Being sued for $2500

[elmgdmb]

Hello:

I recently received a summons for a debt owed of $2500.00. I do owe this take and take full responsibility for it. I do not however, have the $2500.00 right now.

My court date is next week, and my question is, should I call the attorney representing the credit card company and try to work something out before court? (I have about $1500.00 to pay them right now and can pay another $500.00 the next week) Or should I just show up at court.

Also what should I expect at court?

Thanks so much!

 

[lostinmn]

I think you answered your question yourself. That company wants $2500 from you one way or another. So if you offer to give them $1500 now and the rest shortly, they will be more than happy. After court, if they decide to procede with the judgment and refuse your offer, it does not mean that you will immediately have to cough up all of $2500. If/when the judgment is won they will have the right to collect it, which doesn't equal to showing up at your door and beating you with a 2x4 until you pay. Collecting includes wage garnishing, estimating assets, etc and it's a lengthy process and it will take much longer for them to get the money with that route. So call them up and set up a payment plan.

Edit: in court the judge will give you time to speak, you can offer your plan then and it will be up to the company to accept it or refuse it. They will be stupid to not take it. You can even talk to the company rep before the court and make arrangements, if you come to consensus then it will be announced to the judge and case will be dismissed.

In the worst case, if they refuse your offer and win the judgment (which they will because you do owe money and admit it), your best thing to do would be to pay off asap so that you won't have that judgment hanging over your head.

 

[elmgdmb]

Thank you for your help. I have one more question. Upon some internet research I found complaints against the attorney suing me. Most people reported that it is really a debt collector using scare tactics to get you to pay up. Several reviews of this attorney suggest that he doesn't even show up to small claims court. I am not trying to walk away from this scott free, but was wondering what would happen in the event he does not show up to court.

I should add to this that I have read and also been advised to never give a debt collector any of your bank information as they will drain your bank account. Not sure if this is correct, but now I am frightened to call this attorney up and try to settle this over the phone.

 

[diy4law]

I would try to cut a deal with them but it depends on your financial situation. If you have a lot of unsecured debts and are not making enough money you should consider filing chapter 7. Many people have unsecured debts of 30 or $40,000 nowadays with no hope of ever paying them off. Credit cards have been increasing interest rates and setting people up to fail. They wonder why there's so many bankruptcies but when a minimum payment is 250 on a $3000 debt, they will never be able to pay it off unless they win the lottery.

 

[army judge]

Thank you for your help. I have one more question. Upon some internet research I found complaints against the attorney suing me. Most people reported that it is really a debt collector using scare tactics to get you to pay up. Several reviews of this attorney suggest that he doesn't even show up to small claims court. I am not trying to walk away from this scott free, but was wondering what would happen in the event he does not show up to court.

I should add to this that I have read and also been advised to never give a debt collector any of your bank information as they will drain your bank account. Not sure if this is correct, but now I am frightened to call this attorney up and try to settle this over the phone.

The creditor that originally had this debt has sold it to a debt collector.

It works like this.

Let's say you had a Visa card with Bank of Bucks.
You defaulted on $2000 of debt.
Bank of Bucks closed your account.
They tried collecting the debt from you for a few months.
You were in no position to pay or just didn't pay.
It doesn't matter.

Bank of Bucks wrote your debt off.

Bank of Bucks then liquidates your debt to bottom feeders like the lawyer that is suing you.

Now this isn't really a law firm, usually a suspect lawyer that sells his ethics and name to unscrupulous, scum sucking, debt collectors.

That $2000 debt was bought for say, $100.
Sometimes maybe just $20.
Now the scavenger starts harassing you to pay off the $2000 debt.
You originally owed Bank of Bucks, remember?

Now Cheatum & Trickum own the paper they bought from Bank of Bucks.
They might scam you into settling for $1500.
They spent $100 for your debt and make a cool $1400 profit off of you for nothing.

Bank of Bucks won't sue for these small amounts.
Creditors in general, rarely sue for these small debts.
They do better using these losses as tax write offs.

But, you didn't take Cheatum & Trickum up on their offer to settle.
They harass you mercilessly, until they decide to sue.
They bundle a bunch of these debts and send some first year lawyer off to file the papers.
The day of court arrives, and they hope you don't show up.
That way they get a bunch of default judgments.
They then file liens against property or try to garnishee wages.
In Texas your wages can't be garnisheed for debts.
I advise my clients to ignore these scammers.
I advise them to always show up in court and defend against these scammers.
Don't feel bad for Bank of Bucks, they got a nice, fat tax write off.
And, you don't owe Cheatum & Trickum a dime.
They just make money off of the misery of others.


Never give them your bank account information, if you do get scared into paying their tribute.

Pay them with a money order, never a personal check or another credit card.

I advise my clients to never pay them a dime.
Fight them, because they are crooks.

By the way, when they appear in court you can ask them to produce the original credit contract you signed and the application.
Bank of Bucks didn't give them that, or it has long ago been lost.
If they can't produce that, you'll generally win.
And, even if they do, it is usually a phony.
All they buy is usually the creditor's accounts receivables.

So, if I were you, I'd show up in court and ask them to produce the contract and application.

Do not admit to anything.

They have to prove their case, besides you don't owe Cheatum & Trickum, so a general denial of each and every allegation in their affidavit will suffice!!!

I hope this has been helpful.

Don't give these devils one red cent in tribute.

Don't admit to owing them anything, because you don't.

Fight them!!!