JPM Chase Quietly Halts Suits Over Consumer Debts

[BankruptinNJ]

Most likely, Chase was caught falsifying records/affidavits for accounts that originated with companies they bought out such as Washington Mutual, First USA, Providian, and so on. When a company goes through multiple mergers, records are bound to be lost or deleted. Selling an account to a junk debt buyer does not absolve the original creditor from responsibility for any false documentation which they may have provided.

Also, it is not clear that filing lawsuits en masse against delinquent debtors is going to be a successful strategy in a new economy where there is high turnover in employment, and most people either don't own their home, or owe more than it's worth. Most people have either filed for bankruptcy, plan on filing for bankruptcy, or have nothing to lose if they don't file for bankruptcy. Either way, the judgement is never paid.

Ugh. Chase was the only creditor to sue me. They waited at least two years after I stopped paying them.

They sued and won a judgment against me. Now here's the thing. I had TWO Chase cards that I BKed. One was originally Chase, and the other was a Providian that became WaMu that became Chase.

I was never sure which one the judgment was for, because all of my cards had gone through multiple collection agencies and they tacked on lots of charges, etc. In other words, it was a real mess.

I included both cards in my bk, of course, and both were listed as Chase.

I filed in August 2010 and was discharged in November 2010. In August 2011 (a year after I filed) I received a mysterious collection agency "offer" from Turning Point Capital to settle my Washington Mutual account for $20,000! Notice that they called it "Washington Mutual" even though it was now Chase.

I'm not sure if it was the collection agency or Chase that was trying to pull that one (they probably thought I would freak if I saw Washington Mutual -- that I would think that I had forgotten to include it. Very sneaky.)

Can you imagine if I had sent them $20,000 for an account that they probably paid pennies on the dollar for? There would have been dancing and singing in that office!

I sent them a letter informing them that they were violating the permanent injunction and I would be forced to take further legal action if they contacted me again. I have not heard back.

[DYLAN150]

Jacko: What do mean by throwing in the towel? You paid them. Dell calls me 3 times a day. They also call me from phones all over the state of Washington.

[jacko]

In Aug 2008, was the first month I stopped paying on the first two creditors and the remaining through December except for Dell which I threw in the towel in March 09. In Aug 2010, I left the state to house sit and have remained since. The state I left has a 6 yr SOL and the one I reside now has a 3 yr. SOL. I assume that the 6 yr SOL applies still. I'm planning to move back in 1.5 yrs.

I don't know what state you are in, but you may be getting close to the S.O.L. and are home free. Cool. 'Hub

http://www.creditinfocenter.com/rebu...itations.shtml

[AngelinaCatHub]

I have not filed yet. Thanks to my lovely credit report, I doubt they will sue.

I don't know what state you are in, but you may be getting close to the S.O.L. and are home free. Cool. 'Hub

http://www.creditinfocenter.com/rebuild/statuteLimitations.shtml

[jacko]

I have not filed yet. Thanks to my lovely credit report, I doubt they will sue.

Have you filed? If so, by law you should not hear from them or anyone. 'Hub

[AngelinaCatHub]

I owe them over 23k from one of their cc. I stopped paying on the account over three years ago. Not a peep lately.

Have you filed? If so, by law you should not hear from them or anyone. 'Hub

[jacko]

I owe them over 23k from one of their cc. I stopped paying on the account over three years ago. Not a peep lately.

[Me2Broke]

We have two Chase cards, so far they have been very quiet with their collection process, although we are only 60 days behind at this point. I am certainly not looking forward to what may happen at 90 days, but this thread as eased my anticipation somewhat.

[catleg]

I used to have a couple of those old "signature" credit lines.
Seems like they became less common after about 2000.
Probably because then everything switched over to easy Heloc's.
But in the 80's and 90's they were "common".
I used to have one from MBNA, that I can remember.
Used to have very high limit "checking plus" over draft lines from Citi as well, basically the same thing.

[azdebtor]

Hub, this was not a credit card, only a checkbook with a $10500 line available. The rate was pegged to one of the benchmarks and I don't believe it ever rose above 10% and stayed mostly under 8%. It was the strangest credit account I ever got because unlike the unsolicited credit cards I also received in the mail (which I did take advantage of) this was only a checkbook welcoming me to my new line of credit, no questions asked. I never had contact with Chase on this account at all. Ah, I remember the good old 1990's when I had "Gold credit", bought commercial vehicles on my signature, and everyone and their brother gave away credit. I knew it would all come to an end someday.

[tobee43]

hub, yes, i had one of those, and they called them "lines of credit" with both chase and boa....neither secured by our home. one had a line of 25k the other was 60k. you had a CC, but you had a check book as well. i can't recall if i signed on the dotted line, as i have signed so many dotted lines in my lifetime i have lost track!!

[AngelinaCatHub]

Thank you Catleg for this article. This explains why Chase just in the last two weeks began calling us again themselves, instead of the collector, Allied International Credit Corp. Just today we got an offer of settlement from Chase via UPS Next Day Air offering to settle for 20% of the original debt. I have always maintained with Chase that this debt that they still call a mortgage debt is a personal unsecured line of credit and not tied to any property (there are no liens.) I received this line of credit 15+ years ago in the age of freely distributed and unsolicited credit lines, with no signature on any documents. Not until I stopped paying it did they claim that it was tied to my current property. Kind of funny that I've lived 3 different places since the account was originally opened, but they claim that the debt is always attached to the real estate that I own. I know that if they try to enforce a lien of any kind, they won't be able to produce any documents to support the filing. I'll bet these are the kinds of problems that they have found when filing some of their consumer lawsuits.

If they ever get tough and attempt to enforce such a claim, and you have 15 years of history, have them produce the paperwork that says this. I have never heard of such a line of credit. Was it a CC? If a mortgage of any kind, your signature would be there. I remember the day when I got working cards un-asked for in the mail. Most I cut up. Then due to stolen mail the government made unsolicited working cards unavailable. 'Hub

[azdebtor]

Thank you Catleg for this article. This explains why Chase just in the last two weeks began calling us again themselves, instead of the collector, Allied International Credit Corp. Just today we got an offer of settlement from Chase via UPS Next Day Air offering to settle for 20% of the original debt. I have always maintained with Chase that this debt that they still call a mortgage debt is a personal unsecured line of credit and not tied to any property (there are no liens.) I received this line of credit 15+ years ago in the age of freely distributed and unsolicited credit lines, with no signature on any documents. Not until I stopped paying it did they claim that it was tied to my current property. Kind of funny that I've lived 3 different places since the account was originally opened, but they claim that the debt is always attached to the real estate that I own. I know that if they try to enforce a lien of any kind, they won't be able to produce any documents to support the filing. I'll bet these are the kinds of problems that they have found when filing some of their consumer lawsuits.

[tobee43]

A picture is worth a thousand words

whooooooo, now that's hot!

[banca rotta]

A picture is worth a thousand words