Caredit Card Small Claims Suit

[Tink11464]

What is the name of your state (only U.S. law)? Pennsylvania

I received a certified letter yesterday to go to small claims court for an old credit card. I had this card for several years - it had a $600 limit - went over limit and from then on the fees snowballed. I asked that they close the card so that the interest fees would stop while I paid it off - they told me that couldn't be done. They said to let it go to collections and then they could set me up on this "program" to pay it down. Well by the time that time came - the bill was $1600. I paid on the plan for a year - and even with automatic withdrawals on my account - they would post payments late and add more fees. After they did this sevral times and no one at the company would explain WHY this happened - I ended the payments (2007). They are now suing me for $1400 (and of course during those years we received all of the nasty - vulgar phone calls, etc.) I never disputed paying what I "OWED" - but the ineterst and fees are OUTRAGEOUS (I'm sure you have read this on more than one post). My question is - - is there any way to pay ONLY what was charged - - no fees and interest? Is there a way to avoid court or is it too late? Thank you in advance for any advice....What is the name of your state (only U.S. law)?What is the name of your state (only U.S. law)?What is the name of your state (only U.S. law)?What is the name of your state (only U.S. law)?

 

[Antigone*]

What is the name of your state (only U.S. law)? Pennsylvania

I received a certified letter yesterday to go to small claims court for an old credit card. I had this card for several years - it had a $600 limit - went over limit and from then on the fees snowballed. I asked that they close the card so that the interest fees would stop while I paid it off - they told me that couldn't be done. They said to let it go to collections and then they could set me up on this "program" to pay it down. Well by the time that time came - the bill was $1600. I paid on the plan for a year - and even with automatic withdrawals on my account - they would post payments late and add more fees. After they did this sevral times and no one at the company would explain WHY this happened - I ended the payments (2007). They are now suing me for $1400 (and of course during those years we received all of the nasty - vulgar phone calls, etc.) I never disputed paying what I "OWED" - but the ineterst and fees are OUTRAGEOUS (I'm sure you have read this on more than one post). My question is - - is there any way to pay ONLY what was charged - - no fees and interest? Is there a way to avoid court or is it too late? Thank you in advance for any advice....What is the name of your state (only U.S. law)?What is the name of your state (only U.S. law)?What is the name of your state (only U.S. law)?What is the name of your state (only U.S. law)?

Not likely. You deprived the client of the use of the their asset. You will be required to pay for that. You might argue the amount in court, but don't look for much sympathy from the judge unless the amount of interest they were charging you was usurous.

 

[Tink11464]

Thank you - - also - if (and I'm sure there will be) there's a judement against me, what legally can be done to me? Can they attach my wages or go after any assets, etc...?

 

[Antigone*]

Thank you - - also - if (and I'm sure there will be) there's a judement against me, what legally can be done to me? Can they attach my wages or go after any assets, etc...?

In Pennsylvania your wages cannot be garnished; however your bank account and other assets are fair game.

 

[cosine]

You specifically asked about how to avoid paying the fees and/or interest. Those are, in all likelihood, legitimate (even if they seem outrageous to consumers). The only sure legal way to avoid paying is bankruptcy chapter 7 ... only if you qualify (which is almost certainly not the case since you are earning wages). Otherwise, find a way to pay it, lick your wounds, and come out of it smarter.

You've got the letter and the court date is set. Be sure to read it and follow everything the court tells you to do. The only way to avoid court is to reach an agreement with the creditor/plaintiff. Most likely, they will want a stipulation of judgment (effectively, the civil equivalent of pleading guilty) or a payment in full to avoid court. If you want a payment plan, they may agree to that. But since they have now put their money into seeking additional legal means to get their money (e.g. filed suit), they are very unlikely to back off from that short of irreversible full payment (or you somehow convincing them they will lose).