Hounded on 18 yr. old credit card debt

[Zebiak]

I used to have a credit card through a Hawaiin bank, which I stopped using 18 years ago. I lost my job, was having financial problems, and I defaulted. I received a couple of letters from the bank over the years and they sent me a 1099-2003 last year. A collection company bought my debt and is chasing me with letters. The agency claims the debt is over $4,000 but they say they will settle for half right now or I can choose some other payment plan. I don't want to pay them anything.

I now live in California.

What should I do?

 

[Veronica1228]

I used to have a credit card through a Hawaiin bank, which I stopped using 18 years ago. I lost my job, was having financial problems, and I defaulted. I received a couple of letters from the bank over the years and they sent me a 1099-2003 last year. A collection company bought my debt and is chasing me with letters. The agency claims the debt is over $4,000 but they say they will settle for half right now or I can choose some other payment plan. I don't want to pay them anything.

I now live in California.

What should I do?

When was the last time you made a payment?

 

[Zebiak]

No payments since 1987

No payments since 1987.

 

[Veronica1228]

No payments since 1987.

Don't pay them a thing. The SOL has run out on that debt. Send them a letter by return receipt certified mail asking them to cease contacting you regarding this debt and that should do it. If you get a notice about them seeking a judgement make sure you do not ignore it, but otherwise you should be okay.

 

[howamidoing]

Don't pay them a thing. The SOL has run out on that debt. Send them a letter by return receipt certified mail asking them to cease contacting you regarding this debt and that should do it. If you get a notice about them seeking a judgement make sure you do not ignore it, but otherwise you should be okay.

She's right...It's always best to get out of paying credit that was extended in good faith...It's the American way...apparently.

 

[Veronica1228]

She's right...It's always best to get out of paying credit that was extended in good faith...It's the American way...apparently.

I work at a bank so I don't like it anymore than you do, but legally the collection agency has no recourse. What can you do?

 

[howamidoing]

I work at a bank so I don't like it anymore than you do, but legally the collection agency has no recourse. What can you do?

Well OP can always honor their word and pay the debt. Its really that easy. Since the SOL is expired maybe Op could make payment arrangements,they know they arent going to get anything as it stands so they MAY be more willing to settle for payments, or even take a lower amount to settle the debt. Just my opinion though.

 

[Veronica1228]

Well OP can always honor their word and pay the debt. Its really that easy. Since the SOL is expired maybe Op could make payment arrangements,they know they arent going to get anything as it stands so they MAY be more willing to settle for payments, or even take a lower amount to settle the debt. Just my opinion though.

That's the trap though. The OP makes a small payment and, snap, the SOL clock starts ticking all over again. I agree that it would be nice if everyone would take responsibility for their own actions, but I am in enough trouble for offering too many opinions as it is.

Just the facts maam, just the facts.

 

[Zebiak]

Thanks both of you for your thoughts and help. Veronica, on this "Cease contact" letter that you mentioned, should I say anything else? For example, should I add that the SOL has run out?

 

[Veronica1228]

Thanks both of you for your thoughts and help. Veronica, on this "Cease contact" letter that you mentioned, should I say anything else? For example, should I add that the SOL has run out?

Absolutely. That should be the main point of your letter.

 

[howamidoing]

Thanks both of you for your thoughts and help. Veronica, on this "Cease contact" letter that you mentioned, should I say anything else? For example, should I add that the SOL has run out?

If you insist on going that route, I have provided a link that is a template for the letter, you just fill in your information.
http://www.debt-n-credit-letters.com/SoL-dispute-letter.html

 

[Zebiak]

Thanks, that letter will send them packing . . . I hope.

 

[racer72]

Don't listen to the forum troll howamidoing. You do not legally or morally owe the debt. When you received the 1099 from the bank, the debt ceased to exist except for bottom feeding collection agencies. You even paid income taxes on the debt. Send a cease and desist and you will probably never hear from them again. Just hope they don't sell the debt to someone else.

 

[Ladynred]

That letter you were linked to is SO WRONG ! Part of is says:

Be advised that any contact other than allowed by law is considered harassment and can result in you being personally fined up to $1,000 per incident

That is absolutely FALSE. FDCPA violations are a MAX of $1000 PER ACTION - that means no matter how many violations they commit, you can still only get a MAX of $1000 in a lawsuit for those violations.

Use this one instead - its ACCURATE and much more effective:
http://whychat.5u.com/nottoca.html

 

[howamidoing]

Forum troll? That is hilarious....Hello, I said template...It was to give her an IDEA of what to say. If SHE would do her OWN research SHE would know what to say. If you think that you dont have to morally pay a debt you owe that is your opinion, you have a right to that. So do I ....That is why I said IN MY OPINION! As far as bottom feeding collection agents..I agree they can be a pain. However, if society would be responsible for their own actions, there would be no NEED for them...Think about that.