Capital One Suing – Negotiate with CapOne or Contact Attorney?
Hello, I have just received a letter from an attorney in the state of Michigan, I now live in Florida, that says a lawsuit is being filed against me in district court for 1200$ owed to capital one. I also have 3 other capital one credit cards that I have also not been able to pay for a year that will probably be going to a lawsuit the same as this one soon.
Can I still contact Capital One directly to settle for a lesser amount and make payments to them, or now that the lawsuit has been filed (if it has) must I negotiate with the attorney on that debt, but negotiate with Capital One for the other 3 credit cards?
I have been considering bankruptcy, but if I can get on some payment plan for the debts I may be able to pay them off eventually if they are willing to do this.
What do I do about the one I just got the letter saying they were filing the lawsuit against me, and I would be receiving a summons soon? And also what should I do about the other 3 credit card bills (totaling about 3000$) as well as a few others I have that are not in a lawsuit yet, but will be. I truly appreciate any help and look forward to your response. Thank you.
Capital One lawsuit, can I still negotiate with Capital One, or must I contact their attorney? Also, what to do about the other debts?
—Tracy
Who is the attorney firm contacting you about your Capital One account from Michigan? Did you receive the letter direct at your Florida address, or was it forwarded to you after having been sent to an address in Michigan?
Capital One Debt Sent to a Law Firm for Collection Means Settling with the Attorney Debt Collector
It is certainly possible to contact the attorney and arrange for a lump sum pay off. If you don’t reach a dollar amount you can fund, it is possible to stretch the settlement out over a few payments. Never commit to a payment plan you are not confident you can complete.
Monthly payment arrangements you can afford until the balance is paid off are also an option.
How long have you lived in Florida? I ask because FL has some pretty strong consumer protection laws that would prevent your wages being garnished. If you cannot afford to do much right now, perhaps you should not commit to anything until your situation stabilizes.
Resolve Your Past Due Capital One Accounts
Can you come up with about half of the current balances? Fifty percent may be where you land on the Capital One accounts after negotiating your settlement. Your other accounts you mentioned having may settle for less than Capital One.
Your targets for savings in settlement, and timing your offers based on your available money, is something of a science. It can depend on who has the accounts, how long they have had them and a few other things.
How long has it been since you last made a payment on these debts? Your answer may help to determine your next step.
I would not assume that you will be sued on all Capital One accounts, or any others. If you would like to discuss your concerns and your options to resolve the debts one on one, you can call me at 800-939-8357, choose option 2. You can also submit my consult request form. Consults are free, so do not hesitate to take me up on the offer.
You can also post answers to my above questions in a comment reply below. I will respond with more details once I have some of that information.
Anyone looking to resolve Capital One debt that is in collections is welcome to post questions and concerns below for feedback.
About Michael BoveeMichael started CRN in 2004 with a mission to provide people in need with detailed debt and credit help and education. Michael has participated as an expert panelist in federal consumer protection rule making, collaborated on state law changes governing debt consolidation, has worked as an expert witness in court matters related to the debt relief industry. He is available to speak with you about your financial struggle and helps people resolve their debt problems daily.
I also have a Capital One collection. I am due to go to court on November 4th 2016. I owe $5500. Had tried to work something out with Capital One(this was beginning of 2015) they had nothing to offer except I could miss a payment without a fee but needed to pay 2 payments the next month. Obviously they did not wan to understand the situation. My husband filed bankruptcy recently but we were told better if I didn’t and try to pay the debts I owe. I am still up to date with 2 other Capital one cards and other credit cards are coming down mostly because of working overtime for the last six months but we are just getting by keeping up trying to get out of debt. I could make an arrangement of @0 a week for 3 years to pay half the debt (this is as much as I can do). Should I contact the attorney to has the debt and offer this before the court date of next week?
There is little hope of getting the collection attorney to agree to accept $20 a week. They would just rather get a judgment against you first, and then try to collect after that.
I’m sorry I have been reading as much as possible about this because I cannot afford an attorney. So will this first court meeting give a judgement and if so what does that mean? Thank you for your help.
Check out this much more thorough post and comment discussion about dealing with active collection lawsuits.
Hi. Im getting sued by a collection law firm on behalf of Capital One. I owe the money. The amount is $20,000. Im not in a position to make them payments of $350 a month. I have other debts floating out there. Should I answer summons and go to court. Even though they will probably get a judgement against me . I make less than $215.00 a week. Any suggestions. Thznk you Lynn.
I would file a general denial if it were. If only to buy time to make informed decisions later.
How much do all of your other debts add up to?
Have you looked in to filing chapter 7 bankruptcy?
Hi whatever happened with this? Thanks
I live in Dallas TX and just was served paperwork that I need to answer by Monday. The debt is $8,300 to capital one who hired moss law firm! I have no assets and am trying hard not to file bankrupcy. I am married with 3 children and have had a run of bad luck. My wife is a nail tech part time and doesn’t make much. I work part time at a church for a housing allowance only that is paid directly to the landlord not to me. I am renting an apartment, upside down in a car that we pay monthly on and trying to figure out the best course of action. Should I write the court a reply and then reach out to the law firm who served me papers? I can barely afford $50 monthly, if that. Any advice is greatly appreciated.
Are there other debts besides this one Capital One is suing for? If so, how much does all that add up to?
I would try to avoid bankruptcy over a debt this small too. You can circle back and settle it for, say 5k, down the line. But if there are other debts, and you can put this and those behind you for 1500-ish (including getting rid of the underwater car), it can provide a fresh start.
Thank you for the response. No others, it is the only debt on one card at $8,300 total. I just don’t get how to settle for 5k or any other amount if I have no way of getting that kind of money together and can only afford $50 monthly as a pay plan. Will they accept that? do you have a place that have any kinds of samples of reply letters to the court? So far mine is open and honest as i don’t have a steady income and am looking for employment.
You cannot settle it today without the cash resources. But you can circle back and settle with them later on, and for less, even after a judgment is entered in court.
How you answer the lawsuit will depend on your goal. Watch this video if you want to use a strategy to buy time and prevent a judgment.
If your answer to the court is more of the “hat in hand” approach, you are basically helping the attorney get the judgment against you. But sometimes it just is what it is.
You may qualify for low income legal aid. Check around your area for any of those resources and ask for help.
If i hired an attorney in this case, does that mean that i’m hiring an experienced negotiator on my behalf or are there more benefits? do they block the judgements for getting things garnished etc? what are the best and worst case scenarios?
Check out this post about defending a lawsuit to negotiate and settle. Read deep into the comments in order to get a full impression of what you can do at this point, either by yourself, or with your own debt collection defense attorney.
Not all attorneys are great at collection defense. And not all attorneys are skilled negotiators. But there are some that are both. Would you like me to email you some in the Dallas area?
Hi I have a summons that was taped to my door on Oct 8, and a week later I received one in the Mail. I am in NYS can I still work with Capital one or do I have to appear in court and settle it with the lawyer I rather not have to go to court and if I can work out a payment plan it would be great. I am concerned about them garnishing my bank account, it is a joint account and household bill account my husband will kill me if this happens . My credit is my credit debt and I like to try to take care of it on my own. I do odds and end jobs and try to do what I can . If you could advise me that would be greatly appreciated. My debt amount for this account if. $1245.47.
Check out this post for more about what to do when you are sued if you want to settle.
You will have to work this out with the collection attorney that Capital One sent your account to. If you cannot come up with a plan to settle for a lump sum, and do not want to defend the lawsuit to buy time, you can often set up a payment plan.
I have debt with capital one. I was told from a family member that they found online that I have a court date this Wednesday in small claims for $1400. I am a stay at home mom and I can’t afford to pay off the debt at this time. My husband lost his job last year and we are still playing catch up on our bills. I have some more credit card debt as well on top of this. This debt was accumulated before we were married. Will this affect him now as well. I’m wondering if I’m better off just filing for bankruptcy. Please let me know your thoughts.
I also was never served papers for this court date. So I’m not sure if I should go or not.
Generally speaking, you do have to be served and/or noticed of the court date. But talk things over with an experienced debt collection defense attorney in your state for more details about showing up, or not showing up in court. I can email you a list of attorneys that help defend consumers from debt collectors if you like? What state are you in?
How much do all of your debts add up to?
For a while I have been harassed by Capital One for debt on a card that I do not have anymore.
I am supposed to appear at an arbitration for a lawsuit – a case of fraud, I believe, because it is debt that I do not really owe.
My card was reported as lost and stolen at least a couple of years ago, but instead of the card being cancelled, it has remained open, and I have been asked for money and fees. I could not resolve this over the phone.
I appeared at the first court date for a hearing, and the credit card lawyer did not show up, so the case was adjourned.
If the lawyer from the credit card company shows up at the second date, what is the best way to handle the situation?
I am a victim of domestic violence on public assistance, and this is causing me great distress.
I would like the case to be dismissed with prejudice, so that they cannot continue to harass me.
Should I ask Legal Aid lawyer to help me?
Thank you very much for your advice,
I would ask for legal aid assistance. I would also show up to court and continue to assert the ID theft issue. I would also suggest you file a debt collection complaint against Capital One with the CFPB.
Hello Michael,
I had financial hardship the last 2 yrs and going on due to illness and now I cannot afford any cc payment. I’ve talked to the creditor Chase Capital One Discovery BoFA etc but they won’t budge because I still current on my payment as of now.
I had so many cc and store cc total 35K, IRS 10K and personal loan 7K ( Cash n Go)
I have a house that has an equity of 80K and I live in CA where the homestead exampt is $75K for single and I am single.
I’ve talked to several BK attorneys and its kind like too risky to file chapter 7, and I am not eligible for chapter 13 and cannot afford it.
Seems I have no way out because I cannot make lumpsum payment as well even the principl was reduced.
Can you please help? Thanks.
Read through my original article series about settling with your banks. You are way too early to be talking with them about this.
I am having problems with them too. My position was eliminated in June and I just started a new job. I had my debit card stolen and had to make alternative payment arrangements out of a prepaid checking account that I didnt know wasn’t accepted at Cap 1. Nobody bothered to call me when the payment was returned. So, instead they closed my accounts!! I am livid.
I’m in the process of selling my father’s home that I inherited along with my 2 other siblings & discovered that the title company will not issue title insurance to the buyer until all judgments and tax liens have been satisfied. I have a Capital One and Discover Card judgment. Capital One judgment was recorded in Dec 2011 with $900 principal, $737+ interest / $234+ attorney fees with an whopping nterest rate of 24.9%.
I no longer have the paperwork from back then. The law firm per court records appear to be Kramer & Frank in St. Louis MO.
I’m currently separated from my wife & live on very small disability. In addition to this debt, I have major tax liens & no other financial assets. Although there will be proceeds from the sale of my father’s house it is not enough to cover all the debts / liens. Any feedback on how best to address Capital one debt?
Thanks
I would look to negotiate the lowest pay off possible on the judgment. Check out this article for more on that: https://consumerrecoverynetwork.com/question/can-you-settle-credit-card-judgements-like-other-debts-stressed/
The process is going to take some time in order for the judgment to be updated as satisfied with the court, which is what title will want to see.
You are also up against the concerns outlined in this video about trying to settle a judgment when selling or buying.
Thanks for the feedback. I have reviewed both the article & the video.
Can you help in negotiations?
The credit card judgments (Capital One & Discover) are with the same attorney firm.
I saw the consult request you sent in. I emailed you asking for a time that works for us to speak tomorrow.
Hi, I received a summons to serve an answer within 30 days from Rubin and Rothman LLC who is representing Capital One Bank (Plaintiff). I was served at my home on 8/12/2016. I have called Rubin and Rothman and left several messages to call me back but have not heard back from them. The Complaint says I failed to make payment $1747.32. I know I have owed Capital one money from a credit card I had with them from 2012-2013. I paid up until 2014I haven’t made a payment since then. At the time I only owed $1400 or so ( not sure but credit limit was $1500) .
I have almost next to nothing to offer them as a settlement. I live on $300 every two weeks with two kids (we stay at my mothers house) I am a single mom. How should I proceed? Should I try and settle even though all I could realistically do is make payments of $25 a month with nothing down as a lump sum. Or should I fight this in court? They did have a complaint and summons filed in March 2016 which they had discontinued ( as I see filed on NYS court file system) on 6/23/2016… This was filed in Erie county Ny where I used to live before I had to move in with my mom in 2015, due to unemployment. I now reside in Niagara county which is where they filed the new and current summons.The summons said I do not need to go to court to file an answer… I don’t understand what that means?? Please help!
I would encouraging you to connect with a low income legal aid office in your area about how to manage the situation from here. Based on what you shared you would qualify for help.
You can set up payments. Rubin and Rothman will want more than $25 a month, but would take it when they realize you meet all exemptions and it is the only way they will get anything. But don’t do anything like that until you talk with that legal aid office.
Hi Michael, I messaged you yesterday and wanted to let you know what’ s in the envelope I’ve received from the “debt collector” who calls themself a law firm. It’s a few statements with a lot of blank pages in between to make it look thicker. They are statements starting when I already had a big balance on the card that was close to the limit. They couldn’t provide me with the page where I signed up for the card, my signature page agreement to the terms, their standing in the interest of this card, the credit card app. I supposedly signed, the terms of the contract, or even proof that they’re allowed to collect debt in my state. I guess they think that sending me a few statements is enough. I heard that it’s not. What should I do next?
Talk with an experienced debt collection defense attorney in your state. You may have the wrong impression of what to expect from your discovery requests.
I am in California. Is there a specific amount of info that they are supposed to provide?
There are rules of evidence that are very stringent. Being in court is the best place to hold a debt collector or creditors accountable to prove their case. But it is a formal process that you have to follow. You will want to know your rules of civil procedure.
