collectors ceasing and desisting

[CPO]

I've diligently and immediately replied to every bill collector's letter with the certified, return receipt cease and desist letter recommended on these forums. Apparently this really works. They each called a few days before I received their letter and kept calling until the date they signed for my cease and desist letter. But after eight months of the phone ringing off the hook, I've now gone about ten days with zero phone calls. I posted in another thread about Mann Bracken continuing to call, but I now believe that was due to their having more than one of my accounts. I sent them a letter for each account. Now that they're all in compliance, my phone is free, my mailbox is clear, everything is smooth--and I have the feeling of impending doom.

I suppose there's nothing left but to wait in peace for judgments and garnishments, but if they do any asset checking before suing I have to assume they won't bother with me. I also presume that my junk debts will get sold and resold and that future collectors won't be so observant of the law, but after talking to a couple of lawyers and CPO, I'm confident the non-complying collectors can be sued into compliance. FYI, here's a list of the complying collectors:

Creditors Interchange
Frederick J. Hanna
Hunt and Henriques
John P. Frye
Mann Bracken
National American Credit Corp.
NCB Management Services
NCO Financial Systems
United Recovery Systems
Valentine and Kebartas
West Asset Management

Glad you have some peace in the interim.

Understand, your creditors will forward your debts to new collectors in some cases.

So, calls are bound to return, but probably not in the volume you had before.

I've had a couple of accounts with two or more collectors tied to them.

Those certified return receipt costs pile up, don't they!

Interesting info on Mann Bracken and NCO.

These were some of my worst violators, and we caught them with their own documents and recorded calls.

I've successfully sued both, although we are waiting to sign anything until after my 341 meeting. The cases are highly contingent, and we want to see what the Trustee says about them. The awards should be covered by a "wildcard" exemption.

Congrats on your victory,

CPO

[IOIOIO]

I'm chapter 7, not 13. I thought once I get a court summons (probably have to be superior court, not small claims due to the amount) I'd then do simple things to delay the process, like request a Verification of Debt and answer the complaint with a general denial. I can honestly deny owing all the fees they tack on since I believe I only owe the amount on my last cc statement. The idea is just to buy time, but spend as little time as possible doing it because I do indeed owe the money. Eventually, I wouldn't bother showing up in court since I have no rebuttal, and they can then go ahead and garnish my wages and take 25% of a very small number.

Once I secure a decent income, my motivation to file to end the garnishments goes way up. It's highly unlikely that my next real job will put me into Chapter 13 territory, so I have no real motivation to file as long as my income is so low. I have some concerns about selling possessions for living expenses. I'd like to sell some stuff, but if I sell before filing I'm afraid a trustee might want the proceeds from the sale. I believe I'm better off filing, then selling the stuff while it's covered under my exemptions.

[treehugger1]

Amazingly, the vast majority of debt collectors will stop calling you by phone once they have a cease and desist letter. Hopefully, you left it open for written communication via USPS. This way you might get some feeling for what they have up their sleeves.

I am current (under 60 days, LOL) on all my debts at the moment. Unless things improve, I expect to have 6 new judgments against me by October, and the potential for wage garnishment in November. Generally, someone has to sue you (small claims or district court) to get a judgment. If you know you owe the debt, and are not interested in disputing the amount (i.e. you know you owe the debt), you have approximately 14 - 20 days before the judgment takes effect. Then, it takes another 10 - 20 days for a creditor/collector to file a writ of garnishment. Garnishment is generally prorated from the time an employer receives the notice. So if the employer receives the notice on the 15th of th emonth, they can only garnish the amount allowed for the last 15 - 16 days of the month.

If you are still looking for time to file, you probably have a minimum of 30 - 45 days after you receive the summons before anyone can actually get a wage garnishment. In addition, most states are 'first in, first paid" on a 25% garnishment. So, if you have a very large debt to someone who has garnished your wages, the other have to wait in line, possibly for a long, long time. Eventually, the collectors realize there is no fast cash, and send you on to someone new. Just keep sending the C&D letters to whoever, and keep track of who "owns" your debt as this will be important come the day (if/when) you decide to file.

Good news! I paid off my one and only one judgment today! I also told the women who wrote the "paid in full" reciept that I fully expect they will file the appropriate paper work to void the judgment on file at the county courthouse. She said they will attend to it within a week. As I look over other possible problems in my financial future, I see the possibility of up to 8 judgments/lawsuits. So, whatever path you choose, you are not alone. In fact, as us baby-boomers reach into our mid-fifities, I think the sh*t is going to hit the fan in this country. You will not be alone.

Maybe paying off debt through judgment and garnishment is not such a bad idea if you have no real assets. Your credit is runined, but at least you are in control.

If you have some lagre debts (above the small claims amounts) in your state, creditors will have to take you to court to get a judgment. If you receive a summons look it over carefuuly, as it will include the total amount of debt (+fees, attorney fees, etc) that is included in the suit. If you know you owe the debt, and the fees seem reasonable, there is probbaly no reason to go to court, unless you hope the judge will assign an independent mediator to work toward a solution. In such a case, you are free to negotiate with the collector and mediator. Offer only that which you can truly afford to pay per month (after factoring 25%garnishment). If you have run your numbers for a chapter 13 BK, and know your approximate percentage payback, offer this divided by 60 as a reasonable payment. What the heck, if you do decide to file, the creditor/collector will only get approximately this percent, and the y may have to wait untilt he trustee has paid himself and your attorney fees included in the 13. It could be a year or two before th ecreditor/collector actually sees any money in a 13, so they migh be willing to work out a similar payment plan that gives them immediate payments.

Feel free to PM me with any questions.

[lrprn]

I've diligently and immediately replied to every bill collector's letter with the certified, return receipt cease and desist letter recommended on these forums. Apparently this really works.

Glad to know you have peace and quiet at last, IO! Thanks for the feedback - great to know sending these cease-and-desist letters really has worked for you!

[IOIOIO]

I've diligently and immediately replied to every bill collector's letter with the certified, return receipt cease and desist letter recommended on these forums. Apparently this really works. They each called a few days before I received their letter and kept calling until the date they signed for my cease and desist letter. But after eight months of the phone ringing off the hook, I've now gone about ten days with zero phone calls. I posted in another thread about Mann Bracken continuing to call, but I now believe that was due to their having more than one of my accounts. I sent them a letter for each account. Now that they're all in compliance, my phone is free, my mailbox is clear, everything is smooth--and I have the feeling of impending doom.

I suppose there's nothing left but to wait in peace for judgments and garnishments, but if they do any asset checking before suing I have to assume they won't bother with me. I also presume that my junk debts will get sold and resold and that future collectors won't be so observant of the law, but after talking to a couple of lawyers and CPO, I'm confident the non-complying collectors can be sued into compliance. FYI, here's a list of the complying collectors:

Creditors Interchange
Frederick J. Hanna
Hunt and Henriques
John P. Frye
Mann Bracken
National American Credit Corp.
NCB Management Services
NCO Financial Systems
United Recovery Systems
Valentine and Kebartas
West Asset Management