% interest rate until paid in full. Is this legal?

Thanks for all of your assistance.

Yes.

You're welcome.

 

[Mark Maroon]

I was mailed the summons. I have not responded. I will show up in court and ask for a continuance. This may give me time enough to see if I can fight this. Can you give me any suggestions? Also, I'm thinking about asking for an additional 3 months. Is that ok? Does that seem unreasonable? When I called the court, I was told that the other side has to agree to the date. If not, then it's up to the judge. This is Virginia and things are pretty conservative. Any suggestions on how to ask for more time?

I'm also concerned about the affidavit. There is verbiage in the affidavit that states that not only due I have to pay the 18K debt and $4500.00 lawyers fees and $74.00 court cost but I will also have to pay a 18% interest rate until paid in full. Is this legal?

Thanks for all of your assistance.

First you should probably consult with an attorney. But in the meantime, there's no harm in asking the plaintiff if they will agree to postpone the hearing/trial date for 2 or 3 months. I don't think it's an unreasonable thing to ask, but they may not agree. If you wait until the hearing/trial date, then the judge will probably not be disposed to reschedule it for 3 months and you may be stuck with what happens right then and there.

Yes, the attorney can ask for the original debt, their fees, court costs, and whatever the allowed interest rate is until the judgment is paid.

 

[JenniferVA]

First you should probably consult with an attorney. But in the meantime, there's no harm in asking the plaintiff if they will agree to postpone the hearing/trial date for 2 or 3 months. I don't think it's an unreasonable thing to ask, but they may not agree. If you wait until the hearing/trial date, then the judge will probably not be disposed to reschedule it for 3 months and you may be stuck with what happens right then and there.

Yes, the attorney can ask for the original debt, their fees, court costs, and whatever the allowed interest rate is until the judgment is paid.

Thanks for responding quickly. Much appreciated.

 

[JenniferVA]

Yes, that's unreasonable. No, it's not "ok".



Yes.

You're welcome.

Thanks for responding quickly. Much appreciated.
-Jen

 

[PaulMass]

I was mailed the summons. I have not responded. I will show up in court and ask for a continuance. This may give me time enough to see if I can fight this. Can you give me any suggestions? Also, I'm thinking about asking for an additional 3 months. Is that ok? Does that seem unreasonable?

What are your grounds for fighting this? Do you plan to argue that the debt is not yours? Do you plan to argue the amount is incorrect?

If you have no valid grounds for disputing the debt, you may be better served by contacting the plaintiff and negotiating a settlement and entering into a repayment plan. Sometimes they are willing to waive further interest.

What do you plan to do for the three months that you want them to wait? Court cases generally take a long time. If you're only looking to drag things out, you need to learn about discovery.

Failing to file an answer to the complain may severely limit your options. Go find a law library and learn how to file an answer.

 

[latigo]

What is the name of your state (only U.S. law)? Virginia
My question involves collection proceedings in the State of:My question involves collection proceedings in the State of: Virginia.

I have a summons for a court date this month. I'm being sued by my credit union regarding a unpaid Visa credit card. The debt has not been sold. The credit union has retained an attorney to sue me. My credit card debt is 18K. The attorney's fees are additional $4500 + $75.00 court cost. With the summons they have also attached an affidavit, old credit card statement, transaction printout of 10 charges with redacted account number. I have verified that the person who has signed the affidavit still works at the credit union. I also also verified that the notary public who stamped the affidavit is in good standing.

I was mailed the summons. I have not responded. I will show up in court and ask for a continuance (/) . This may give me time enough to see if I can fight this. Can you give me any suggestions? Also, I'm thinking about asking for an additional 3 months. Is that ok? Does that seem unreasonable? When I called the court, I was told that the other side has to agree to the date. If not, then it's up to the judge. This is Virginia and things are pretty conservative. Any suggestions on how to ask for more time?

I'm also concerned about the affidavit. There is verbiage in the affidavit that states that not only due I have to pay the 18K debt and $4500.00 lawyers fees and $74.00 court cost but I will also have to pay a 18% interest rate until paid in full. Is this legal?

Thanks for all of your assistance.

Suggestions?

To begin dismiss any notion that the judge assigned to the lawsuit will grant you an extension of time to file and serve a formal answer/response to the plaintiff's complaint just because you casually walk into his courtroom asking for it.

You are not in small claims. Because of the amount involved this case is pending in a Virginia General District Court where the Virginia Rules of Civil Procedure apply - not Judge Judy's rules.

