? About Collection

[arhillbilly]

A few years back my husband chose to stop paying on a credit card. The card company has written it off(several years ago) but he keeps getting phone calls from an attorney. I have told the attorney that any more contact needed to be thu the US postal service. I understood that once a collection company or attorney was told this they had to do it this way, but that's not what they are doing. They are still calling, sometimes very early in the morning and sometimes after 9pm. Is what I was told correct and is there anything else my husband can do (short of paying which isn't going to happen...long story) Thank you

 

[seniorjudge]

A few years back my husband chose to stop paying on a credit card. The card company has written it off(several years ago) but he keeps getting phone calls from an attorney. I have told the attorney that any more contact needed to be thu the US postal service. I understood that once a collection company or attorney was told this they had to do it this way, but that's not what they are doing. They are still calling, sometimes very early in the morning and sometimes after 9pm. Is what I was told correct and is there anything else my husband can do (short of paying which isn't going to happen...long story) Thank you

If you don't pay your bills, you can expect calls from lawyers and people of that ilk.

 

[Neal1421]

A few years back my husband chose to stop paying on a credit card. The card company has written it off(several years ago) but he keeps getting phone calls from an attorney. I have told the attorney that any more contact needed to be thu the US postal service. I understood that once a collection company or attorney was told this they had to do it this way, but that's not what they are doing. They are still calling, sometimes very early in the morning and sometimes after 9pm. Is what I was told correct and is there anything else my husband can do (short of paying which isn't going to happen...long story) Thank you

No, it is not correct. As long as your husband continues to not pay, they will call. They know that you are not going to reply to anything that they send so why would they cater to your wishes to not call and only send mail? What sense does that make?

 

[TigerD]

A few years back my husband chose to stop paying on a credit card. The card company has written it off(several years ago) but he keeps getting phone calls from an attorney. I have told the attorney that any more contact needed to be thu the US postal service. I understood that once a collection company or attorney was told this they had to do it this way, but that's not what they are doing.

You understood wrong.

 

[zippysgoddess]

If you choose, you can send them a Cease&Desist letter demanding that they stop all contact with you/your husband regarding the matter. You would have to send it CMRRR. However, if you do this and it is still within the SOL you can expect it to result in an immediate lawsuit.

 

[Ladynred]

OK, per forum rules -- WHAT STATE ARE YOU IN ??????

(yes, I'm shouting, too many posts lately w/o the crucial state info !)

Second, how long ago, exactly, has it been since your husband paid the ORIGINAL CREDITOR on this credit card ???

If you want them to cease contact, send them a CEASE AND DESIST letter - yes, a written letter. Mail it certified, RRR and keep copies. However, IF the debt is still within the statute of limitations for legal action to enforce collection of a debt, your C&D letter could be answered with a lawsuit.

 

[arhillbilly]

I'm sorry I forgot to put the state where we are. We are in AR.

The date when my husband stopped paying was several years ago (I think it was in 2000, it was long enough ago that the credit card company already wrote it off, and he hadn't gotten ANYTHING about it until 2005)

This is what I was talking about as far as being told you can request it in writing.


"There is a provision of the Federal Fair Debt Collection Practices Act (FDCPA) which regulates "debt collectors". The FDCPA defines a debt collector as any person, other than the creditor, who regularly collects debts owed to others. This generally refers to collectors for collection agencies. You can stop a debt collector from contacting you by writing to the collection agency demanding they stop. Once the agency receives your letter, they may not contact you again except to say there will be no further contact."

 

[TigerD]

I am going to address your misquote, which I belive is simply a misunderstanding of how the system works.

In your first post you wrote:

I have told the attorney that any more contact needed to be thu the US postal service. I understood that once a collection company or attorney was told this they had to do it this way, but that's not what they are doing.

That is incorrect. There is no such entity as a limited cease and desist. If you really feel there should call your congressman, but don't hold your breath because the big collection companies give far more to his campaign than you.

