Credit Card refusing payment but taking us to court?

[StudentUnaware]

Ok so heres the story. My roommates mother signed him up for a HSBC credit card a few years back. He screwed up and defaulted on it (totally his fault I understand that). By the time he and I moved in together it had been two or three years and I started getting on the ball of helping him get his credit cards in order and everything.

3 years ago- We offered a payment of $185. They accepted, took it out of the bank account but then told us they never did and demanded we send them a money order for the amount. Ok so we disputed the charge at the bank, then sent them the money order. They did not count us making a payment on his card at all.

since than till now- We've kinda been playing "tag your it" with who has a job or not the past 3 years since then... there hasn't been a point in time where both of us had a job at the same time. However me being still determined to help pay off the card managed to set aside $100 or so every couple of months. We tried to contact the collections company that had his card at the time and offered them a payment of $100. Every single time they have said "no, we need the 3000 in a lump payment" and then hung up on us.

now- the most recent collection agency is taking my roommate to court for the $3000, which would almost be paid off by now if they had taken the $100 payments from us for the past 3 years.

My concern is that right now we are on food stamps, rent assistance and power assistance. So we really don't have the $3000 nor the money for court cost. They are constantly telling us that we are refusing to make a payment when really its just we arn't making the payment they want.

I heard from somewhere that in North Carolina a collection agency or credit card company can not deny payment or else it terminates the contract on their end. Is that true? anyone know?

Maybe thats why they keep saying that we are refusing payment to cover their ass on that law?

please someone give me some insight

 

[army judge]

Ok so heres the story. My roommates mother signed him up for a HSBC credit card a few years back. He screwed up and defaulted on it (totally his fault I understand that). By the time he and I moved in together it had been two or three years and I started getting on the ball of helping him get his credit cards in order and everything.

3 years ago- We offered a payment of $185. They accepted, took it out of the bank account but then told us they never did and demanded we send them a money order for the amount. Ok so we disputed the charge at the bank, then sent them the money order. They did not count us making a payment on his card at all.

since than till now- We've kinda been playing "tag your it" with who has a job or not the past 3 years since then... there hasn't been a point in time where both of us had a job at the same time. However me being still determined to help pay off the card managed to set aside $100 or so every couple of months. We tried to contact the collections company that had his card at the time and offered them a payment of $100. Every single time they have said "no, we need the 3000 in a lump payment" and then hung up on us.

now- the most recent collection agency is taking my roommate to court for the $3000, which would almost be paid off by now if they had taken the $100 payments from us for the past 3 years.

My concern is that right now we are on food stamps, rent assistance and power assistance. So we really don't have the $3000 nor the money for court cost. They are constantly telling us that we are refusing to make a payment when really its just we arn't making the payment they want.

I heard from somewhere that in North Carolina a collection agency or credit card company can not deny payment or else it terminates the contract on their end. Is that true? anyone know?

Maybe thats why they keep saying that we are refusing payment to cover their ass on that law?

please someone give me some insight

Stop communicating with the credit card company.
This debt is too old to even collect.
Don't pay the collection company a dime.
The bank has written this debt off years ago.
The collection scum has bought the paper (his note) for about 2 cents on the dollar.
You're on welfare.
What are they gonna get, food stamps?

I hope your life improves.
But, forget this debt.
Its history.
The statute of limitations has tolled on this debt.
It is noncollectable.

In NC, the debt is considered too old to collect after thre eyears!
These bums are gonna sue you, they can't.
They wanna scam, $3,000 outta you.
Don't pay it, and stop communicating with these devils!



http://www.creditcards.com/credit-card-news/credit-card-state-statute-limitations-1282.php

 

[StudentUnaware]

Stop communicating with the credit card company.
This debt is too old to even collect.
Don't pay the collection company a dime.
The bank has written this debt off years ago.
The collection scum has bought the paper (his note) for about 2 cents on the dollar.
You're on welfare.
What are they gonna get, food stamps?

I hope your life improves.
But, forget this debt.
Its history.
The statute of limitations has tolled on this debt.
It is noncollectable.

