Citibank, CA Non Validation - Judgement HELP!

[klhofbauer]

"However, in all candor, I see nothing in your long thread that would even hint that you have any defense against this collection process. You provide nothing to suggest a SOL defense, nor do you apparently challenge the amount being claimed. Personally, if your financial situation is as you claim (other than that 40 acres of land), it looks like you really have little or no non-exempt assets to make it worth the cost and time of a lawsuit. I would consider simply calling the attorney and tell them to "go ahead and sue, it will just be the last straw with all your debts and force you to file bankruptcy". That threat might either back them off... or put them in a position to negotiate a reduced settlement with you. It really sounds like you have little to lose in playing the 'bankruptcy threat card'.

As for that land... do you live on it?? If so, then it would even be exempt.... as Arizona allows the following homestead exemption:
Homestead: Real property, an apartment or mobile home occupied by the debtor, up to $100,000. Sale proceeds exempt 18 months after sale or until new home purchase, whichever occurs first. Husband and wife may not double the homestead exemption.

G'morning JetX....

Actually.... BK is an option we've struggled to avoid - the main reason that we've set ourselves on such a strict budget for the year of 2004 (almost over)

We do have a mortgage on our house, the value about 150K. The payments are 200.00 more a month until June 2005 - then they drop back down to the normal mortgage; and free up 200.00 a month then - BUT, since we are now adjusted to paying 200 extra a month, I may just end up keeping up with this payment amount, putting the 200 on principal loan balance. The higher payments cover those we were behind last year.

The land is investment property only - we bought it 4 years ago for 27,400 and now it's value is about 33000. So you can see the difference in just 4 years; we've got a tad over 5 years to finish paying on this. Since both my husband & I are in our early 40's, say 30 years from now, it will be worth something. Either we'll end up retiring up there or will it to the kids.

Both of our vehicles are old, the balance on my husband's truck is 800.00 and will be paid off August 13th; my car was paid off in 2001, 6 months early on the loan; and as soon as the truck is paid off, our car insurance also drops down 100.00 a month - as we will drop the full coverage. Now we've just freed up 350.00 a month!

We have 6 credit cards, counting Citibank.

During last year when things were horrible because of our mutual layoffs, we ended up having to use the credit cards to just pay the mortgage, electric and necessities. However:

CC #1: Limit 400 - paid off last month
CC #2: Limit 500 - balance 400; paying off August
CC #3: Limit 1000 - balance 700; paying off September
CC #4: Limit 1150 - balance 850; paying off October

The four above were never in collections (as far as I know, I never got collection calls about them) - and only stretched to 60 days late. Those delinquincies would be from November & December 2003.

CC #5: Limit 5000 - balance 4950; was in collections w/ C-One's offices not sold. BUT, Capitol One worked with me. Hard to believe, I only had this card 2 years, but THEY were willing to work with me - when Citibank had the SAME balance, I had THEIR card for TEN YEARS, and they wouldn't do diddly squat.

CC #6: Citibank.

The only remaining debts we have is the college loans which are 200.00 a month - and those will be for the next 10 years; these are not discharged in BK.

Time will take care of everything... and hopefully my husband is with a company now that he KEEPS his frickin' job. His layoffs are what cause us to get into debt further and further, something he refuses to believe.

another long post... hehehehe.. are we not supposed to have long posts? I am long-winded.. as you can see! Actually - that just helps to explain the situation better.


Anyway.. thank you for your knowledge and expertise; suggestions and thoughts.. both you and LadynRed. I appreciate it. I know I just need to resign myself to this agreement with Citibank, as I said before, I'm just mad "at the world" because it got this far.

 

[JETX]

"Actually - that just helps to explain the situation better. "
*** No it doesn't. All it does is continue repeating the same stuff you have already said.... and has absolutely NOTHING to do with the situation.

The ONLY issues are:
1) Do you owe this debt?
2) Is the amount correct?
3) Has the SOL tolled on the debt making it unenforceable??

If the answers are yes, yes, and no, then you have no defense and no choice. The creditor can get a judgment against you if they want to pursue that. And if they do, then the only remaining question is:
4) Do you file bankruptcy, or do they take your non-exempt assets (including that land)??

So, at this point.... it looks like you have ONLY the following options:
- Accepting their offer and signing the 'Stipulation for Judgment', or
- Trying to negotiate a lower settlement and signing a 'Stipulation for Judgment' on that negotiated settlement, or
- Tossing the dice and letting them sue you and get a judgment award by the court.

Personally, I would try to negotiate the best 'settlement' possible and then sign the agreement.

 

[willingtocope]

There may be some help in the FDCPA

If...big if...you want to take the time to file a small claims action against her, I would bet you'll get $1,000 plus for your trouble.

And remember, the FDCPA has nothing to do with whether or not you owe the debt...its only there to make sure that people trying to collect the debt do so according to the rules.