HI MIchael, I filed bankruptcy in 2013 only because of a horrible divorce that I was forced into where I had to pay for all of my attorney’s fees with my credit cards (which were at $0 and my credit score was 800…how I miss those days..sigh :-((
Anyway, right after my bankruptcy, Capital One offered me a credit card. I didn’t go looking for it, they offered it to me with a $3,000 limit knowing that I had a bankruptcy (or assuming they knew). I had to default on it about 18 months ago because of child support payments that I was not receiving but should’ve been receiving! They now are threatening me with their “intent to sue letter.”
THEY took the chance and offered me a credit card. I didn’t ask for it. I paid it as much as I could and I only stopped because it was impossible to keep up with their late fees (which they would assess even if the payment arrived the DAY it was due!) and my child support was dissipated.
What should I do? I have asked them to provide me with the records to stall and I just got an envelope that I have not opened yet…I’m scared. Do I have a chance in court since they offered me the card after a bankruptcy? I don’t have assets, only a little car. Thanks.
BTW: It’s this Hunt & Henriques place trying to sue me who don’t even sound like lawyers.
Check out my video about paying or settling with Hunt and Henriques.
The larger the debt collector operation, the more likely there are tons of debt collectors being supervised by a small amount of attorneys.
There is no shot at arguing its their fault for giving you the credit card.
Assume you were able to settle with Capital One for half. How long will it take you to raise $1500?
I’d be able to manage that if my ex-husband would come to date with his child support It is court ordered and he’s behind pretty much the same amount as I owe them. Do you think I could show them proof that he owes the money to me and they could go after HIM instead?!
No chance they will go after your ex and not you.
Also please note I live in a house my mom owns . The only asset I have is my 6 year old car which is paid for
Debt collectors generally want money and do not chase after personal property.
Hello I have about 17000 in credit card debt . I can’t afford to pay any more . Concerned Capitol one will sue me. Owe them 4000. Owe navy fed around 11000 on 2 cards and overdraft credit line. I’m worried they can take my car. I live in pa . Please advise.
Fill in the “talk to Michael” form in the right column on this page so we can schedule a time to connect on the phone Susan. I can ask you a few questions that, when answered, will allow me to offer you actionable feedback.
I was served a notice that legal action has been filed against me via certified mail on 8/11/16. The original creditor is Capital One and the law firm is Fenton & McGarvey. I have tried to research my options and know the worst thing to do is ignore it, but I don’t know which option is the best one from here. I was originally going to answer the complaint and neither confirm nor deny the amount owed is correct because while I am aware of outstanding debt with Capital One, they did not include an account number, contract or account statement with the complaint – only an affidavit from a Capital One employee. However, I also found an article that says it is possible to try to stop the lawsuit by contacting the law firm and attempting to settle. Is that even a real possibility? If I call them does that mean I agree that the amount shown on the complaint is what I owe? If during the course of the telephone conversation they tell me the account number do I then lose my defense I listed above? I just don’t want to make things worse. Please advise. Thanks!
I also have a second Capital One account that I received a letter from the same law firm about. This one shows the balance due as $1835. It is a regular collection notice, not a legal complaint. On this account I did set up a payment arrangements after the account was closed for what I think was six months of auto-deductions from my checking account. After that time I was supposed to make another arrangement for the rest but that did not happen. I don’t know if I should call about that one now before it is sent to the court system, or whether I should wait and see what happens with the other account that has already gone. I’m not sure how much of a payment I can commit to without knowing what I will have to pay on the other account.
If the same law firm has both Capital One accounts I would talk to them about a way to resolve them both, and at the same time.
You can call and discuss settling with the attorney for Capital One without that being an admission. You do not lose any defenses if you negotiate prior to court or filing an answer. You can mistakenly give details that will harm the deal you can get, but that would apply later too.
I called the law firm and was told that I can either pay a lump sum on both accounts and they would give me a 15% discount on the account that has not been sent to court yet and a 20% discount on the one that has but that amount includes a fee of $97.50 for the paperwork they have already filed with the court. I was told the other option is to accept judgement against me and make payments on the full amount of both. I asked what the benefit of that was as opposed to letting it go through the court system since as far as I can tell I am basically only saving them the trouble of going to court and was told that if I already had a payment plan in place I could avoid having my wages garnished. I was also told I could pay a lump sum on one and make payments on another if I wanted to, but that I would still be accepting judgement against me. There is a little to no chance that I could come up with a lump sum to cover either of them at this time. Is it better to set up a payment plan now, or should I answer the summons and try to save up the amount owed before a judgement has been made? Or is there another option that you know about? Also how likely is it that they would garnish my wages if I wait until a judgement has been made? Will I have the option to set up payments before they go straight to garnishing my wages?
If it were me I would defend the lawsuit and look at saving up as much as I can to get a settlement, but for less than they are talking about now (closer to 50% is what I would be shooting for). I may work with an experienced debt collection defense attorney.
If you can set up a payment plan now and confess or stipulate to a judgment, you can set up a payment plan later too.
People that try to resolve a judgment debt proactively can typically prevent wage garnishment before they even think about doing the paperwork on it.
That is so helpful. Thank you very much!
I have 2 capital one debts
one is for 452.00 dollars and the other one is for 438.00 dollars
how likely is it that Capital one will sue ?
For the last few years it has been just as likely for Capital One to sue over $500 as they would over $5,000. Capital One sues over credit card debts more than any other bank, and by a huge margin.
Capital One sued me back in 2001 but they filed in Virginia instead of in California. When I went into court to protest, the judge would not give me enough time to find an attorney and they got a judgment against me. I refused to pay the debt and in 2007 it may have been dropped. They sued thousands of former card holders and were counter sued in a class action suit under California law since Californians could not respond to a judgement they filed in a Virginia court.
Its been 15 years and I can no longer work.
Would this judgement be still against me ?
Look in the records of the court where the judgment was entered and see if it is still active. Let me know what you find and we can go from there.
Hi Michael,
I live in Hawaii and just found out I have a second ex-parte for my unpaid balance from 2014 of $1300. I never got served and I only found out while searching online non-criminal cases filed against me. I can afford 50% of it at this point in time and would like to just settle it, I don’t have time to go to court. What should I do?
Call the collection law firm that handled the case and negotiate a lump sum pay off. Be sire to get the deal in writing before you pay it.
While recently trying to take out a loan to make repairs to my home, I found out that I have a judgement on it from Capitol One Credit Card for approx. $6500., $600. Court costs and 11 percent interest. This was from 2007, in the state of Florida. Is there a way to settle this for any less? As paying them off won’t leave me anything to repair my home with. I’ve heard that Capitol One is difficult to work with, is this true? Any tips would be helpful. Please.& Thank You.
Capital One is tough to negotiate with, and a judgment can make it tougher.
How soon until you can pull 50% of the balance together?
do you have a list of debt relief attorneys in az that might be able to help with a summons that I received from capital one?
Get in touch with one of the guys I sent you. If you are too far from where they serve clients ask for a referral to someone closer.
Hi Michael,
Capital One has had a judgement against me since 2011 for $9099.00 and put a lien against me. They are now having me come in for a deposition on July 15th. The last time I provided them financial information I was working temp jobs. I now have a permanent job and my fear is having my wages garnished. I make $34k and although I’m very frugal a garnishment would barely allow me to live once all other bills are paid. I have a 17 year old car and had hoped to try to get a newer one within a year but need to deal with Capital One. Bankruptcy would not really make the most sense but I am looking into it. Would you suggest trying to negotiate a settlement with them? The attorney’s are Pollack & Rosen, if you have any familiarity with them. Thank you for any advice or guidance you can provide.
You may be exempt from garnishment, or perhaps partially. If you can establish an exemption Pollack and Rosen may be more flexible in negotiating a lump sum payoff with you.
How long until you can raise 50% of what you owe today?
Hi Michael:
I recently got used by fraudsters that resulted in me having $20K on my Cap credit card. I do not have the means to pay the entire amount. Last payment date was in February 2016. I used to be on top of my credit until this happened. I have other debts that I am dealing with 8K in student loans and about 2K on another credit card. Capital One has been calling almost everyday but since I dont have any solutions to offer, I refuse to answer. What do I do? Do I wait till its time to ask for a settlement? How much will Capital One be willing to allow me to settle for? Thanks very much.
There may be credit card fraud angles to pursue as part of the negotiations with Capital One.
Call me at 800-939-8357, ext 2, and I will dig into more details and be better able to offer feedback.
Hello,
I have two accounts with Capital One for which the last payments were made between October-November, 2015. One account totals approximately $3,500 and the other $2,500. My husband also has two Capital One accounts, totaling about $2,500 each and with the last payments being made in October 2015 as well. All four accounts have been, or are very close to being charged off. For one of my husband’s accounts, it has been placed with Alliance One. For my account with the $3,500 balance, I have received a phone call and letter this week from Capital One Services, LLC Recoveries Department to try to set up something.
All of our credit cards are either past due or charged off in the last 6 months due to late payments and totals about $17,000 (other banks include Merrick, Barclay’s, and Amazon). We do have two other store cards which are current. We both have a lot of student loan debt which is current, but I am looking at a TPD discharge due to disability; we just have to weigh the tax consequences. We received a chapter 7 discharge in 2012 and are not interested in filing another bankruptcy (I know we do not qualify for Chapter 7 again for a few years anyway, but do not want to file Chapter 13 either). What we would like to do is restart monthly payments again and avoid a lawsuit since our financial situation has stabilized.
My question is, will Capital One allow us to go back on a monthly payment plan for the cards that have not been assigned to a third party? Second, can you recommend a debt management/negotiation attorney in Pennsylvania (Philadelphia metro region) that will help us in negotiating the debts for monthly payments? We do not have disposable income for lump sums at this time.
Thank you.
You typically cannot start making normal monthly payments to Capital One after they charge off the debt. They may not allow you to structure the affordable payments you need when accounts are with a collection agency, but may when you are still working with the Capital One Recovery Department.
I encourage people to settle debts for less than the balance owed once the accounts go unpaid as long as yours have. Your credit will typically stay damaged for longer if you may long term monthly payments on charged off accounts, where settling will allow you to bounce back years quicker.
Can you raise money to settle the debts with Capital One and Alliance One? If you could only do 2 accounts, you may want to choose the person who has the best shot of bouncing back (credit wise) the quickest.
You do not need an attorney to help you set up monthly payments. There are some great consumer law attorneys in Philadelphia, and I will email you some contact details, but they are going to be helpful if collection escalate to the courts, which you are trying to avoid.
I’m so glad that I came across your page! My husband received a civil complaint from Capital One for $2383.97. The Law offices of Hayt, Hayt, & Landau are representing Capital One. The court date is July 7th. I’m beside myself trying to figure out the best option for our family. We are paycheck to paycheck. We are behind on all bills. We don’t receive a tax refund because the government takes it from school loans. His wages are already being garnished for the same school loans. We have a large amount of credit card debt, medical debt, school debt….you make it, we have a debt to it. We pick and choose which bills to pay every month by which has the shut off notice. We can just never make ends meet. We have tossed around the idea of bankruptcy but are afraid of the affects on us purchasing a home in the future. What are your thoughts? I’m terrified of having our account frozen because of this lawsuit. We need a light at the end of the tunnel. We are located in Northeastern PA. Thank you for your time!
You are not going to be able to get a home loan with an unpaid judgment either (or even unpaid collection accounts).
Watch my video about the pros and cons of bankruptcy. Talk to a bankruptcy attorney about chapter 7. You may be able to accomplish your home ownership goals quicker and more affordably after filing bankruptcy, rather than struggling to avoid it.
Thank you so much for your insight! Is there anyone that you would recommend in our area to start taking action? We live in Weatherly, PA…about 30 minutes from the wilkesbarre/Scranton area.
Check out my article about how to find your bankruptcy attorney. There are resources to help you in the article.
I think I will consider doing just that Much appreciated.
On a side note I realize many people’s situations on here are much worse than mine and I have to commend you Michael for the information and community resource that allows people to feel a little less stressed when dealing with debt. Great work!
Appreciated!
Hello, i am being sued by a lawyer collecting for Capital One. I previously lived in Michigan when I used the card, however I have lived in Chicago for 2 years. I think they will attempt to serve my patents home where I lived. Would I have a valid defense for lack of personal jurisdiction? I realize Capital One could just sue me in Chicago but as to the MI law suit could you offer any direction? Thanks. Email works best if possible. Thanks again.
You will have a defense based on living in a different state. You are right to assume they will sue you in Chicago. Do you want to prevent that?
Yes. The amount is around $1100.00. The irony is that I do have a valid defense as I am fairly certain I know a family member opened the card under my name. No payments were made on the card and the I never received an email pertaining to the card. That family member now lives in Pakistan and also stile money from our household. I called Jeff Weber at Weber Oclese the debt lawfirm collecting for cap one in the hopes of paying 600 or less. I have not heard back. Any thoughts? Thanks.
I think you have a good shot of settling for half. But I wonder if you should? You could file a police report and start the ID theft process at http://www.idtheft.gov and likely get this put behind you and off your credit report too.
You would be throwing a family member under the bus, but not really… if they are out of country.
I would be proactive in reaching out to them and communicate the ID theft and the not ins state issue. No need to be anything other than upfront given the situation and your current goal.
Thanks for the suggestion, michael. i would like to resolve this matter quickly too. I know for some, 1200 aint much for them, but it is for me especially im living in a 3rd world country at the moment. But, wouldnt paying it off right away be easier instead of going to all the trouble to file complaints and such?
Thank you again.
You would think, but sometimes you get where your going in better shape by taking a detour.