In NC, the debt is considered too old to collect after thre eyears!
These bums are gonna sue you, they can't.
They wanna scam, $3,000 outta you.
Don't pay it, and stop communicating with these devils!

Thanks. I'm gonna make sure that my roommate didn't make any more payments. I know its coming up on the 3 year mark that we attempted to make that one payment and they took it out of our account then they asked for a money order which we sent. Like I said they keep saying that we didn't make a payment when we had sent them money. So I'm worried that they will tell us that there is a payment on file within 3 years and that it doesn't fit under SoL laws

 

[mightymoose]

What paperwork has the roommate received indicating that the matter is going to court? If it isn't in the form of a summons/subpoena then don't worry about it.
Cease contact with the collection agency. The credit card company wrote off the debt long ago.
While the collection agency is entitled to attempt to collect, they don't want to take on much of an expense to do so. If you don't have the money to take, there is no sense in them suing for a judgment against you. Doesn't mean they won't do it... but you are probably low in the pecking order.

 

[army judge]

Thanks. I'm gonna make sure that my roommate didn't make any more payments. I know its coming up on the 3 year mark that we attempted to make that one payment and they took it out of our account then they asked for a money order which we sent. Like I said they keep saying that we didn't make a payment when we had sent them money. So I'm worried that they will tell us that there is a payment on file within 3 years and that it doesn't fit under SoL laws

Besides not talking to these creeps, never disclose to them your banking information.

This thing is dead.

They're just harassing you.

 

[Darsha05]

totally agree...do not even take the call from the "collector" handling the file. Chances are it's been sold 3, 4 or 5 times over the years. What is not in your favor from your 2nd post is "I'm gonna make sure that my roommate didn't make any more payments", confirms that the debt is recognized and also furthers the SOL. My advice, again do not take any more calls from them. Do not make any more payments towards this debt. DO if a summons is received to appear in court (begins at the MDJ level) call and notify the MDJ that YOU WILL BE DEFENDING. It's a crap shoot but the chances of this DC having any original paperwork to substantiate the lawsuit is virtually nil to none. Although we live in a virtual paper world., chances are the cost of holding on, backing up and so on the information to "sell" to a JDC"...well are in your favor!

I say from experience to "send a notice to defend" because one of three things will happen:

1. If you do not...the hearing will take place in your absence and they will win the hearing by default judgment. The only way to ensure this does not happen...notify to defend.

2. The hearing takes place, both parties show up, judges decision (almost guarantee it never gets to this level...and with the roomey making pymts - could be iffy)

3. Hearing is canceled once "notice of defend" is scheduled by roomey. Most JDC's do not want to invest their time, travel and litigation to complete the process they themselves started (mainly because they can't back it up!). The hearing notice is more of a scare tactic to these breed of folks and they 100% bank on the fact of you not showing up...and why wouldn't they...heck you defaulted on the "agreement" they have their fangs into now...why would you show up...see what I mean...DO NOT LET THEM GET A DEFAULT JUDGMENT!!! Also please know...default judgment can be given even if the SOL has expired. At this point in "big boy court" it will be up to you to prove. This can become cumbersome and time consuming...stop it at the MDJ level...period!!!

Oops forgot one more...ahhh the continue option they will have...hearing continued...continued...continued until well, you simply forget and they receive default judgment...sigh!!!

Once judgment is received in the JDC's favor...it's reported to the credit bureau's. If they continue their path of unscrupulous tactics and file with the court house even if the debt is not valid, it's still filed and then up to you to defend yet again. Do you see where I am going with this...I only know of one way other than submitting a written defense to the court house to remove the judgment...if you were not served properly and default judgment was entered...but yet again...you must submit proof/documentation to defend this claim.

Good luck with this...and please having any judgment on your credit reports can be vry harmful for many years...do not allow the JDC to do this....

 

[Darsha05]

Oh sorry forgot to ask this...is roomey's mom a co-signer? If so, have they also been contacting her??? if so...please elaborate...

 

[macastex]

Hi i just receive a file from colletion they are taking me to court for unpaid credit card from HSBC, is almost 3 year but not yet to apply the law, i receive a letter that my only option is file chapter 13 bankrupty, is that the only way, becouse i dont want them to put a lien in to my home.

Thank you