If you send a letter attempting to CD verbal communications one of three things will happen: 1, They will treat it as a full CD and either sue you, drop it or sell the account to another agency; 2, they will simply throw it away; 3, They will pass it around the office and laugh at you before a collector calls you again -- this time with the call on speaker in the training room so everybody can laugh at it.

This is what I was talking about as far as being told you can request it in writing.

"There is a provision of the Federal Fair Debt Collection Practices Act (FDCPA) which regulates "debt collectors". The FDCPA defines a debt collector as any person, other than the creditor, who regularly collects debts owed to others. This generally refers to collectors for collection agencies. You can stop a debt collector from contacting you by writing to the collection agency demanding they stop. Once the agency receives your letter, they may not contact you again except to say there will be no further contact."

That is completely different. If you choose to send a cease and desist letter to a CA you might want to continue reading that section of the FDCPA, which is section 805c:
(c) CEASING COMMUNICATION. If a consumer notifies a debt collector in writing that the consumer refuses to pay a debt or that the consumer wishes the debt collector to cease further communication with the consumer, the debt collector shall not communicate further with the consumer with respect to such debt, except --

(1) to advise the consumer that the debt collector's further efforts are being terminated;

(2) to notify the consumer that the debt collector or creditor may invoke specified remedies which are ordinarily invoked by such debt collector or creditor; or

(3) where applicable, to notify the consumer that the debt collector or creditor intends to invoke a specified remedy.

That means your next contact may well remove any possibility of your resolving the account without having to pay legal fees. You should only do this when ALL of the following apply:
1. You know the details of the debt
2. It is out of statute and you have researched the applicable laws and can prove it
3. You are willing to face a lawsuit by the CA either by defending yourself or hiring an attorney.

That said, you also need to remember that debt is sold so frequently that your account is going to go to another CA and the process will start again.

DC

*****
Adding FDCPA link for OP
http://www.ftc.gov/os/statutes/fdcpa/fdcpact.htm

I strongly advise you read it. If you have specific questions, ask. Remember that the FDCPA isn't a stand alone document -- few are. The FTC staff opinions are taken very seriously and there is a lot of case law in every state and on the federal level. If you really want to understand how it applies in your state go spend some time at the local law library.

 

[Kanchazi]

You might stop them from calling, but they can go ahead and file a judgement against you. which is not pretty. They can clean out your bank account, and garnish your job wages. try to avoid getting into that situation.

 

[Ladynred]

Ok. If he last paid them in 2000, then the debt is past the statute of limitations in AR of 3 years. Once the SOL expires, then you can tell any collectors that contact you/him to go take a flying leap at a rolling donut, the debt is time barred. You write then a cease and desist letter telling them never to contact you again as the debt is time-barred per AR statute.

You can use this letter - send it certified, RRR and keep copies of everything. The AR statute you need to complete the letter is on the same site.

http://whychat.5u.com/nottoca.html

 

[TigerD]

Ok. If he last paid them in 2000, then the debt is past the statute of limitations in AR of 3 years. Once the SOL expires, then you can tell any collectors that contact you/him to go take a flying leap at a rolling donut, the debt is time barred. You write then a cease and desist letter telling them never to contact you again as the debt is time-barred per AR statute.

You can use this letter - send it certified, RRR and keep copies of everything. The AR statute you need to complete the letter is on the same site.

http://whychat.5u.com/nottoca.html

There are some problems with the letters posted on that site.

"Under the FDCPA, any such action, or threat of such action is a violation of the law,and grounds for fines and civil sanctions."
There are only 2 states where it is actually illegal to pursue OOS debt: And Ark. isn't one of them. Filing suit is a perfectly acceptable response to a CD regardless of the SOL. The debtor will still have to make an appearance and raise the SOL as an affirmative defense. (Care to wager on how many actually do and how many of those that do actually do it right and win?)