You could start off with good faith negotiations if you like. I prefer that as well. But I would definitely have a problem with being sued while out of the country.
Hello. The firm that handled the case is blitt & gaines pc.. What would you suggest i do? I can pay the whole amount but it would take sometime to raise.
Thank you.
I am going to suggest you file a debt collection complaint against Blitt and Gaines with the CFPB. If you have a shot at getting a better outcome, or the judgment that they say they served you for when you were out of country, it would be by getting in touch with the law firm through a federal agency that takes debt collection seriously. Read that article about filing the complaint. Follow through with a detailed complaint with the CFPB where you outline all of the time lines, and finding out about all of this years later.
Let me know what happens with that.
$1274.34
Its in illinois back in oct-nov 2009. I was already in asia August 2009.
TIA.
It can be tough to try to unring the judgment bell this many years later, even when sued while out of the country. I know of a few states where it is worth the effort to try, but Illinois is not one of them. And the cost for trying on a smaller debt like this can be prohibitive.
One more question and I can make some suggestions. Who is the debt collection law firm that handled the case back then, and who has it now if different (and if you know)?
Hi Michael.
I have already have an ex parte judgement from capone last 2009 amounting to 1270.34. I was only aware of this judgement this week. I Have been living in asia since 2009 too. . Been unemployed for a couple of years and now is just when things are starting to pick up. I would like to settle that debt. So contacting the law firm after all these years would be the way to go? Would they still settle for a certain amount? Times are tough here especially when Im not earning in US$.
Thanks in advance.
How much is the judgment for? What state is it in?
Hello, Michael.
I have been sued by Capital One for a debt of $1660 for unpaid credit card. The suit is being represented by Blatt, Hasenmiller, Leibsker, & Mooore (attorney for plaintiff). I currently am in a situation where I have very meager income (Child Support under $300/mo) and I am Stay at Home Mom that is about to be swallowing in Student Loan debt as well. I own a home in my name only and although my husband is currently employed, he does not earn high wages. (Note: we do not have joint bank accounts and his name is Not on the mortgage). I have other debts that have gone unpaid due to lack of employment, medical issues last year with my daughter, issues w/my child who has special needs which have not allowed me to work outside of the home.
Here is the deal. I have received help from my Mom recently on my mortgage and we are barely staying afloat. Total credit card debt is truly under 10k and I don’t ideally want to file bankruptcy at this time because I don’t want to lose my home. I also don’t want a lien placed on my home.
Because I am scheduled to appear in court next week, would it be wise to contact the Plaintiff attorney today and talk to them about settling the case. I don’t have a lot to pay at this time, but could likely work out $100/mo. We are filing taxes late, so I hope to receive income from that which also can help pay the debt. AND when I go to court, what should I state in relation to wanting to settle this case w/o a judgement on my credit report?
You can often set up monthly payments when being sued. Call the collection law firm and talk to them about your options for that. There are reasons to avoid the monthly payments if you can. Read my post about settling when sued for more about what a consent or stipulation to judgment means for you.
Im getting sued by Capital One, for $2000, im in illinois. All they have so far is a signed affidavit saying i owe the amount. No other exhibits or proof attached to the claim. If i file to defend and contest the suit and it goes to trial, will the affiant have to fly in from virginia and testify? Would it be worth capitalone to do that. Will law firm be more likely to settle for less?
The collection attorney is willing to settle for less, but it will be a matter of how low you can get them to go.
As far as Capital One having a witness show up, yes, they do that. Last I knew, Capital One would schedule many of their cases for same day, so that the witness could handle a bunch of them all at once. This was in Cook county.
Is a signed affidavit enough to get a judgement against me, even if affiant testifies? I noticed on the affidavit there is no account number, it shows XXXXXXXX, ect. Also it does not show any time lines, when account was opened, closed, defaulted on, no statements, or explanation of how amount was calculated or accrued. To me this a weak burden of proof, what do you think? Do you think capitalone has more documentation that hasnt beed presented or submitted on the complaint? What is the likelihood capitalone has more documentation to prove their case against me? Im debating whether to file an appearance or just try to settle. If i file an apperarance do you think i will get a more favorable settlement offer? I dont want to throw away good money if i dont have to, but i dont want to roll over either. Im just wondering how far capitalone will go to pursue this lawsuit, to the end? If it goes to trial can they get an easy summary judgement against me. What do you think is best way forward? Thank you Mike for listening
Capital One has all access to all documentation to prove their case.
I do generally see settlements work out better when negotiating once a solid defense is engaged. I encourage you to use an experienced debt collection defense attorney to help you if it makes financial sense, or you are not up to managing the process.
Capital One does often pursue these cases to trial. Whether or not they get an easy summary judgment can depend on how you defend the suit. It is one of the reasons why I suggest using an attorney. It can help to survive summary judgment.
If you can afford it, I would file the answer and work toward a settlement with Capital One.
Michael.
I live in Ohio. I currently looked up my information to inquire information about my credit and saw that Capital One is suing me in franklin county courts. The date of the documents was March 29,2016 but I have not been served yet. The court information states that bailiff services were issued on April 8, 2016, but the address on the court documents are not correct so I am not sure how much time this can buy me, but hopefully a little. My credit report shows the balance is about 2,900 but I am sure it will be higher once interest and court cost are added in. The website doesn’t show me who the agency is but tells me information about the attorney. The following is what I gathered off the internet GRUCA, TERRI P Party Type: PLAINTIFF – PRIMARY ATTORNEY
Address: PO BOX 5016 City/St/Zip: ROCHESTER HILLS, MI 48308 .
I am wondering with your experience how much time I may have to come u with a settlement amount of money. Also was wondering about how much it would cost to possibly settle in your opinion. I also have not paid anything to the company since September 2014 when I lost my job. I am currently working but barely make ends meet with being a single parent to 2 children. I also was wondering how an attorney in a different state will be included in a case filed in the state that I live in.
It is Capital One suing, so 50% is optimistic while still realistic.
The attorney for Capital One, if in a neighboring state, has or will have someone with an in state law license pursue collection.
My wife is being sued in PA civil court by Capital One for around $5000. I spoke to a local consumer attorney and he said that he thinks he could get a decision in our favor (based on his opinion of the filing attorney’s lack of detail or Capital One not having the required documentation needed). Problem is that we really can’t afford to hire an attorney.
We are debating wether to just not appear and let a default judgement in their favor.
As far as I know (in PA) – they can not garnish her wages or garnish our joint bank accounts. No real savings, just money in and out every month anyways. Our home/mortgage is in my name only. Her paid-off car is in both our names.
Would appreciate your thoughts on this.
Thank you
I would try to avoid the judgment if at all possible. It may not be something they can enforce right now, and they may not even try, but it does not go anywhere, and grows with interest.
Assume you could settle for 2500. How long would it take to pull that amount together?
It would be a long time to be able to do anything near that amount.
The $600 attorney fee would be a stretch as well, but could be worth it if we get a ruling in our favor.
But I guess that outcome is a gamble as well.
How many of these types of cases does the attorney you consult with handle in a year? What state are you in? Those answers would help me form a better opinion about how much of a gamble it is to defend.
We are in PA.
The attorney I spoke to is from a local debt relief law firm. I don’t know their actual history/experience. We received a handful of solicitations in the mail following the suit filing. They were the only actual law firm and local. Not a debt resolution company.
He knew of the firm that is representing Capital One (Michael Ratchford from Scranton, PA) and his opinion of them was not flattering. He said that he wouldn’t expect that firm to be properly prepared as far as the required documentation.
If you can avoid a judgment on your credit report (that you would have to resolve at some point in the future anyway – and at a higher cost), I am for defending against Capital One. Your attorney could end up getting the dismissal, or end up getting a really affordable lump sum settlement later on that would prevent the judgment entry too.
If you like I can email you a list of attorneys in PA that I know have the experience you need. Your guy may even be in the list.
Thank you for the info.
I would like to have that list.
Thanks again.
I’m in a similar situation and would also love a copy of that list please. Thanks
You can use the drop down menus here: https://www.consumeradvocates.org/find-an-attorney
I received a notice from an attorney in my state of California that wants to represent me in court. I had no idea what he was talking about. So i looked up my name and last name on my local superior courts website and sure enough capital one filed a lawsuit against me 15 days ago. I was never served or notified of this. I’m wondering what I should do? I was thinking of going to my local superior court tomorrow and get all the information I can on my case and show up to court on the day its assigned (no court date yet assigned) and tell the judge that i was never served. Plus i’m wondering what edge i should use in court. I’m currently on permanent state disability, don’t own any property or anything of value so settling the debt isn’t feasible for me. Plus it’s against federal law to seize my disability income. Any advice you can give would greatly help!!
They have not served you yet, but they have all kinds of time to do that. You do not have anything to work with in this regard. You also will not have anything to work with if you go to court and share how uncollectable you are. The judge may/may not sympathize, but will likely enter the judgment against you if that is all there is to it.
Your disability is protected, but a judgment will last a long time, and typically grow with interest. Will you always be uncollectable? How much is the balance you are being sued for?
Hello
I ran a credit report on myself to make sure everything looks good, since I have spent the last few years working on my credit. I noticed a judgement from Capital One from 2009. I was under the impression that anything I had outstanding was paid, I wanted to just settle this, according to credit report it says 1700 which is probably more by now. I contacted Capital One and they transferred me to the debt collector they are using and then they transferred me to the attorney. I have called the attorney several times as well as used website to send corresp. via email. I have not received a response. Is there anything I can do? I just want to pay this and satisfy this debt
Who is the collection law firm you are dealing with?
Forster and Garbus
I would call the main number for Foster and Garbus and work through this with any of the debt collectors there that can help you.
Thank you. I think that is going to be my only option, thanks!
Capitalone received a judgement on to accounts one for 1.500 and 6000 I fought them for six years because I isn’t open these accounts but someone did because they had agreement and a signature. I am on ssi disability and they are still sending letters from their attorneys Hanna and associate. Hanna and assoc transferred this judgement to a different attorney in the firm. Phone calls and harrassment are many and sometimes I feel like going to work and just pay for something I don’t owe. But ,when I trie to work I fall flat in the hospital every time .ive tried seven times to irk and landed in the hospital seven times. They will not let up. What should I do?
Did you file a police report about identity theft regarding the Capital One accounts?
Hello,
My husband is being sued by Capital One for $1671 in Florida. He has not been summoned yet, but we found out due to the numerous letters from debt attorneys/mediators we received. We then easily found the case online. There has been no payment made since Nov 2014.
We do not have 50+% of the debt to offer as a lump sum, as my work hours have been severely reduced, we have no savings and nobody to borrow from. It would take us close to a year to save that amount. A payment plan would be my husband’s most feasible option.
What is the best course of action in this case?
If he is prepared to call the law firm Capital One is using to collect, he can call and work out a payment arrangement. Just know that they will often want him to sign off on a consent or stipulation to judgement.
If I do defend it to try and buy time to gather a lump sum, would I have to be going back and forth to court? That is a concern since I’m being sued in IL and will be living in NC.
My family members are all low income and would not be able to help. I have already asked.
I have not been able to work because of anxiety issues related to my 6 month old daughter. I have tried leaving her with family or friends but each time she would get sick or something would happen to her while I am gone. I developed anxiety about not being around her.
Do you think if I call the lawyer working for co I can settle for a smaller amount that I can make payments on?
By settling the judgment later do you mean filing an appearance and waiting to see what the court settlement will be?
I feel completely ignorant on this issue.
Thank you for helping. It is very much appreciated.
There are instances that could require you to be present in court, but there are also exceptions granted for telephonic appearances. The several months you could potentially gain at the beginning of this are not hard to handle from out of state. Working with your own attorney would be ideal, but that has its own cost, and one you cannot afford from what you shared.
By settling later, I meant when you have 50% or more of what they are suing for to offer as a lump sum settlement.
You can call and set up payments with the attorney, but that can often mean paying the full balance back, and not saving much, if anything.
Check out my page about settling judgment debt. It is very common to let things go to judgment when there is nothing else you can do, and then circle back and settle that later. Be careful not to have your name on your bank account with your husband until the judgment is resolved (were that to happen).
Hello Michael. I have just received a summons by capital one in the state of Illinois for a debt owed of $2,359. I have not made a payment in a little over a year. I haven’t worked on almost 2 years. My husband works but doesn’t make enough for us to make payments. I also have school loans racked up as well. I am not sure on how to deal with the summons. It has “appearance filing/return date: March 28, 2016” written on it. We are moving to NC on the 26th of March. What should or can I do. I can possibly make small payments each month of about $50 but can’t do so for long.
If it is Capital One suing there is not much reason to defend with the goal of winning the suit. You could defend it and buy several months to save up money to offer a lump sum settlement. Is it possible your financial situation will improve in the next, say 4 months? Would it be possible to get some financial help from a friend or family member in order to fund a settlement so that you are not dealing with this as you move?
Spending $50 a month when you cannot continue with that arrangement provides little to no benefit.
Will you be working in NC? North Carolina does not allow wage garnishment. You may just have to deal with settling the judgment later when your finances improve. That happens for many people.
Do you have any recommendations on an experienced consumer debt collection law attorney in Minnesota for Capital one law suit?
You bet, I sent you an email just now to someone you can call for a consult. Please post an update reply with how you progress so that later readers can benefit.
I am being sued by Capital One in Suffolk County NY for 7,305 by Rubin & Rothman in Islandia, NY.. I was served yesterday. I have 20 days to answer. I do not have the money to hire a lawyer. At least one that would cost more the $500.. My questions are: (1) should I answer 1st and then call the law firm or call the law firm first and (2) show I try to get a lawyer now or start to go it alone and see how far I get and (3) if you think I should start by hiring a lawyer can you recommend. anyone I might be able to afford. in my area. thanks in advance.
