As Americans struggle in this slow economy, debt collectors are finding creative ways of separating struggling debtors from their dollars. One way is the use of so-called “balance transfer programs.” Many debts are legally unenforceable due to the expiration of the statute of limitations. A legally unenforceable debt is less valuable to a debt collector [...]
Brian Shaw
The Take-Away A debt collector may lose in a debt collection lawsuit if it only produces a credit card agreement bearing no apparent relationship to the account, two contracts for the sale of the debt, an affidavit from another debt collector, and two billing statements. Facts Smith had a Citibank credit card which she allegedly [...]
The short answer is maybe. It depends on the type of bankruptcy filed, the equity in your home, your state of residence, and who else owns the home with you. Let’s take it step-by-step. First. If you are a homeowner considering bankruptcy, you must determine the amount of equity in your home. Your home value [...]
First National Acceptance Co., LLC, (FNAC), a New Jersey debt collector represented by attorneys for Hayt, Hayt & Landau, LLC (HHL), suddenly dropped its $43,386.32 lawsuit over an alleged consumer debt at trial on the record in the Superior Court of New Jersey. The lawsuit alleged that FNAC, a debt buyer of old defaulted consumer [...]
The Take-Away A notice on the back of a collection letter written on attorney letterhead stating that no attorney has reviewed the account does not cure the deceptive impression that it is from an attorney and that legal action is being considered. Facts Mr. Lesher had an unpaid home equity account. The account was [...]
The Take-Away: A debt collector who takes or threatens legal action on a consumer debt after the statute of limitations has expired violates the FDCPA. Facts: Mr. Huertas had a credit card debt with Applied Card Bank f/k/a Cross Country Bank (“ACB”) which he failed to repay. The account was sold to Galaxy Asset Management [...]
Congress passed and the president signed the Fair Debt Collection Practices Act (FDCPA) in 1978 (Carter Administration). Congress acted to end the abuses and harassment occurring within the consumer debt collection industry. At that time, there was no perception that abuses and/or harassment was occurring within the business debt collection industry that warranted the enactment [...]
It’s (Thanksgiving Day) (Christmas Day) (Sunday), and the debt collector is calling me. Surely this is illegal?! No, it is not necessarily illegal. A debt collector may call you any day of the week including Sundays and all holidays. However, a debt collector may not call at inconvenient times. Christmas Day is not inconvenient, you [...]