Citibank or Plaza Collections

[kendisorder]

What is the name of your state? NY

Hi:

I filed bankruptcy about two years ago, and for various reasons, things just never panned out and I voluntarily dismissed the case about a month ago. I just got one bill from Citibank Visa, just giving me the balance, etc.., and then a follow-up phone call from a person from a collection agency a week later. Then I got the dreaded letter that I always hear about, you have 30 days to dispute validity, etc... from that collection agency. This agency exists nowhere in my credit report, so what is going on? Should I try to negotiate with the original creditor, or ask the collection agency who presumably is handling my account for debt validation. My fair is that, they will come back not with the validatoin of debt, but with a judgement. What is your advice?? The amount is around 13k. I only have a few days left to make a decision before that 30 day period is up, and then supposedly the debt is then 'valid'.



Thank you for your help!

 

[Ladynred]

My fair is that, they will come back not with the validatoin of debt, but with a judgement.

They can't do that. If you dispute within the 30 day window, they must cease ALL collection activity and a lawsuit IS a collection activity.

This agency exists nowhere in my credit report, so what is going on?

There is no requirement that they report at all, but they probably WILL at some point.

I only have a few days left to make a decision before that 30 day period is up, and then supposedly the debt is then 'valid'.

No.. that's not what it means AT ALL. If you don't dispute within the 30 days, in writing, they can ASSUME the debt is valid, that does not make it FACTUALLY valid. They can go on with their collection actions. Your right to ask for validation does NOT end with the 30-day initial period.

 

[kendisorder]

response

Tx for your prompt response. Then how can they make the statement that they will either validate the debt and or obtain a judgement? Is this course of action the best one to take before attempting to settle?

Also who really owns this debt now. Why would Citibank send me a bill 10 days before the collection agency starts with me, it makes no sense.

Can I dispute the validity of the debt with collections, while at the same time calling the original creditor to find out if they really own the debt and/or whether they might be inclined to settle with me??

 

[TigerD]

LiDs reply is right on the money -- here is the actual quote fom teh law for you. I strongly suggest you read the FDCPA as it contains the rules by which the game is played.

§ 809. Validation of debts [15 USC 1692g]

.....

(b) If the consumer notifies the debt collector in writing within the thirty-day period described in subsection (a) that the debt, or any portion thereof, is disputed, or that the consumer requests the name and address of the original creditor, the debt collector shall cease collection of the debt, or any disputed portion thereof, until the debt collector obtains verification of the debt or any copy of a judgment, or the name and address of the original creditor, and a copy of such verification or judgment, or name and address of the original creditor, is mailed to the consumer by the debt collector.

(c) The failure of a consumer to dispute the validity of a debt under this section may not be construed by any court as an admission of liability by the consumer.

Your questions:
>>Also who really owns this debt now>>
It doesn't matter. You are dealing with a collection agency.
>>Can I dispute the validity of the debt with collections>>
If you don't they are going to continue collections.

DC

 

[Ladynred]

Then how can they make the statement that they will either validate the debt and or obtain a judgement?

That is NOT what the law says at all and they can't alter what it says. I would bet that if their letter says anything more, it says they'll continue with "all legal means to collect' or something similar. That doesn't necessarily mean a lawsuit.

Read the FDCPA.. its found at www.ftc.gov