What is your goal for resolving the Capital One debt?
Do you have other unsecured debts (paid current or in collections), and if so, how much does it all total?
In 2007 one of Capital One’s law firms brought me to court for an unpaid bill amounting to about $2500. I paid the bill to the attorney’s office over the phone.
Almost every year after that, I would get a notice from a different law firm saying I owed the money, now with interest. I would tell them that the bill had been paid in 2007 and would fax them the paperwork.
That usually took care of the matter until about 3 years ago.
They do not accept the fact that the bill was paid even though I can show the money going into and out of our account.
We just found out recently that they have had a judgement against our home since 2007 and have placed holds on my father’s accounts because my name was also on the account. Our county clerk told us that the original attorney never marked the case as closed after we paid them off.
We have an attorney but we don’t seem to be making any progress.
Do you have any suggestions? Also do you know if there is a way to trace an electronic transaction to see where it went?
I had made notes of everything that happened, but cannot find the original set from when I paid.
I would start with filing a debt collection complaint against Capital One and the new collection attorney. It is a shame you do not have the chronology of events and notes you took. You will want to recreate all of that to the best of your ability before filing the complaint.
Thank you. I am always careful to keep that sort of thing. I just need to find it.
I am being sued by Cavalry Spv Collection Agency for a Capital One Card that’s $731.71 the Attorneys office is Jeffrey Kahn Esq..
I am in Florida, I don’t have the full balance and would prefer to make payments. This is account was suppose to be apart of my Debt Consolidation Loan but Capital One pulled out when I was behind on 2 of my payments. Do I contact the attorney representing Cavalry and show them that this account was originally on a debt consolidation plan in 2012. I don’t want to go to court but I can’t afford a lump sum. How do I handle this, my court date for pre trial conference / mediation is December 17.
The attorney will not care about the debt consolidation plan. You can likely call the collection law firm and set up a payment schedule, but it is common for them to have you consent or stipulate to a judgment. You risk that being on your credit report. You want to avoid that if at all possible.
You may be able to negotiate a lower pay off amount as a settlement. But be aware that reductions on balances this low are not great, or even attainable sometimes.
I just spoke with the law company after I spoke to Capital One who will send me the statements showing what payments were paid by the Debt Consolidation Company but it will take 7-10 business day. The representative at the Law Firm said they are researching the information and will call me back next week. I offered to pay $50 a month until it is paid he said he will forward the information to the attorney.
I owe about $6500 to Capital One. My bank account shows the last payment made was 2/2/15. I called Cap One on 8/14 to ask about a settlement. The service rep was very nice, however she said my account was “only 124 days past due” and the system had not generated a settlement offer yet. I asked if there was someone else I could talk to about a settlement and was told that unless the system generates an offer, there is nothing anyone can do. She told me I could “try to call back in 3-4 weeks and see if a settlement offer had been generated.
I have also received a letter stating that I’m 5 payments past due and in less than 60 days they will charge off and sent to a lawyer for review.
So, I’m confused why the rep said i was only 124 days past due, when it is 5-6 months past due. But beside that, is there another way for me to ask them to settle the debt? Do I need to wait the next few weeks out and “hope” the system generated an offer?
I have gathered funds and can pay 50-60% of the balance and would like to do so ASAP. Any suggestions on how to go about this is appreciated.
Thank you in advance!
You can try back in a few days and see if the next Capital One representative tells you the same thing, but yes, you do have to wait until your account is flagged as one that can be settled with a lower balance pay off you negotiate.
You are ready with a funding source, you just need to be patient.
Also, it is not all that uncommon for creditors to have a date for charge off that is different by a month or two than the one you and I would calculate.
Great, thank you so much! I’ll try to be patient, the thought of a lawsuit is a bit terrifying!
Following up, I’ve called two additional times to see about a settlement, today being the most recent as my account is due to be charged off in 9 days.
i was told there was still no settlement offer and that they will charge off before settling and another department will be handling my account.
Am I just out of luck? All mail that has been sent to me has said my account will be given to a lawyer for review. Will I have the option to settle then, after charge off?
Thank you again!
You will get the opportunity to negotiate the debt after charge off. That is more common than not. Most credit card debts, Capital One or otherwise, are settled after charge off.
Hello. I have an old credit card with Capital One that was charged off in January 2013. The balance was $2,222. My last payment was in April 2012. In the mean time, I changed residences at least three times (including moving to a new state), got married (name changed), and changed phone numbers. I have no heard anything about this debt for at least two years. However, I applied for a new credit card recently and was declined by Capital One for a pending legal matter or something similar to that wording. I checked in my current state, and in the county where I previously lived, there is an open civil suit against me. It appears that they were unable to serve me with papers, I assume because I lived in a gated residence. The court info states there was an Affidavit of Non Service on Oct. 2, 2013. The plaintiff attorney is listed, so I can easily contact them. I would be unable to pay the debt right now – I have multiple other credit card debts, medical debts from having a baby and complications post-delivery, and a mortgage with my husband. What would be my best course of action? I certainly don’t want to get a default judgment and have wages garnished. It appears to this point they have not traced my identify since I got married, changed my name and moved again. But I am sure it’s inevitable. Thank you for your help. This article was really useful.
Capital One will has connected the dots now, after your having applied for the new account and their having declined you for the reasons given.
I would suggest raising roughly half the balance Capital One is suing for in order to settle and move on. How long will it take you to raise that amount of money?
Hi – I received a 50% of the balance owed on my Capital one Credit card and contacted the lawyer to counter offer to an amount that was afffordable becasue we are in bad financial hardship. They wouldn’t even consider an offer but asked me to make an offer. So, what should I do? Wait for court notice or keep contacting them to try?
Capital One rarely agrees to settle for less than 50 percent. That same trend applies to any debt collector working for Capital One. When I do see the rare Cpaital One deal get negotiated lower than that it is on really old accounts and/or fixed income no asset situations, and usually no lower than 35%.
What are you countering with?
Hello,
I am from Ohio and just received a summons/complaint from Capital One c/o Cheek Law Firm. I owe $2400. I do not deny the debt, I have just honestly not had any money to pay. A little history….was an educator for 5 years, then got laid off. Got recalled, then 2 years later got laid off again. I was fortunate enough to get hired into another district, but was laid off 3 years later. Left the education field because I was unable to find work (districts preferred to hire recent grads since they were cheaper). The problem is that I have searched and put in applications everywhere (retail, fast food, etc) but am always over qualified. So I have not worked for 18 months. I am a single mother and do not own the home or car. I have been fortunate enough to have had family help out during this time. I do have other debt, but cannot file chapter 7, because I had to do that 6 years ago after being laid off and unemployment ran out. I contacted legal aid, and the intake rep said that I am judgment proof and to just answer the complaint by admitting the debt and letting them know that I am judgment proof. I don’t know that I agree with that, as this was just an intake rep. I am very confused. How should I answer the complaint? Thank you!
Without your own attorney it is difficult to defend an original creditor lawsuit successfully. You could answer the complaint denying the debt is owed. There is sure to be some portion of that amount that is unrecognizable (fees from penalty and interest). But to what end? If you were going to pull together half-ish the amount they are suing for and then settle, it would make sense to file a general denial to buy time. But if that is not possible, you can always circle back and settle the judgment when things turn around for you with work.
Do you have any way to pull the funds together to offer a lump sum settlement?
I received a call from Greene & Cooper asking if I had been summoned for Capital One. I said no and now know I gave away too much information. She backed me into a corner and scared me. I had a credit card with them in 2008 for $300. They now say I owe them over $1,000. I agreed to start making payments but then decided to put it off and do some more research. I live in Ga. Have they waiting too long to pursue this? Did I agree to too much now in order to fight it? I have never been served for anything from Capital one. Not sure what I should do now.
If you last paid Capital One in in 2008 than the SOL to legitimately file a collection suit would have expired last year (after 6 years).
Get in touch with an experienced consumer debt collection law attorney about unwinding this and what options you have. Your consultation is no cost and your issue may be one where you can work with the attorney without charge too (if they see an FDCPA violation like initially appears could be the case to me).
Thank you for the reply. I called after posting this and asked for a written copy of the debt they claim I have to be sent in the mail, sent me to another extension, no answer, and wasn’t able to leave a message. I’ll call back next week and see what happens then. I have tried calling around to find a consumer lawyer and the problem with that is there is no one near me that will get back in touch. I’ve called and left messages with nothing returned. I’ll try again next week with that also. My main concern is if they can claim the time to be reset because I agreed that I was given the cc back then.
You may have stopped just short of resetting the SOL if everything was verbal and not written, and also if no payment was made.
Click on the link in my comment from the other day for experienced FDCPA help.
Please do post updates with what you learn and the progress you make. It helps others when they can read how people resolve the issues.
Thanks! I called and asked for a written copy of the debt they claim I have and he kept asking if I wanted a copy of the payment agreement I set up. I said I want a copy of the debt you claim I have sent to me in writing and he said it again, “and the agreement you set up”? I was like, sure just sent me a copy of the debt. And I ended the call. Waiting on the papers in the mail now. They are very tricky with their wording and you MUST listen before speaking. They are trained to trick you. I’m so mad at myself for not knowing this a head of time. But I was scared with threats of them garnishing my wages and going to court and having to pay court cost and all that bs. DON’T listen to them. Do your research first and get a lawyer.
Please advise… Capital one auto finance notified the 3 credit bureaus that I had a late payment in dec. 2014. I have my checking account statement showing I made my dec. payment plus an extra payment. I have asked them repeatedly to correct this but they refuse. The credit bureaus have the same proof and also refuse to remove it. I would like to know the best way to get them to correct this. I’m unable to get approval for a home loan with a recent late pay on my credit reports.
Thank you.
Virginia
If you have proof that you never paid late, but both Capital One and the credit bureaus refuse to correct the erroneous reporting, I would encourage you to file a credit reporting compliant with the CFPB.
It is unusual to have a single 30 day late pay hold you back from a mortgage loan approval. Are there any other derogatory items on your credit reports?
I sent an email yesterday but don’t know if it went
thru. I owed to Capital One around $13,000 on two credit cards, that last payment I did was on Nov. and Dec. 2014. I am planning to file bankruptcy chapter
7 by November 2015 since my total credit cards debt is around $27,000.00. This is the time I need to save money to hire a Lawyer. I received an email from CO saying that they are required to charge off one of my accounts in 30 days and give me the option to pay $156.00 by June 15 to keep it from being charge off. Should i make this payment to allow me more time to gather the money to proceed with the bankruptcy?
I would not make the payment. It is throwing money away if you are certain you will be filing chapter 7 bankruptcy. That is $156.00 that puts you closer to filing by saving it.
You get no benefit from making that payment and prolonging the charge off a month.
I was just thinking about the chances of being suit or have my bank account freeze before i file the bankruptcy by November. I am in Florida and have a local government pension. But what you said makes a lot of sense.
Hi there Michael, I am a real estate broker and when the economy collapsed here in New England so did my income. The economy has been very bad for me with business and has been a huge struggle for me. I have a commercial building that has over 100k in equity in it but cannot refinance easily because of it being commercial.
I have since opened a new business which is doing ok but not a break even yet.
I recently (today) just got a summons from Capital One in the amount of 12k which was used to get through some of those times. I have not paid anything for a year now and I have very limited income. Can I negociate something with Capital One or is it the firm?
Once Capital One sends your account to an attorney, whether the attorney sues to collect or not, you typically must work things out with the law firm.
What is your goal when negotiating this debt? Are you looking to pull together enough money to offer Capital One a lump sum settlement?
Hi there Mike, I am not able to make a lump sum right now at this particular moment. Is it better to negotiate payments until I am back on my feet again?
Yes and no. When you need to set up affordable monthly payments the collection attorney is likely going to want you to sign a consent or stipulation to judgment anyway. On the flip side, you are hopefully able to negotiate something affordable and stick to it.
How long would it take you to pull together 60% or so of the amount Capital One is suing for? There is not wrong or right answer, just time.
Hi there Mike, I would be hoping at least within the next 6 months I would be able to pull together at least 60%. Is that something I should be telling the collection attorney? I just want to try and make right and working on getting my income more stable right now
Your help is GREATLY appreciated
Doug
I would not tell the attorney about that if it were me. I was asking about how long it would take to raise that amount of money in the event it would make sense to start off defending the lawsuit, but with the goal of buying time to save up to ultimately settle with Capital One’s attorney, and thereby avoid a judgment.
If you consider that strategy you will need to file an answer to the lawsuit, and possibly engage in discovery too, to get the 6 months time you think it will take.
I can refer you to some experienced debt collection defense attorneys that can help you with this if you like?
I lived and worked in GA up until 3 years ago when I moved for work. My previous place of employment (I still work for the company) was served a default wage garnishment judgement for me today from Capital One via a debt collection attorney. The total collection amount is $1400. I never received any communication at my current address regarding. If I had, I certainly would have addressed the issue given that the debt does not belong to me. In the early 2000’s I had a Capital One card with a $300 limit opened in my name online. I went through the motions of disputing it back then and having it removed from my consumer credit report. I assume this is the same debt, however when I called the representing attorney’s office today I was told that they could not discuss the case with me since I did not reside in the state. They stated that a lawyer in this state would contact me “soon”. The garnishment papers were technically addressed to my employer; do j have any re-course?
You do have some options. I would look to connect with an experienced collection defense attorney in the area of the court where the judgment was entered. Your goal would be to reverse the entry from the court. It sounds like they sued you without service of process and in the wrong state all together, so this should be really simple. I can email you contacts if you post the name of the city the court is in.