I think the thing that bothers me about the letter is that it throws up a lot unnecessary and irrelevant thing in the mix. "I reserve the right to forward a copy of this to your attorney's state bar association" Okay, and I reserve the right to use it as toilet paper and send it back. Just what the hell is that supposed to mean at the bottom of a letter -- try absolutely nothing. Frankly, the extrenous statement in that letter defeat the purpose of the letter. quoting TILA, which has nothing to do with the FDCPA is senseless. Threatening to copy it to the bar association. It's blathering and poor writing.

This next sentence is rich:
"Under the laws of my State,(statute # if available) continued collection activities, including reporting,verification or reinsertion of accounts. beyond their legal collection date to any consumer credit reporting agency, may be considered extortion and/or fraud and subject to criminal as well as civil prosecution."
Try again.

What sending that letter to a CA does is proves that the sender is an easy mark. Where my plan is simply to either return accounts to the owner or sell them when I get CDs for my agency, a letter like this might be enough for me to throw it on the screw it, sue 'em pile.

As for the following letter to the CRA on the same web page... reading that was better than watching Saturday Night Live.

DC

 

[Ladynred]

The point is to make them go AWAY and when the debt is past the SOL then you've got a better chance of getting rid of them. No, many people are too damned scared to go to court to fight for themselves in cases like this and too many slimey collectors win cases on out of statute debts that they should not.

You wanna fight with WhyChat, go over to creditboards.com and call him on it.

There IS case law that supports the statement that suing on an out-of-statute debt IS a a violation of the FDCPA as it attempts to mis-characterize the legal status of the debt. I can't find the case right this second, but I will.

Bottom line, if the debt is out of statute.. send 'em packing, there's no reason to put up with harrassment over it.

 

[TigerD]

The point is to make them go AWAY and when the debt is past the SOL then you've got a better chance of getting rid of them. No, many people are too damned scared to go to court to fight for themselves in cases like this and too many slimey collectors win cases on out of statute debts that they should not.

You wanna fight with WhyChat, go over to creditboards.com and call him on it.

There IS case law that supports the statement that suing on an out-of-statute debt IS a a violation of the FDCPA as it attempts to mis-characterize the legal status of the debt. I can't find the case right this second, but I will.

Bottom line, if the debt is out of statute.. send 'em packing, there's no reason to put up with harrassment over it.

There is no reason to put with harrassment at any time. It is wrong, not an effective technique and illegal.

What I was getting at, albeit poorly expressed, is the simplest and best way to write a CD is to include the account number, a copy of their mailing to you and write: This letter serves as your legal notice under the FDCPA to cease and desist all contact with me regarding this debt.

That's all you have to do. Any more provides loopholes that CAs will use. It also raises many more arguing points if the debtor actually tried to take the matter to court for violation.

DC
PS I don't want to fight with anyone, least of all you LNR

 

[Debt Guy]

I agree with DC on this one. Keep it simple.

Two reasons.

1. Mail is opened by the mail clerk -- the lowest paid person in the collector's office. Simple does not over stress their brain. If they don't have to think about it, they are more likely to just make the change in the computer system and go on to the next letter in the stack. If it looks "legal" they have an obligation to route it somewhere else and Lord only knows where it goes from there. In the worst case, it actually goes to some collection agent who thinks s/he knows BS when they see it and feel a need to get their mojo workin'.

2. If the CA fails to comply and you end up in court, then the debtor wants the judge to see them as the least sophisticated consumer. That is where a simple C&D just plain makes more sense. When the judge sees the Why Chat letter, and then turn to the debtor and say "how did you come up with all that?", the only response the debtor can give is "well, your honor, I found it on the internet". I actually saw this happen once and the judge told the debtor they were "stupid" to copy stuff off the internet that they did not understand. Why take a chance aggravating the judge when it is just as easy to have a good shot at sympathy from the judge?

 

[gsant]

stressedinLa.

Louisiana.....Isan't the SOL for La. 3 yrs. also (on c/cards...last date of activity 6/2000 & 8/2000)...Wouldn't advice given to Ar. apply to La....same type of letter to collectors?....And does anyone have knowledge of ALLIANCE ONE?...BBB very helpful in filling in some on these people.