"New" 21 yr old debt came out of nowhere

[thsislegal]

CALIFORNIA

CALIFORNIA

Hi, I am posting this for a friend of mine, Mike.

Mike has been on disability for a number of years and was diagnosed with kidney cancer a few months back and not doing too well. He is 58 yrs old.

He was telling me the other day that he did not get his stimulas refund from the govt but instead got a letter telling him that his refund amount would be going to the Dept of Education. They claim that 21 yrs ago he signed up for a business course, signed a contract and never paid. He asked for proof.

They sent him a copy of the contract he signed and he told them that may very well be but he never attended. They said they sent him (? why to him I wonder) a check for school in the amt of $250. and that he cashed it.

He said he wanted a copy of the cancelled check because he never received a check nor did he attend one day of the proposed course.

They said their records don't go back that far and they can't provide a copy of cancelled check.

And obviously, the amount is no longer $250 but quite a bit more. So, since he is on disability and they required this debt to be paid in installments, he had to go to his landlady and explain and she served him with a 3 day pay or quit. She was very understanding but it is what she had to do.

How is it "they" can come up with a supposedly signed contract after 21 yrs but not cancelled check? And why after all this time is he just hearing about this supposedly bad debt. He said when he rented his apt they did credit check and there was no problem and nothing about this has ever popped up before.

This man has enough problems right now without this new worry.
Is there anything he or I could do to possibly resolve this problem?

Thank you for your help.

 

[TigerD]

It's a debt to the government. It has no SOL. His taxe returns can be garnished. His social security can be garnished. And it can not be bankrupted off (well, actually in the case disability it can -- possibly worth looking into)

DC

 

[dfromnyli]

Whenever you owe the government money, just be ready to hand it over to them.

 

[cosine]

It's a debt to the government. It has no SOL. His taxe returns can be garnished. His social security can be garnished. And it can not be bankrupted off (well, actually in the case disability it can -- possibly worth looking into)

DC

OR ... it's an error and there never was a $250 check and he never cashed it. Maybe the check was misdelivered. The staff people involved should be required to produce the check. If they want to keep some records for 21 years, they need to keep all of the records, and not just what is convenient ... just as all creditors and debt collectors should do.

 

[thsislegal]

OR ... it's an error and there never was a $250 check and he never cashed it. Maybe the check was misdelivered. The staff people involved should be required to produce the check. If they want to keep some records for 21 years, they need to keep all of the records, and not just what is convenient ... just as all creditors and debt collectors should do.

My feelings/thoughts EXACTLY! So what would be our next step from here? It never ceases to amaze me - they feel they have enough proof to take his refund but not enough proof to actually prove their claim i.e, he was issued a check and cashed it? Makes me think of John Mayer's song line ....when they own the information, they can bend it all they want...

 

[TigerD]

nonsense. He got the money and he owes the money.

Time to move on.

DC

 

[Antigone*]

nonsense. He got the money and he owes the money.

Time to move on.

DC

You know, every now and then cosine posts something credible and I start to think, well maybe...

and then...

...he spews more nonsense

 

[LSCAP]

Originally Posted by cosine
OR ... it's an error and there never was a $250 check and he never cashed it. Maybe the check was misdelivered. The staff people involved should be required to produce the check. If they want to keep some records for 21 years, they need to keep all of the records, and not just what is convenient ... just as all creditors and debt collectors should do.


I know from personal experience that this can happen. In my case the school kept the money. (My son's tuition). Fortunately I caught the error in time. And after months of fighting they finally admitted their error.

 

[Antigone*]

Originally Posted by cosine
OR ... it's an error and there never was a $250 check and he never cashed it. Maybe the check was misdelivered. The staff people involved should be required to produce the check. If they want to keep some records for 21 years, they need to keep all of the records, and not just what is convenient ... just as all creditors and debt collectors should do.


I know from personal experience that this can happen. In my case the school kept the money. (My son's tuition). Fortunately I caught the error in time. And after months of fighting they finally admitted their error.

...I understand that but 21 years later. Please, at the point the only thing cosine did was give the OP false hope for a debt that Uncle Sam makes sure is repaid.

 

[cosine]

...I understand that but 21 years later. Please, at the point the only thing cosine did was give the OP false hope for a debt that Uncle Sam makes sure is repaid.

I have not noticed any limitation of time for due process in that clause of the Constitution. Errors can happen. Errors are errors. Just because they sit on an error for 21 years should not mean that they are somehow granted a special right to get away with an error. Now, we don't know if it is an error or not. But because it only comes to light as a possible error NOW, then it is NOW that it can be challenged. So the process of challenging it begins NOW. It will be up to the OP to pursue that by the proper means, though. Any 2L should be able to do it if they don't have any evidence besides some entry in a database.

 

[thsislegal]

Apparently, I'm missing something. If Mike has received tax refunds over the course of 21 years, why wasn't this debt collected? Further just because he signed a contract does not mean he attended the school. They have no cancelled check. He may have decided the next day he didn't want to attend and called them. A signed contract isnt absolute proof he rec'd and cashed the check nor that he attended.

 

[TigerD]

A signed contract isnt absolute proof he rec'd and cashed the check nor that he attended.

If your friend is relying on you for advice, it would be more merciful to shove him off of a bridge.

Run along now -- your village is looking for you.

DC

 

[cosine]

If you're expecting government bureaucrats to handle things properly, you've got a big surprise coming. But they are in a position of power to do things like attach a stimulus or refund check from the government. Mike will need to specifically dispute this, which may even require taking the action through federal court. I suggest that he or you find a local legal aid assistance agency or hunt around for a lawyer that likes to take cases like this pro bono.

 

[thsislegal]

If your friend is relying on you for advice, it would be more merciful to shove him off of a bridge.

Run along now -- your village is looking for you.

DC

For those of you that gave me sincere advice, I thank you.

For those that think themselves superior, you can take your condescending attitude elsewhere.

The majority of people that use this site do not have the financial means to afford an attorney. That does not mean we necessarily are uneducated hillbillies!

I was simply trying to help a friend who is going through a rough time.

You don't have to be so mean and nasty and DC might I suggest you learn some manners, were you born in a barn or what?

 

[TigerD]

FThat does not mean we necessarily are uneducated hillbillies!

No not necessarily. But in your case, it works.

DC