I would also consider filing a debt collection complaint with the CFPB against the attorney that sued, and against Capital One if they are still the owner of the debt. There is just no excuse for lazy debt collection of suing the wrong person; about an identity theft account; in the wrong flippin state.
Sheeesh….
Who is the genius debt collection law firm?
Eltman, Eltman, Cooper out of Atlanta. It was filed in Bibb County – Macon, Georgia. Any recommendations for representation would be appreciated. Thank you!
I sent you an email with information about 3 attorneys in the area with the experience you need. Let me know how that goes.
Here is the link to file a debt collection complaint with the CFPB.
Due to the nature of my job (which is in education, but often has months with little or no pay), combined with medical issues, I fell behind with my Capital One account. For the same reasons, I also nearly lost my home to foreclosure, but the evil bastards at Bank of America are not the subject here. Trust me, I have stories about being lied to and misled. The only reason I still have my home is that I did an end run to salvage my mortgage.
During this time, I stayed in almost constant contact with Capital One, paying what I could, but often missing a month or two, then catching up. The only help I was offered from their Hardship Department was a year (12 months) at 9.9%, then later a pay-off situation that I couldn’t possibly afford (If I was having trouble paying monthly payments, how could I possibly pay ten times that amount over a few months?). They knew my situation well, as I had contacted them both via their website communication system, as well as by phone. Their representatives were always very polite and I’ve found them to be helpful. I have no problem with that part of the situation. During this time I paid off a very large Chase account (mostly due to being hospitalized without health insurance) in a short time because Chase actually worked with me. They got all their money!
However, about six months ago, I was locked out of my CO account, which meant I could no longer make any payments (nor access my communication with them). Shortly thereafter, I received a collection notice from XXXXXXXXX ( pretty small-time collection agency). As instructed by just about any authority on debt collection, I sent a letter asking for verification of the debt within the time frame indicated (30 days), with some specific requests (one being that I not be contacted by telephone—I do not have a landline, and getting cell phone calls disrupts my work during the day). I received from them only some photocopies of statements from Capital One. Then nothing. I have not heard from XXXXXXXX again, nor did I hear from Capital One again, neither by phone or by mail.
Last week, I received a call at my office from someone identified as a representative of Weltman, Weinberg, & Reis (the call originated from Grove City, OH). I was asked for by name, but did not respond as such, as it was a business phone. I simply indicated that such calls were not allowed at the university, and got a rather brusque reply that that number was one given as to where I could be reached. Immediately upon hanging up, I received a call from the same number on my cell phone. I did not answer that call. Three days later, I received a letter from W, W, & R, regarding the Capital One debt. I received another call on my cell phone on two days ago. None of the calls have been outside the time limit indicated by the FTC. The voicemail left was business-like and, I believe, stated all the caveats necessary (in case it was a misdialed number, etc.).
Today, I contacted Capital One in an effort to deal directly with them. I spoke to several people (all of whom were polite), ending with Dominique, who indicated that since the debt had gone to collection, Capital One would no longer be able to work with me. I relayed my concern about dealing with what I’ve learned is a pretty difficult collection company to work with and that may use intimidation tactics. For a moment I felt pretty good, as Dominique stated that if I had any problems with W,W, & R, I should call back and talk to CO’s legal department. She offered to transfer me to them, so I indicated I would like that. Well, she transferred me all right. Right to W,W, & R. Fortunately, I got voicemail and didn’t have to talk to them when I was not prepared.
My concern is that I was not dealt with fairly regarding the first collection agency and Capital One. They (XXXXXXXX) failed to contact me again, as did Capital One. I did not know what was going on with my debt until a few days ago, when I received the call(s) and letter from W, W, & R. I was more than willing to work with Capital One, but they locked me out of my account. I simply asked for verification of the debt from XXXXXXXXX, then never heard from them again.
Do I have any legal recourse or even negotiating chips? I felt I did the right thing in notifying the first collection agency, asking for verification of the debt. I have no control over their responses (or CO’s), which were nonexistent.
What do you think?
Some of those authorities on sending debt validation requests miss the mark, or are taken too literally. You had other options that appear to me, from everything you shared, to be more inline with your goals at the time (repayment like you did with Chase).
Your debt validation request not being responded to is not an unfair practice. It is a fairly normal reaction from third party debt collectors. As is having your account then land with a collection attorney authorized to sue for collection.
You have not shared anything so far that suggests to me there is any legal recourse that can or should be sought. But you can certainly negotiate a settlement. I generally target 50% settlements with Capital One, but that target may be too optimistic now.
Hello!
My husband was called today by a constable stating that he has papers to serve him from Capital One. The card was maxed at $7500, so I am sure it is well over that now. He has two other capital one cards in default and a walmart cc. Those probably total around $1500 at least. I personally have $60k in student loans and like 5 credit cards. We have not paid any in almost 3 years. We do have two in good standing at the moment. They are small, but get us by with groceries and what not.
We have absolutely no money to settle with. Do you think we should claim bankruptcy together? Will that effect the home we own or our two cars? The constable told him to call him tomorrow when he is home to set up when he can deliver the papers. The funny thing is, we have never received anything from capital one! No calls, nothing! It is literally almost 3 years since we have paid on it.
My husband claimed bankruptcy in 2005 and was dishcarged.
Thank you so much!
What state do you live in?
What amount of equity do you have in your home?
Do you own both cars outright? What is the Kelly Blue Book value on both?
We owe around $102k on our home. The home right behind us, literally identical just sold for $84k. I have no idea if we have equity.
We do not own both cars. We literally just got them, because we had a car repossessed and need to work. We owe $25k on one and $18k on another. KBB is under for both.We live in Pennsylvania.
I would look into filing chapter 7. It sounds like you could reconfirm the home (or even walk away clean). Same for the cars.
I was not sure from the way your comment read, but are your student loan payments being made?
i just spoke with an attorney who informed me it might be best not to hire him and that i have a good chance of settling with Capitol 1’s local attorney for 50%. i have not made a payment since july 2013. the balance was around $11,000. now i am back on my feet and can and am willing to pay 50% one time one payment lump sum is this really something that is doable?? i have never done this before. also, i was informed , being served papers by leaving them hanging on my front door is an issue for the plantif. thank you in advance.
I do see settlements with Capital One for 50 percent even though there is a suit filed. If the attorney for Capital One is not willing to go that low, and it is all that you can pull together, be prepared to file your answer to the complaint so you can buy more time to either raise additional funds, or for the other side to soften toward accepting the amount of money you can pay.
I have been getting new credit and auto loan my fico has gone up to almost 600 but I still feel bad about my fav. cc but I see your point of just letting it fall off I also went thu my credit and had removed a lot of fraudulent stuff from nt credit so its coming around slowly but I’ll keep at it Thanks
it falls off according to Experian in Jan 2015 limits of stats are up’ thank you
I would be looking at the steps you need to take to establish open and active accounts at this point.
You lost 5 years of credit activity and may need to make progress on that more than anything else (not sure as I cannot see your credit reports).
I was in prison for 5 years and have a mess because non of my bills were paid..I due have a good income NOW and would like to know if I should payoff Cap 1 I owe over 5000.$ and my 7 years is almost up but I do owe them..should I call them and see if they could set up payments and mayeb open this account again,they were a good company.thanks
Capital One will not reopen that account for you. I would generally recommend settling the debt for less than the balance owed at this late stage of collection. But with the account set to fall off your credit reports, perhaps I would not even do that.
Can you verify the date you last made a payment to CapOne?
What state are you in?
Hi, i had a capital one credit card and they closed my account with $900 of debt when i went to make a payment in august 2014. Im not sure who i talk to about setting up payments since i do not have money to pay it all off. I dont want lawyers knocking on my door. What can i do if i can do anything at all?
You can call Capital One directly to set up payments. If they do not have the account sold, or placed with third party for collection, you can set something up with them. Just be ready to get the name and number of who is collecting on it other than Capital One, and to then deal with the collector.
I was contacted by Capital One yesterday stating that my account has been placed with collections and will be turned over to an attorney in my state if I do not choose a settlement or payback option. I have had the account for 16 years…just became delinquent in December of 2014. I did not realize payments had not been made as my husband handles our finances. He states we did not receive a final notice or a letter…the first notice was this phone call. They are giving me until 2/11/15 (tomorrow) to respond. We do not have savings, nor do we have much in our checking account. My hubby has his own business and it has been slow of late. We do not own anything, house, cars, etc. The debt amount is $2100 and some change. I’m afraid they are going to garnish my wages if we cannot pay. Shouldn’t we have received a written notice giving options prior to it being sent to collection? I was upset yesterday and did not ask enough questions I guess, however, something feels weird about being sent straight to collections when less than 90 days delinquent and have been a solid customer for 16+ yrs.
That kind of collection activity is real unfortunately. But this kind of aggression is not common at 30 to 60 days late, even for Capital One.
Can you afford to pay something on this? What are your other credit card balances and interest rates?
Hello
I am working with an Elderly ma in Los Angeles who is 88 and was the victim of fraud on his capital one account. He had his care takers rack up $32,000 in debt, none of which he knew about. On December 24th, 2014 he received an abstract of judgement. Legal Recovery Law Office in San Diego, Andrew Runquist is the attorney handling the settlement on behalf of Capital One. They are claiming the balance with interest, fees etc is $41,523. They are adamant on only accepting 80% of this balance to settle the debt. The debtor has $10,000 to his name and his wife has advanced dementia. This is a sad situation. My question is, does 80% seem reasonable based on this situation? I have called the collector 5 times and they are adamant on this 80% no less. I mean, I have settled debts in the past for 10%-15% on the dollar. 80% seems ridiculous given the situation.
No amount seems reasonable to settle a 30k debt with Capital One that you did not even create.
Given the fraud situation, contact the following consumer law, and experienced debt collection defense attorney in the San Diego area:
Jeremy S. Golden, Esq.
Golden & Cardona-Loya, LLP
3130 Bonita Road, Suite 200B
Chula Vista, CA 91910
T: 619-476-0030; F: 775-743-0307
http://www.goldencardona.com
Jeremy generally offers a no cost initial consult in a situation like this, so take him up on that and explore the options. He may already have experience with Andrew Runquist suing other people in the area, which could be a plus.
Hi Michael,
I have a Capital One credit card and I HAD a Household Bank Credit card that was bought out by Capital One, maybe a year or so ago. I called them and requested the cards to be combined since I could not keep track of 2 Capital One cards. They denied my request. Since then, I could never locate the credit card. I attempted to call Capital One but they never had record of this second card. The debt is 1600.00 and was happy to pay but none of their reps could ever tell me where it was or how to pay. Today ( Saturday), a year later I got a Court Summons and due in court on Tuesday. I don’t have 1600.00 to pay off this week but can only agree to pay at Tax time in February. What should I do? Should I get an Attorney? Or call their Attorney from the court summons to set up a payment plan? I just want to avoid going to court.
I understand the desire to avoid court, but you may want to avoid a judgment showing up on your credit reports even more. By setting up some affordable payments with Capital One today, you would likely be consenting to a judgment.
If you know you will have some money to work with in a couple months, work with your own attorney to answer the complaint. That will buy you the time you need to come up with money you need to settle or pay this off (I prefer settling debts at this late stage of collection).
If you post a reply with the name of a larger city near you, I will email any collection defense attorneys I know of in the area. You can call one or more for a no cost initial consult and talk about your available strategies.
Hi Michael,
Today, my mom informed me that I just got served with paper work from Robert Scott Kennard on behalf of Capital One at her house which is located in Fresno. I’m currently located in Southern California. My question is what steps can I take. I want to call them up to offer a settlement but based on what I’ve read, it’s either a lump sum of 60% of 5600 that I owe which I currently don’t have or a repayment plan for the full amount. I don’t want for this to go to trial since it was filed in the Fresno Court House, I would have to commute 4 hours to appear.
Another question. On the paper that was served, it had a file date of 11/19. But I was not served the paper until today 12/9. California Law allows 40 days before a default judgement is rendered by the judge. Is that from the 12/9 or the 11/19 date.
Any help or info on a credible lawyer would be appreciated.
Regards
T
I sent you an email to an experienced consumer collection defense attorney. He works with people all over California on issues like this.
At a minimum, you can get this case dismissed for improper jurisdiction, as you do not live in the county they are suing you in. That will possibly allow you to work out something else in order to avoid being sued in the right California city/county. Talk all of that over with the attorney.
I am being sued by Capital One and have already went to court and its been a year since that. I owe 5088.00 and since there have been no payments made I now have to go to a deposition. I have called them to settle and they will lower to 3588.00 but I must pay 2800.00 up front and two payments for the rest. I can only afford to pay them 2800.00 and that it it. I only bring home 325.00 a week and my husband has been out of work since may so I am supporting me, my husband and five year old on that. They wont budge what can I do. Should I just go to the deposition or settle with what they are offering but I dont know how to come up with the other two payments.
You must go to the deposition. I would continue to try to get them to agree to what you have available and/or try to secure the money you know you will need to make the other payments.
But I would not make any payment toward a deal I was at all skeptical I could follow through on. A missed payment means you lose the deal, and the prior money could end up just being applied to the whole balance.
I received a summons from capital one as the plaintiff filed by Hammerman and Hultgren,P?c. For the amount of 1,915.57.
The account has charged off already, how come capital one is still the plaintiff?
Our last payment was sept 2013. We are on working visa and went home dec 2013 because of some issues in our papers. I just came back last week of March and received the summon last week Nov.7.
I’m planning to negotiate with them but can’t pay the whole amount at once. We are starting again and financially hard up since we are paying the lawyer for the processing of our green card and paying for the expenses incurred when we went home.
What Wil I do? Thank u so much. I’m in Arizona.