Meaning that in order for the court to even entertain a request for continuance you must first timely file a written motion requesting it together with an affidavit explaining why it is needed. Then secure a date and hour from the clerk for hearing on the motion and serve the plaintiff's attorney with copies of the motion, affidavit and notice of hearing.

Then you appear before the judge at the designated time and place to argue for the granting of your motion which, unless you can come up with something other than "I need time to fight this", will be denied.

And in the meantime the plaintiff's lawyer is adding hundreds of dollars per hour to his time sheet for which you will ultimately be stuck with.

As for the affidavit which you have seemingly laboriously studied - FUGETABOUTIT! It means nothing. It isn't evidence.

What you NEED TO DO is to comply with the terms of the Summons with respect to filing and serving your written answer or response to the plaintiff's complaint before you end up on the wrong end of a default judgment, from which here is no right of appeal!

 

[JenniferVA]

What are your grounds for fighting this? Do you plan to argue that the debt is not yours? Do you plan to argue the amount is incorrect?

If you have no valid grounds for disputing the debt, you may be better served by contacting the plaintiff and negotiating a settlement and entering into a repayment plan. Sometimes they are willing to waive further interest.

What do you plan to do for the three months that you want them to wait? Court cases generally take a long time. If you're only looking to drag things out, you need to learn about discovery.

Failing to file an answer to the complain may severely limit your options. Go find a law library and learn how to file an answer.

Thank you for your response. Please keep the responses coming.
-Jen

 

[single317dad]

That's about all there is to it: file the answer and defense(s) on time, or risk a default judgment. You can request enlargement of time, but unless you make a compelling case for it, you'll be denied.

Make a good case in your defenses, file appropriate motions in the interim, request discovery and production of documents, otherwise you'll lose in summary so you might as well have had a default.

 

[JenniferVA]

Questions Regarding Finance Charges & Proecures ....

Thank you all for the responses. I do have a follow-up question(s).

Firstly, I'm being charged for interest at 18%. That was the last interest rate on my Visa. However, attached to the affidavit on the summons I was given was a Visa account statement but it did not have the "terms and conditions" which is always located on the backside of each statement. I went back to my old Visa statements and found "terms and conditions" on the backside of the statement. For some reason, it was not there when I received the affidavit. Again, this determines how the interest is accrued and how penalties are assessed. Can I strike their desire to have accrued interest continue because they've not attached terms and conditions that states this fee can be continued?

The "term and conditions" only talked about how Finance Charges are accrued and penalties assessed.

Secondly, there is nothing attached to the affidavit that discusses how this is to be handled in the event that the account goes into delinquency/charged off. So, for instance if the Visa agreement mentioned arbitration or something else, I have no idea. Don't get me wrong, I realize if your credit goes into delinquency you can be sued. However, usually there is verbage regarding what jurisdiction the case is to be handled in. Or whether this will go to arbitration first. Again, I have no idea because nothing discusses this in the affidavit of documentation they've attached. I went back to my old Visa bills I can't find anything in the terms in conditions or anywhere. I'm thinking, this information could have been in the original credit card application I signed when I applied for credit. Unfortunately, my credit union is not talking to me and I'm unable to find out this information. However, I figured I can just go the the credit union and see a credit card application because this may have this information? Any other suggestions?

Lastly, if I ask for you a continuance and it is granted, and a new court date is given, will I be charged more attorney fees?

-Jen

Virginia

 

[Dave1952]

The other side is not, most likely, obligated to give you the terms and conditions of your account. You may request these pre-trial as part of discovery. This is silly since you already have this info printed on your account statements.
You certainly may request a continuance before your hearing. You'll need a reason. Planning to get married? Ok. Having the gall bladder removed? Ok. Don't know what you are doing? No.
Yes, during your continuance interest will continue and lawyers fees may increase.
Forgive me but you seem to be hoping that the lawyers who are collecting for your credit union will screw up and that all will be forgiven, but that' s really unlikely.
If you hire a lawyer, he will get a continuance since he' ll need time to research your case. A lawyer can often negotiate a pay-off deal that justifies his salary.

 

[JenniferVA]

Update on being sued by Orginal Creditor - Still need advice

The other side is not, most likely, obligated to give you the terms and conditions of your account. You may request these pre-trial as part of discovery. This is silly since you already have this info printed on your account statements.
You certainly may request a continuance before your hearing. You'll need a reason. Planning to get married? Ok. Having the gall bladder removed? Ok. Don't know what you are doing? No.
Yes, during your continuance interest will continue and lawyers fees may increase.
Forgive me but you seem to be hoping that the lawyers who are collecting for your credit union will screw up and that all will be forgiven, but that' s really unlikely.
If you hire a lawyer, he will get a continuance since he' ll need time to research your case. A lawyer can often negotiate a pay-off deal that justifies his salary.

