Arbitration Filed Against Me..

[Nunugunu]

What is the name of your state?What is the name of your state? Co

So, I was trying to set up payment arrangements with a credit card company back in December. I wasn't working, (and have not been working since May 2004) so they couldn't hold my account any longer. They sent it off to a collection agency who contacted me a week ago. She told me I had the option of settling it or it would be sent to court. The debt is over 3,000 and I don't have that sort of money available to me right now. I offered to make arrangements with that company. No go. So I received an Arbitration saying I have 30 days to contact them or it will be sent to Judgement. My fiance is trying to get a loan to pay for this, but his credit is not the best. I'm worried about going to Judgement and being forced to pay it all out at once. I am willing to make payments towards this amount. Is that going to be possible? What are my options here. Just a little freaked out about this entire situation.

 

[Shrike1070]

Have you received any letters from a local or in-state attorney's office representing either the original creditor or this collection agency? If not, and all of this correspondence is coming from the collection agency itself, then they are full of @#$! and are trying to scare you into coming up with the money quickly. The collection agents have monthly quotas to fill and they will say and/or write anything to pressure you into giving them money. Read some of the other forums where people have been threatened by these scumbags with arrest, job loss, public humiliation, loss of medical care, etc. AHAHAHA - give me a break! Don't believe any of it...now, read on.

These people will throw out all kinds of threatening and legal sounding terms to try to scare you into giving them money: Judgement, Garnishment, Arbitration, Lawsuit, "The Last Step", etc. Unless you are receiving this from a legal body - i.e. your local court, a law firm retained by the creditor, or the sheriff - then this is all hot air.

DO NOT GIVE OUT ANY PERSONAL FINANCIAL INFORMATION - LIKE BANK ACCOUNT INFO - TO COLLECTION AGENCIES OVER THE PHONE. I found out the hard way that once you do, they can raid your accounts whenever they like, regardless of what they promised they would do over the phone. PLEASE LEARN FROM MY MISTAKE.

I'm not saying that you shouldn't try to settle your debt. All I'm saying is that you need to do it on your terms at a time and place that is comfortable for you. And do it the right way, otherwise you may get burned. First thing is that you need to get all terms for agreement from them in WRITING before you agree to any settlements or negotiations of your debt.

Maybe someone else here can chime in on this.

--S (educated the hard way in the tactics of debt collectors)

 

[seniorjudge]

What is the name of your state?What is the name of your state? Co

So, I was trying to set up payment arrangements with a credit card company back in December. I wasn't working, (and have not been working since May 2004) so they couldn't hold my account any longer. They sent it off to a collection agency who contacted me a week ago. She told me I had the option of settling it or it would be sent to court. The debt is over 3,000 and I don't have that sort of money available to me right now. I offered to make arrangements with that company. No go. So I received an Arbitration saying I have 30 days to contact them or it will be sent to Judgement. My fiance is trying to get a loan to pay for this, but his credit is not the best. I'm worried about going to Judgement and being forced to pay it all out at once. I am willing to make payments towards this amount. Is that going to be possible? What are my options here. Just a little freaked out about this entire situation.

Before you do anything else, get a validation letter:

Standard answer on expired SOL and/or validation and/or dispute letters.

SOL
http://www.bcsalliance.com/y_debt_sol.html

http://www.fair-debt-collection.com/Disputing_Collections/SoL-dispute-letter.html


Validation letter samples you can get at :
www.creditinfocenter.com
and www.creditboards.com


Disputes: You can write a letter of dispute to the three credit reporting agencies.

Go this website to find instructions and samples for how to dispute: http://www.creditinfocenter.com/creditreports/

Sometimes errors are easy to remove and sometimes they stick like glue. It is inexpensive to try and not difficult.

I am NOT a creditor-debtor lawyer; stand by for further help.

I am NOT vouching for the accuracy of these websites!

 

[Ladynred]

Unless you've gotten some OFFICIAL notice that your account is being sent for arbitration, I agree, they're blowing smoke. Even if it DOES go to arbitration, that does NOT mean its automatically a judgment -far from it. An arbitration award, by itself, is nothing more than T.P. If it DOES go to arbitration, you will get a notice, probably from the NAF, telling you what your options are.