Capital One is listed as the plaintiff because they most likely still own the debt. They do not sell off all defaulted credit card debts, so this is not unusual.
It would be better if you were able to negotiate a single lump sum pay off with Capital One, as opposed to payments. But I understand that is not always possible.
Review these articles and comments for some additional things to know if you must set up payments:
https://consumerrecoverynetwork.com/question/can-you-negotiate-and-settle-a-credit-card-debt-if-you-are-being-sued/
https://consumerrecoverynetwork.com/question/can-you-settle-credit-card-judgements-like-other-debts-stressed/
I’m in urgent need of advice. I owe Cap 1 $17500 and have had to get assistance from others to keep up monthly minimum. I have had the card for 20+ years and have never been late or missed payment. Have had a substantial loss of income in the past 18 months and cannot continue to pay. Could Lise my job any day and I really need this taken care of ASAP! I am current but need to settle this debt (with assistance from family). I’m never going to get this paid with current interest rate over 21%. I feel so much guilt over this debt but I cannot keep asking for help from family. I must eliminate this debt. Also, I need to do this without paying income tax on the “forgiven” amount, if they will settle. Am I dreaming, or is this possible? Am I doomed? Thank you so much for your valuable advice. My next payment due is 11/25/14. Would love to get this worked out before that or get the wheels turning. I need hope. Thank you.
Settling your Capital One credit card debt for roughly 50% is feasible. Getting that deal negotiated conditioned with not reporting the forgiven debt to the IRS is not.
You will not be able to settle and pay in 2014. You are current with your payments to Capital One now, so will typically be looking at 5 to 6 months of missed payments before your earliest opportunity to settle. Read through the first stage debt negotiation section of the site in order to prepare yourself. Start here and then click through at the end of each article.
Thank you so much for getting back to me so fast. I have read the debt settlement “procedure” and think I understand how it works. My biggest fear is that Cap 1 will not wait 5-6 months time to settle. But will get an attorney and judgement after a couple of months due to the size of my debt and that’s my only credit card debt and their record with getting judgement and suing. I was hoping my situation was a bit different. I guess that blinded me to all your wonderful advice. Any suggestions are immensely appreciated.
Hello Michael,
Several years ago myself and my mom were victims of identity theft and received notices of default from major lending institutions for accounts opened in Atlanta, Georgia (we both live in California). Today, I am still feeling the raft of these bandits, I have received notice from a Capital One attorney (Hunt & Henriques) for $5300.00. I have requested and received the verification of debt (statement copies), in hopes of getting information on these hijackers (since not one agency will give me information as to where or who these people are). At the time of the incident police reports were filed with proper authorities, report numbers were received, credit bureaus, FTC, and every other agency notified. Can you suggest a way to get more information from this law office without being sued on a bogus debt?
Those statements you got in response to your debt validation request may be as good as it gets. What new information did the statements provide that you did not have already?
Did you let Hunt and Henriques know that this debt is the result of identity theft yet?
Hi,
I got a notice of intent to Sue in the mail on October 13 from the Moore Law Group. I didn’t respond, but today I saw on surveillance cameras that a guy, whom I am assuming is a process server, came up to my door. When he left he wrote down the license plate of a car in the driveway and went down to my mailbox and opened it up and looked inside. The amount of debt the letter stated as being owed is $8,524. I have 2 other cards I had to stop paying as well. Those were discover and a chase card. How do you think I should respond to this?
Thanks a lot
What are your goals with these accounts, starting with the one you are being sued for? How you respond will depend on what those are, and what your financial ability is to meet the collection challenges.
Who is the Moore Law group working for (name of plaintiff)?
The debt is for Capital One. I do not have the money to be able to pay for 50 plus percent of the debt. The accounts are already closed and I just want the debt to be gone. I have a Mortgage and student loan that I am still paying.
Thanks for your help!!
Unfortunately, things have reached a point where it is pretty clear the debt will not go away, at least not the Capital One account.
Once served, and if nothing done about the lawsuit, you will end up with a judgment. That judgment can lead to property lien, bank account levy, and wage garnishment (all depending on consumer protections in the state where you live). Any of which can impede your ability to pay the mortgage and student loans.
Your best alternative to make the debt with Capital One go away (and other debts besides house and student loans), is filing chapter 7 bankruptcy. Have you looked into the means testing and exemptions for chapter 7 in your state?
Yes I think I pass the means test, I am in CA. Should I let the process server serve me or try to file chapter 7 first? If I have $10,000 in equity over the $75,000 homestead exemption, which I’m not sure I do, how likely would it be that the trustee would try to sell my house to pay the creditors?
Thanks
The trustee has to figure in the cost of the sale (listing, Realtor fees, etc), were they to go that route, and that may be the buffer you need to keep your home if you have just a small amount of equity.
I would talk your situation over with a bankruptcy attorney in your area, and follow his/her advice about filing now, or after being served the Capital One lawsuit.
Ok. Will do. Thanks a lot for the help!
I have a card with Capital One that I was paying on great until my husband, a disabled Veteran became very sick. At the same time he was sick my teen age daughter started fighting depression and tried to commit suicide severeal times. Between taking my husband back and forth 6 1/2 hours to the VA hospital and my daughter in and out of the psych hospital we got behind on all of our bills. I did have the payment protection on my card at the time and used that until it was exhausted. I tried talking to the collection people and explaining my situation until one of them just became very rude. Now I am being sued. We have a family of 6 living on my husbands $1900 a month VA disability compensation while we wait for the VA to decide if they will increase it since he has not been able to work steadily for 5 years. I cannot hold a job as my husband cannot drive to his dr appts or take the kids to appts or anything and I have explained this. Can I contact the lawyer listed on the Summons I was served with or do I have to pay to file and answer with the clerk? I cannot afford anything right now but if the VA, who has had my husbands appeal for almost 3 years now does get him approved will owe us back pay we plan on paying all of these credit cards off. We were building our credit back up with these cards after having to file bankruptcy right after he got out of the service 9 years ago and now we are struggling to keep a roof over our kids heads. We are in NE and the Attorney is Aaron C Bourne in Omaha NE
I would like to make payments and we want to pay off all of our debt we just are not able to at this time because of our situation with my husband and daughters health.
What is the balance on the Capital One account that you have been sued for?
What are the totals of your other unsecured debts?
My capital one card I am being sued for is $3008.90. My husband and I have student loan debt totaling $45,000 and other credit card debt totaling about $2800 combined. We lived off of the credit cards for about a year while traveling from Western NE to Omaha NE for his appts at the VA hospital.
How much of the student loan debt is his?
I know you filed for bankruptcy protection before, but it may be a good idea to do so again. While student loans are difficult to discharge in bankruptcy, the possibility to do that is increased with a disability, and more so when considered permanent.
You can call the attorney suing for Capital One and talk about any type of payment options. But you can often expect him to require you to sign off on a consent or stipulation to judgment in these types of cases. Chapter 7 would prevent that too.
I would encourage you to talk to a bankruptcy attorney in your area, and one with student loan discharge experience. If those loans are not on the table, it would not make sense to file over just the Capital One account.
Oh we have other debt also, I also went through medical procedures for suspected cancer last year but I thought if we filed bankruptcy in 2008 or 2009 we would not be eligible for awhile?
I misunderstood your initial comment where you mentioned filing bankruptcy 9 years ago. You cannot file chapter 7 but every 8 years, so you would be okay to file again after 9 years.
Was your bankruptcy a chapter 13 or chapter 7, and what was the date of that?
HI CAN YOU PLEASE HELP ME. I HAVE A CREDIT CARD WITH CAPITAL ONE .I OWED 3,000.LAST 2 PAYMENTS WERE 1 MIN PAYMMENT $75.00 MAY 2013 AND $5.00 IN JUNE OF 2013. NOW THEY SAY ITS 3,900 WITH THE FEES MY HUSBAND WAS DIAGNOSED WITH STAGE 2 CANCER ON APRIL OF 2013. SO I HAD TO MAKE A DECISON . TO SURVIVE AND TO STOP PAYING THEM. I EXPLAINED IT CAPITAL ONE AND THEN TO ATTORNEYS OFFICE THEY KEPT CALLING AND IT WAS VERY STRESS FULL I WAS TAKING CARE OF HIM AND THE CALLSKEPT COMING WE HAVE ONLY ONE INCOME HE IS BACK TO WORK NOW AS OF JAN 2014 FULL TIME. TAKE HOME PAY MONTHLY IS 1,700 AND NOW I AM BEING SUIED COURT DATE NOV 2014 BY ZAKHEIM AND LAVARAR P.A. ATTORNEYS SO HE WENT THRU CHEMO FOR STARTED JUNE 2013 AND LASTED TIL JAN 2014. WE ARE TRYING TO MAKE ENDS MEET. ITS BEEN VERY HARD. I ALSO HAVE OTHER CARDS ONE CARD WITH HSBC THWT CAPITAL ONE TOOK OVER WAS 1,300. AND NOW UP TO 1,800 WITH LATE FEES. AND ALSOCARE CREDIT WAS 1,100 AND NOW WITH LATE FEES PROBABLY 1,700.. SO ATTORNY OFFICE KEEPS STILL CALLING AFTER HAVE BEEN SERVED AND I ASKED IF I CAN MAKE PAYMENT PLAN OF 50.00 A MONTH AND TO CUT IT DOWN TO 1,500 FROM ORIG AMT OF 3,000 AND SAID THEY CANT DO THAT. SO. SHOULD I CONTACT CAPITAL ONE . ATTORNEY SENT ME A PAPER ON 9/16/2014 SAYING I HAVE TO APPEAR IN COURT. AND THEN I WAS SERVED ABOUT 8 DAYS LATER ON 9/25/2014. WE LIVE IN FL. FOR 2 YEARS.ANDI ALSO LIKE TO MENTION I HAD THESE CREDIT CARDS BEFORE I WAS MARRIED AND I AM MARRIED FOR 14 YEARS. SO I HAD THESE CARDS FROM 1997 AND I HAVE HAD A EXCELLENT PAYMENT HISTORY WITH ALL OF MY CARDS UP INTIL MY HUSBAND HAS BEEN DIAGNOSED WITH CANCER IN 2013. AND HE WAS ONLY WORKING EVERY OTHER WEEK WHILE GETTING CHEMO MAYBE 3 DAYS OR 4 DAYS A WEEK . HAD TO BORROW MONEY FROM REALITIVES TO SURVIVE THRU THAT WHOLE TIME AND WE STILL OWE THEM. I AM WILLING TO PAY 50.00 A MONTH FOR THE CAP ONE BILL IF THEY CUT IT IN HALF. I AM SO STRESED OUT WHAT SHOULD WE DO . I CAN NOT AFFORD . I ANYTHING MORE PLEASE HELP US.I HAVE A LETTER FROM ONCOLOGISTS STATING HIS DIAGNOSED AND DATES OF PROOF. AND HE STIL IS UNDER HER CARE. BUT IS IN REMISSION THANK GOD. PLEASE LET ME KNOW IF I SHOULD PRESENT THIS TO JUDGE AND DO I STAND A CHANCE TO GET THE PAY MENT PLAN I SUGGESTED.
The problem is that they do not have to agree to what you can afford to pay. Capital One’s goal is to get that judgment. Once they get that, they will try to force payment in other ways. Once they exhaust those other collection efforts after the judgment, they may agree to small payments you can afford.
You can share your situation with the judge. It can help in some situations.
Is there anyway you can pull together the money to settle for, say 60-ish percent of what is owed?
Michael,
Thank you very much for your references, I will contact all of them. The thing is if I was aware of this chances are I would of tried to reach out to them before this went into judgment. Unbelievable that trying to pay off my bills and improving my financial standing would be a reason to make it more difficult for a settlement when historically these sort of account are only paid less than 20% of the time according to all the studies I’ve read on these matters in recent days.
But no way can I afford to pay 80 or 100% unless they willing to take monthly payments for the next 24+ months.
They are using the Law offices of Howard Lee Schiff, P.C.
Court judgments will skew that 20-ish percent figure.
Not only would you have been able to defend the suit had you known about it, you also may have been able to pull together the money needed to resolve the debt at the much lower balance back then.
Hi Michael,
I found out today from a letter from a non related attorney offering to represent me in a case filed in MD District Court by Capital 1. The debt is $1600. I had made payment arrangements with their lawyer/collection agency, but due to my husband being out of work, couldn’t keep up with them. I can pay at least half right now. I’ve called them and left a message but have not received a call back. If I make the payment, will they drop the lawsuit?
I doubt the attorney suing for Capital One is going to drop the suit for a half payment now, with a promise to pay more later. You have a better shot of highlighting personal financial hardships, and settling the whole thing for 50 to 60 percent (80% is common if they wont approve the better deals).
In other words, you could get the suit dismissed by negotiating a lower lump sum pay off, than by offering a large amount and a payment plan. That will just lead to their wanting you to sign a consent or stipulation to judgment.
Michael,
Thanks for you response. I am in Boston, Massachusetts, and no I was no aware of the lawsuit. It was sent in 2009 to the apartment where I lived when I first got the card in 2001, but then I had moved since 2004. However, I do now live at the same place back renting from a family friend who own the property since earlier this year. I am sure I can find my old lease to prove that I was not living there at that time.
I would like settle the matter it’s hard contemplating that even paying twice the original amount charge on the card might not be enough to do so.
In your experience do you feel I would have to pay the full $ 6K or close to it now to try settling this?
I think you have a shot of settling for half of the balance owed today. But if you look collectable to the attorney/Capital One (you are paying all bills on time as shown on your credit report, have no other unpaid collections), they may want to settle for a higher amount, or not at all.