Ok, I went to court today, I was advised by someone in legal aide prior to my court appearance to deny that I owed the debt and ask for a court date for trial. I was told by the legal aide that I could then post pone this for several months. If I had asked for a continuance I would have only been able to post pone for 30 days. Anyway, I did just that and now my case it set for trial on July 5th. I was also told to request for a "Bill of Particulars" which asks the other side to give me an itemized list of expenditures. I was granted such request. They'll also be filing.

I do have time to fight this. My concern is getting a judgement against me. If I'm not able to prove my case and want to settle prior to court trial date is it wise to reach out to the plaintiff? Do you think the plaintiff would be open to a monthly repayment plan until debt is paid in full to avoid getting a judgement against me?

Jen in Virginia

 

[Zigner]

Ok, I went to court today, I was advised by someone in legal aide prior to my court appearance to deny that I owed the debt and ask for a court date for trial. I was told by the legal aide that I could then post pone this for several months. If I had asked for a continuance I would have only been able to post pone for 30 days. Anyway, I did just that and now my case it set for trial on July 5th. I was also told to request for a "Bill of Particulars" which asks the other side to give me an itemized list of expenditures. I was granted such request. They'll also be filing.

I do have time to fight this. My concern is getting a judgement against me. If I'm not able to prove my case and want to settle prior to court trial date is it wise to reach out to the plaintiff? Do you think the plaintiff would be open to a monthly repayment plan until debt is paid in full to avoid getting a judgement against me?

Jen in Virginia

You have sidestepped the question. What is your defense? It sounds to me like you KNOW that you owe the money and you're just upset about the interest and fees. If the interest and fees are allowed (per the agreement with the issuer), then you're going to end up paying them. Your entire plan here is to delay, which is only going to cost you more money.

If you truly cannot pay this, then, perhaps, you should be speaking with a bankruptcy attorney...

 

[Zigner]

Do you think the plaintiff would be open to a monthly repayment plan until debt is paid in full to avoid getting a judgement against me?

On this specific point: They already tried the whole "monthly payment" thing...fool me once, shame on you...fool me twice, shame on me. Why should they bother?

 

[questionforu2]

What is the name of your state (only U.S. law)? Virginia
My question involves collection proceedings in the State of:My question involves collection proceedings in the State of: Virginia.

I have a summons for a court date this month. I'm being sued by my credit union regarding a unpaid Visa credit card. The debt has not been sold. The credit union has retained an attorney to sue me. My credit card debt is 18K. The attorney's fees are additional $4500 + $75.00 court cost. With the summons they have also attached an affidavit, old credit card statement, transaction printout of 10 charges with redacted account number. I have verified that the person who has signed the affidavit still works at the credit union. I also also verified that the notary public who stamped the affidavit is in good standing.

I was mailed the summons. I have not responded. I will show up in court and ask for a continuance. This may give me time enough to see if I can fight this. Can you give me any suggestions? Also, I'm thinking about asking for an additional 3 months. Is that ok? Does that seem unreasonable? When I called the court, I was told that the other side has to agree to the date. If not, then it's up to the judge. This is Virginia and things are pretty conservative. Any suggestions on how to ask for more time?

I'm also concerned about the affidavit. There is verbiage in the affidavit that states that not only due I have to pay the 18K debt and $4500.00 lawyers fees and $74.00 court cost but I will also have to pay a 18% interest rate until paid in full. Is this legal?

Thanks for all of your assistance.

It is very difficult to win against an original creditor.

A strategy my buddy used when he was sued was arbitration, you can read about it here:
http://www.creditcards.com/credit-card-news/credit-card-arbitration-1282.php

His case was about the same amount as you, the OC offered 20% settlement during arbitration, he declined and 2 weeks later the OC caved and settled for mutual walkaway. $16000 of debt wiped out just like that.

The strategy for him was to make collection efforts as costly as possible.

Usually the arbitration forum is JAMS and AAA. If I were you, I would check the credit card agreement to see if there is any arbitration provision. If you don't have the agreement, request it from the OC.

JAMS is capped at $250 for you but costs the OC at least $20000 up to $100000.
AAA is capped at $200 for you, I think the OC pays nearly $7000.

If nothing else, this would be huge leverage you have over the OC. Even if you lose, your arbitration fees are capped at $250 at the most. But it's up to you to research if this is viable for your case.

He basically told the OC he was prepared to go all the way in arbitration making the OC shell out over $100000 in fees, challenge any arbitration award in court and should he lose, he will file BK.