I sent you a short list of consumer attorneys in Boston. All have experience defending against collections in the courts. Talk to all of them and find out if they have experience challenging old judgments that people never knew about. Not all attorneys will have that experience, and not all courts are going to be good targets for challenging judgments that are older than a year or so.
I would also recommend contacting NCLC (National Consumer Law Center) in Boston. They are the epitome of consumer advocates, and may be able to refer you to another local resource regarding vacating a judgment for sewer service, or similar consumer abuses.
Who was the collection law firm that Capital One used?
Hi Michael,
I have a similar issue like may on here. I defaulted on a capitalone card back in 05 after being out of work with a balance around $1,500. I paid a collecting agency they had contacted my $500 in 07. I was out of work again during the financial crisis. Fast forward to present I just found out that I have a judgment on my credit report from 09 from Capital One. According to their National Attorney network lawyer collecting agency i know owe them $6,109.96 and I was offered a settlement for half that amount.
However, I have no such fund to be able to settle this. The best I can do is $1,200 as a lump sum right now, or I could possibly pay $2,000 if they allow me to do a payment plan for the next 5/6 months.
The interesting is I have a new CapitalOne card once again, I had a credit card from another company that got acquired by Capone last year.
In your opinion do you think that the fact that I have a new card in good standing with them currently would help in finding a settlement? I am looking forward to here from you about any advice you might be able to share in my quest to settle this issue and get back to a better financial health .
Thank you,
Jay
Your current account with Capital One would not help to settle the older one that is now a judgment. The opposite really, depending on the transaction/use history of this newest account.
I do not see 1200 or 2k getting the deal done with Capital One. Not unless you have a sincere hardship. But lets look at another alternative. Were you ever served or made aware of a lawsuit being filed against you? What state do you live in?
Hi Michael,
I just want to ask what does Capital One Class TCPA Settlement mean? I just receive a postcard from Capital one that I am eligible about the settlement program but I don’t really understand what does it mean? Can you please help me?
Thanks,
Gerly
TCPA stands for the Telephone Consumer Protection Act. It is an easy law for creditors with collectors in house, and debt collection companies, to run afoul of.
Capital One must be settling the one brought against them, and you were identified as a potential class member. Agreeing to the settlement means you cannot bring a case of your own. And the settlement amount you would likely receive in one of these can often be measured in happy meals, so not any significant amount of money.
I got one of those postcards from them too. Filed a claim the same day I received it in thp mail. 20 to 40 dollars doesn’t seem like a whole lot, but i figured i’d participate anyway to get a little something out of it at least. Do you know if a final decision regarding the settlement has been made yet?
Because the postcards about eligibility have been sent, I think Capital One has made the settlement on the case. The claims process is another matter entirely. Were you given information about how to check on the status of your claim?
I haven’t been given any info on how to check its status yet.
I misspoke. The Capital One TCPA Settlement is still pending from what I could find. Click that link and it will take you to the dedicated site covering the settlement, and how to check on claims, change your information, etc.
I went on the website and it looks like a decision hasn’t been made yet either. They have a number but it was only for filing claims until the deadline back in November. Last document they posted was something from December 23rd. Final approval hearing was for January 15th. Haven’t heard anything from it as of right now. I’ll have to check the website everyday for updates. Thanks.
The letter was the first I received from them telling me that they are collecting on behalf of Cap One and I have 30 days if I want them to validate the debt.
Dan
Hi Michael,
I owe Cap One approxmately 12K and received a letter from the law firm of Bleir and Cox in California where I live. I know from reading these posts that I’m getting sued soon.
I’ve spoken to Cap One about settling and the best they have offered is $7,447 (60%), and really I can swing it but would hurt a little financially. I’m trying to get them to $6000 (50%) for a lump sum payment.
At this point, can I still contact Cap One or do I have to deal with the attorney? Any info about this law firm you may have?
Thanks,
Dan
I’m having a similar problem with Cap One. I owe approx. $400, but received a summons for a lawsuit of $1500. I sent a reply to the court and the law firm with a copy of my most recent bill and a letter stating I had been paying it and was trying to pay it off. They are still continuing the suit. Any recommendations?
Have you been sending in the required minimum payments all this time, or have you been sending in what you can afford, and maybe randomly?
Capital One will treat your account like any other in their collection pipeline when they do not get paid the correct amount.
Is Capital One the plaintiff on the lawsuit, or is there another company name listed?
Hi,
I’d like to buy specific judgements filed by Capital One Bank or Discover Bank.
The law firms which filed them do not sell them.
Who can I contact to get this done?
Thanks,
Do you mean to purchase judgment debts as an investor? You will want to get connected with others who do. I would start by connecting with the Debt Buyers Association. Attend a few conferences, including one put on by the DBA.
Thank you Michael for all of the help and support you provide to individuals on a constant & consistent basis.
My fiancé has not lived at her mothers house for almost two years. Her mother received some mail in the last couple weeks regarding a writ of execution in Los Angeles County Superior court. It’s from the Law offices in SD that seem to handle all Capital Ones recovery efforts in Southern Ca & Capital one as the plaintiff. It totals $3350 from original judgment that occurred back in Jan 2008 (I looked at case history on courts website) & $2100 interest after judgment, totaling about $5500.
I’m floored at the extensive history and time period of this case history. She has no knowledge of ever being physically served or sent certified mail from this legal office or Capital One. She isn’t disputing the validity of the original principal of $1785 she owed or the interest that was taxed on. The default judgment was entered and that was that back I’m Jan 2008. Now she is hit with the Notice of Levy under Writ of Execution (money judgment) for the $5500. The property to be levied is: all bank accounts to which she has an interest.
The Notice of Levy was apparently (based on dates on form) ‘delivered’ on July xx. And the registered process server signed the paperwork. Well that form was mailed to her mothers house (not certified) & luckily her mom kept it not thinking it was junk mail due to the thickness (nothing on envelope stated anything). And here we are.
Reading your various posts (thanks again for being so thorough and helpful in your replies) that now it’s not time to contact Capital one and it’s time to contact the law offices. I’m all about DIY credit repairing as you prefer as well. As a side note she is a stay at home mom with no job, no property, & virtually no assets.We do have a joint bank account that receives direct deposits from my job. Now I’m afraid to have any money deposited into that account and will change my direct deposit information to an account I solely have an interest in. While keeping revolving balance of our joint account very low.
-What’s my best course of action if they already have the Levy notice filed; will they settle due to her financial constraints or is it game over at this point?
-Could a payment plan have them put hold on Levy to keep financials/bank accounts left alone?
I don’t want to have her contact the legal team (whom by the way has never spoken to her on the phone or left any messages; which is why I’m tempted not to have her call them as they seem notoriously hostile once they do communicate via phone based on other posts, etc) until I had some direction from you. I have some money to help out with this situation but paying full amount would break the bank (considering they’re about to with the judgment anyway! Haha) …
I have case history if you care to read, email me I will send to you…
Thank you Michael
You can call the law firm and settle. Can you come up with half the judgment balance?
You can get them to agree to payments too, but you may want to wait until their failed bank levy efforts are a month or two old. And do keep little money in that joint account at all times.
If you have the money to settle in a lump sum payment, I would negotiate that, before contemplating payments, as that will typically mean paying full freight.
I would also encourage you to talk about your situation with an experienced consumer law attorney in San Diego. I know an excellent one, and can email you his contact details if you like? You may find he can leverage the lack of service, or any other case anomalies he finds, in your favor. Here is a reader comment from yesterday that speaks to this.
Hello, I have been sued by Cap1 (represented by Hayt, Hayt, & Landau in PA) for >$20K and was served papers a week and a half ago. I have spoken to a law firm that keeps pushing me to their own debt relief program to negotiate and consolidate all my debt (>$100K). I have good income, but know that the payment they are asking for to get me in the program is not an amount I am confident I can pay month after month. Because of my income, they are telling me that I won’t qualify for bankruptcy. I know it may be a good option at this point, but can’t help but feel like they are telling me this is pretty much my only option since they make money off of it. I am looking to buy more time because of some promising real estate transactions that should occur by the end of the year will give me at least some substantial cash to settle some of the debt. My question is, can I just file an answer to the suit myself, and hire a lawyer later if needed? I have an appt to speak to another lawyer on Friday, but I am on a time crunch now and want to be sure I am comfortable with my representation. If I do answer pro se, should I demand/request documents from Cap1 to prove the debt and amount is correct? Thanks in advance, this site has been a good resource.
You would probably get a better delay affect by using a skilled collection defense attorney. Are you east or west PA? I know some highly skilled (both fair and affordable) in PA, and either can help you with your goals.
There are state specific parameters to qualify for chapter 7 bankruptcy where you can discharge unsecured debts. What is your household income, and how many dependents do you claim?
With a 100k debt you were juggling, I can assume you make more than the media income in PA for chapter 7. That would leave chapter 13. Settling debts is often a good alternative to chapter 13.
Hi,
My husband and I have 3 charged off credit cards with Capital One. Our last payments on them were October & 1 in November 2013. We have had debt collectors calling but have not yet been served lawsuit papers. I’ve been trying to negotiate with the collectors. What I have come up with is on 1 card owing $1,365.29, they will accept either 60% of the balance in lump sum, or 80% for 6 monthly payments, or full balance payoff over 12 months. For the 2nd card owing $1,457.86, they will accept lump sum of $1,181.89 (our balance due at last payment), or a 6 or 10 month payment plan of the $1,181.89. And for the 3rd card owing $1,139.68, they will take 60% off for a lump sum, or 80% off for 6 months, or the full balance over 12 months. Now, we also have a hospital bill from when my 2 year old was injured at the library. We are trying to figure out a payment plan for that too but without having spoken to the financial counseling office at the hospital yet, they want a 12 month payment plan currently. That will go into collections in about 30 days. My problem is my husband is the only one working. We have 2 boys who I stay home with. My husband averages about $3,700 bring home. We’re expecting a slow period over the fall/winter that caused us to go into this credit mess in the first place (last year his income was reduced almost half). Our current expenses total $3,300. If we chose the 12 month payment plans the collectors offered, the lowest amount, that would add about $327 to our monthly expenses. Not including the plan we can work out with the hospital bill. We only have 1 vehicle so finding a job for myself (at night to be opposite schedule of my husband) will be difficult especially since I’ll only be available a short few hours and maybe Sundays. I’m wondering: how likely is it for Capital One to sue us before January/February/March? If we can try & save as much til then I think we’d be in a lot better position, and would also be able to use our income taxes to help pay off. Thank you SO MUCH!
It is possible that none of the three Capital One accounts will advance to suing for collection between now and tax time 2015. I would put good odds on one of them suing before then though. You can still work out affordable payments when sued, but usually for the full amount if you cannot offer a lump sum settlement.
Who are the collectors for Capital One now? If any are attorneys, are they in state?
Thank you for getting back to me! Two cards are with United Recovery Systems LP in Houston TX. The other is with First Source Advantage LLC in Buffalo NY. If one does sue would they tack on legal fees to our amount owed?
Neither United Recovery Systems, nor First Source Advantage would be the ones to sue. When an attorney licensed in your state is collecting, that will be a clear indication of being sued by Capital One. You can negotiate with the collection attorney too, or even after sued, but it is better to settle for a single lump sum once your debt reaches the court.
If you were sued, the amounts would increase.
So since we’re not at the point of an attorney collecting, we may be safe to wait until tax season 2015? Would it be smarter to let the collectors know this to be noted on our accounts?
You will not be safe to wait until your tax return comes in my opinion. But it is what it is.
Maybe you could swing settling one for a lump sum before then… perhaps even two. Set aside as much money as you can all the time until you are able to put together a plan to settle, or pay within your budget consistently.
It is rarely a good idea to let debt collectors know anything, and least of all when, and how much money you will come into.
Thanks for your help. I was trying not to get into the whole saga of my situation, but here it goes (summarizing as much as possible).
I had an 820 credit score, until I got pregnant. The relationship ended badly, I found myself a single parent ,paying outrageous fees for childcare,and not getting any financial support. The additional expnses caed the downward spiral. Credit cards,student loans, auto loan when into default. Car was repo’d. Then came the medical issues. I’ve been unemployed sce2010. I’ve been diagnosed with MS. So the medical issues aren’t going to away. Just progressively going to get worse.
I’m finally at a point where I can physically try to find a job. In order to do that I need a car. I have roughly 5kthat a relative has offered to loan me.
Fast forward
All of the negative items fall off my credit report by Feb 2015. I can wait for those. My concern is the cap one judgement being renewed o revived. I’ve been told that can happen for nearly 27 years.(IL)
The plan is to use the 5k, settle the cap one judgement, use the rest to buy car. I’d like to buy a modest home in the next 18-24 months. Assuming I find a job and can save enough for a down payment.My concern is that if I should become unable to work my kids have a place to live.
Stick to the MS diagnosis, single mom, and currently unemployed (leave off the now looking for work). You have family willing to help you, but they are limited on funds too. Target 50% of today’s balance. Do not think this all has to be done in one phone call, it doesn’t.
Hi,
I have a default judgement from capital one from 2007or 2008. ($1700) I received a letter in Mar ’14 offering to settle for 65% of $3000. I have several other debts (IL toll authority) and student loans. I’ve been adv by bk atty that bk wouldn’t help me since the onlything dischargeable is cap one. Also, I am unemployed and only income is child support which is exempt. I have legal aid atty who would file Ch 7 for me pro bono, all I would have to pay is court fees. Would Cap One likely settle for the amount I would pay to file bk? I have recentlybeen having major medical problems and would rather reserve the option of bk for later if needed to resolve medicalbills.
I am with you on holding out to file chapter 7 until your situation stabilizes.
No, I do not think Capital One will settle your judgment debt for less than 400 dollars (I think court costs and filing fees for chapter 7 are just under that, and you can do the required credit counseling for bankruptcy through an online program for less than $20). You can call the attorney for Capital One and try to settle for that amount, and take time to point out that all of your income is exempt, along with the fact that you would file BK shortly. But CapOne is not known to respond favorably in this situation.
Hang in there and see where you are at after medical needs are met. Post an update if anything changes and lets go from there.
Thanks for the reply.
background: My husband was finally approved for disability and received his back pay on the first of this month. He called capital one to settle with them and they said because he had placed a block on their calls they could not talk to them, he didn’t understand that so he said he needed to talk to me before calling them back because I was out of town. He wanted to talk it over with me because we have two cards with them, one of them has not been paid for about 5 years, the other he continued to use and had been paying up until last year and he wanted to make sure of what amount we could negotiate for the two accounts. Then the following week we get a letter from Luftman, Heck & Associates that a case has been filed by capital one and that we may need their services. I looked it up on the Los Angeles Superior Court website and it notes it was filed on the 17th, which was about when he called them. We have not received any official notification as of yet.
Questions: Would they be able to garnish his backpay? or Would the court allow payment arrangements? Should we contact the Attorneys that contacted us? or Do you have a CA office to refer us to? I am leery of “Ambulance chasers” and although the outside envelope has a San Diego address, the letter contains mostly OH addresses for the attorneys.
I would encourage you to consult with an experienced debt collection defense attorney in your state before doing anything else. I know a really good one in the Sand Diego area. Is that where you are?
No, we are in Long Beach, CA
I sent you an email with contact details to an attorney with the experience you want. Jeremy offers a no cost consult, and works with people all over California. If you need someone in and around the Long Beach area he can refer you to someone with his experience.
Thank you we have contacted them and they said the distance is not an issue.
Mike I am using a Debt Relief Firm (FDR) for the 18months. They settled approximately 18k in debt on my behalf. I only have one more month until that is all paid in full. Today I got a letter from the local small claims court here in Massachusetts saying Capital One has filed suit for $3300 which is the last of all the debt I have and must appear in court in December. Should I call FDR or Capital One to get this resolved? There is no attorney listed on the court paperwork only Capital One. I am in a position in life now where I could easily send them $500 month between now and the court date to clear it all up. Suggestions?
Ryan – Talk to Freedom Debt Relief and find out there position on this. I would want to settle this, not make 500 dollar a month payments to Capital One. If Freedom Debt is not able to assist, post an update and lets go from there. I can help you work on negotiating the settlement yourself. Can you pull together roughly 2k? How long would it take to do that?
Ps. I cannot afford legal counsel. Am getting help with the payoff. Yet one section says that I have had the chance at legal counsel and I am confirming that I have carefully read and fully understand all terms of the agreement. But the language is so complicated and obscure that I think only a judge and a court could determine final meaning. I would like to settle and not go Chapt 7 (have 4 other large debts also), but do not want to make a mistake and get burned. I guess I could offer to deduct my legal costs from the settlement amount and get a lawyer to advise me.
You did not point to anything that would suggest the attorney for Capital One is trying to game the situation, unless of course, they are charging CapOne by the word….
How much do all of your other debts ad up to?
Why avoid bankruptcy?
Dave – I reviewed what you emailed to me. Standard stuff for my part. I do recommend connecting with a consumer law attorney in your area.
I lost my job years ago and am unemployed. I have a debt with CapOne which I stopped paying in Jan 2013, with a current balance of ~$6,000. CapOne hired a local law firm who won a judgment in Sept 2013. With letters back and forth since Feb 2014, finally the law firm sent me now in June 2014 “the approved settlement agreement from Capital One for your review and signature” for a lump sum payment of about 22% of balance (family are helping with the funds). I have 2 concerns to ask about:
1)The document mentions the official judgment by title, and Capital One throughout as agreeing, but the signature page shows only the law firm signing (and me, of course). Can the law firm sign for CapOne as authorized to settle the judgment for the stated amount?
2)It is titled “GENERAL RELEASE AND SETTLEMENT AGREEMENT,” and it is 6 pages long. Section 2 (of 11 sections) titled GENERAL RELEASE is very complicated and lengthy, and, even with a Master’s degree, I cannot really understand it; but it appears to release “the creditor” from obligations in other parts of the agreement that are fairly straight-forward, and is mostly about the Defendant (me) “waiving and relinquishing” rights, and also references “Section 1542 of the Civil Code of the State of California.” But I reside in a Midwest state, and the last page says the “internal laws of the Commonwealth of Virginia” and “the United States of America” would apply. Please comment.
Why is the “GENERAL RELEASE” needed? And can a law firm sign the legal settlement agreement and obtain satisfaction of judgment with the court without a representative of CapOne signing off on it? Could the GENERAL RELEASE allow CapOne’s law firm to sue me for legal fees of CapOne after the settlement is paid and finalized?
I would tell you more personal specifics, but the SETTLEMENT AGREEMENT has a confidentiality clause that I want to honor.
Ps. Thank you for your website. Very helpful and informative.
1. It is fairly common for the attorney to sign for Capital One on settlement agreements like you describe.
2. I cannot comment without reviewing the document and verbiage, and even then I would encourage you to run this by an attorney in your state in order to proceed with confidence that section 2 did not somehow impact you in a manner you would otherwise not have understood.
Nothing of what you have shared seems out of the ordinary. The general release is often just a way to say something in hundreds/thousands of words that is really just – We agree to these terms, and you are not going to come back later and say you didn’t, or otherwise mess with my client.
I received a notice from Peter Francis Geraci Law Firm here in Illinois regarding a lawsuit filed against me by CapitalOne but I never received a summons to notify me about the hearing. What can I do? Can the garnish my wages? Freeze my bank account? HELP please I am scarred! I have not heard from CO since I had to file a complaint against them for harassing me at work with phone calls. I owe @ 2100 and would like to settle but how do you get in touch with a legit CO representative? Thank you for responding to me.
The attorney Capital One hired to sue is their legitimate representative. If you want to settle, you can call and negotiate the deal with the firm.
I am concerned about the fact that you never knew you were being sued. You can look up the record in the court and find out what address they say you were served at. Post an update if you do not know anything about the address, or anything else odd about the service of process.
Illinois protects up to 85% of your wages from garnishment. You may be able to contest any amount of your wages being garnished as creating a hardship, and the court may protect you even more. Talk to the court clerk about how to contest any garnishment if that comes up.
I have a Cap1 Card that’s about $7000, and a balance with Chase for about the same amount, but I have worked out a payment with Chase whereby they reduce the interest and close the account. I have called repeatedly to work out the same with Cap1, but they’re not budging.
My circumstances in the past couple years have included an arrest (my fault, but still cost me about $5000 that I already didn’t have) a period of unemployment and a low paying job for about 2 years. I’m in my second month at a much better job and finally have the income to start catching up.
However, credit cards are low on my list. Every month, I pay mortgage, bills and car first. I pay what I can to the credit cards. I saw a notice on my Cap1 account when I logged in recently that said I “qualify” for them to take legal action–I think this is a scare tactic. I’m trying to validate my belief here, but I was under the impression if I was paying SOMETHING that they would have a hard time taking me to court.
I live in Alabama, so I’m researching those laws. Do you know if paying anything, even less than the minimum payment, would prevent the debt from going into collections? (in a few months, I can pay a lump sum to get my caught up, and I made sure to inform Cap1 that, but credit card companies are kinda soulless… )
Thanks in advance!
If you are not paying Capital One the monthly minimum, or do not have an agreement with them to pay less than the monthly minimum (like you set up with Chase), they will send the account to collections. Capital One is one of the banks most likely to sue for collection, so there is a legitimate concern.
How long has it been since you last made the full payment due?
When you say you will have enough in a couple of months to get the payments caught up, how much is it you intend to pay?
You may still be able to head CapOne off from more aggressive collection patterns they follow.
Hi Michael,
I live in Los Angeles and I received a summons from Capital One last 5/14/14 for a debt that costs around $4000.
The person who brought the summons just handed me the paper and said that I was being sued by Capital One and that I should contact the law office indicated to settle. I have received a summon before for an entirely diff reason but it was more formal and I had to sign something to legit say that I receieved it. On paper it indicated it was electronically filed and I checked LA superior court online and saw the case filed. I have total of 5 credit cards 2 of whom are still current but Im only making minimum payments. The remaining 3 that were sent to collections coz ive not been making payments were Capital One (im being sued), Chase and Bank of America. So the delinquent totals to around 16-17,000. I spoke to a financial advisor recently and I told him about my case. My plan was to borrow money from my 403b to pay them off including the current ones coz i wanna be free from debt once and for all. I really dont know how to deal with debt collectors even collection legal firms. The financial advisor would help me with my 3 delinquent debts for $1,500. Is that a reasonable amount or the amount Im trying to settle is not too much that I may not need a 3rd person to settle for me that I can do it on my own? I haven’t asked if how much he would charge me if I just hire him for the account that has a case filed against me. Please help me out. It’s nearing 6/14/14 I have to contact the law firm that sued me.. Thank you!
Jenny – You do not need a financial adviser for the Capital One collection suit, as much as you need an experienced debt defense attorney. And probably only help to file an answer so that Capital One does not get a default judgment (which can but not always make it more of an expensive settlement).
I an going to email you contact info for an attorney you can consult with initially for no cost. You may/may not hire him, but talking with him to get your bearings straight is the right thing to do right now. Tell him about your debts and your goals, listen and ask questions.
As far as the Chase and Bank of America accounts, you can tell from the site that I am a huge supporter of DIY debt settlement. And I have worked with thousands of people who have been reluctant DIY-ers. I also know that some people cannot, or should not, negotiate their own debts. And paying someone to do that for you is a cost you can cover, and are good with, I get it.
Sometimes negotiating your debts can be mix and match. You do some, and have a pro settle the rest. There are accounts, banks, and debt collectors, that are easier to deal with than others. Who is collecting on the Chase account? Who did you last hear from by phone and mail on the BofA account.
You can review and post questions about settling with BofA debt collectors here.
You can read more about, and participate here, regarding Chase settlements with collection companies.
The people who actually took the money out of my account was Merchant Recovery Services of Charlotte, North Carolina.
Thanks. You can access your bank records to show the payments you made. Did you get a settlement letter from this debt collector? Anything in writing?
What is the name of the new debt collector telling you Capital One never received payments?
In October 2013 I got a call from a collection agency to pay off my Capitol One account. I agreed to pay it off by having them take out $100 from my account over a 5 month period which they did. the last payment was in February of 2014. I just got a call from another collection agency saying they know the money was taken out of the account but Capitol One never got the money and will be taking me to court unless I pay another $380. They also said they sent someone to an address I haven’t lived at for 10 years to try to collect the debt. Any suggestions on what I can do?
What is the name of the collection agency?
I received a call from Spokane WA about a card I had in 2000. The charge off on my credit report was in 2008. I never heard from them again. They say they needed money today or I will be summoned for credit card fraud. I tried to get some proof that they were legit and the lady tols me no. She then said she would take 200.00 to hold the account (maybe) until I got the rest of tt
He money. I did not have that today but would tomorrow. She told me that would not work paying tomorrow. She said they would see me in court. If they charged off my balance and it was removed from my credit reort, can they still do this? I have not heard from them since 2008.
Cathy – Sounds like a scam. File a complaint with your state regulator (like consumer affairs, AG), or with the CFPB.
If they call back let them know you will talk with them again after they respond to the complaint you filed with state and federal regulators.
Legitimate debt collectors do not make the threats you just heard.
Michael, thanks for the reply. I have about 25K debt on 5 other cards (not including this one).
The law firm is Nilson & Kinnard in Sacramento. I have considered bankruptcy and have actually consulted 2 attorneys this year.
Thanks. The lawsuit will come. Assume for a moment you could settle with Capital One for 50% of today’s balance (before any legal fees are added). That’s 1650.00. If I knew who the other credit cards were issued by, and who is collecting them now, I could offer more specific estimates, but assume you could settle the remaining credit cards for a total of 10k. You need 11650.00 to deal with the debts out there. Compare that with the national average cost of a chapter 7 bankruptcy at 1800.00 (that’s court costs, attorney fees, everything). Bankruptcy is the more economical choice. Credit reporting and access to credit products are going to be the same between the two – see debt relief and credit reports.
What are some of your concerns that have prevented you from filing?
Hi, I recently received a letter from a California law firm, on behalf of Capital One, concerning a card I owe $3258.oo. My last payment was about a year ago.. I reside in California, so I know the proverbial chickens are probably coming home to roost. I have been out of work for 2 years now. My unemployment benefits ended a few months ago and now I have zero income and a rapidly dwindling bank account. The letter which is dated July 30th is the usual “you have 30 days to dispute this debt, etc.” verbage. The thing is, I am expecting some money in the form of a loan from an aunt, but she can’t give me any money till around late September. Would you have any guesses as to how close I am to being sued ? I also have several other distressed credit cards.
Ron – Given the debt is a Capital One credit card, and is now with an instate attorney (would help to know which one), I would say the lawsuit to collect is inevitable, and probably within a few weeks to a couple months.
Before I offer feedback about stalling this from happening, or how to potentially approach a suit if it happens before you loan from your aunt, I want to ask if you have considered bankruptcy? Not that bankruptcy would make sense on the debt with CapOne totaling 3300.00, whether sued or not, but because you mentioned other credit cards that have not been paid. What are the totals for all of your unsecured debt? If you could file bankruptcy for 1800.00 and get rid of all of that, perhaps using the loan from your aunt in order to hold yourself over until you get a new job would make more sense.
You could send a debt validation request to the attorney Capital One has the debt with in order to maybe stall a few weeks. They will have no trouble getting the necessary info from Capital One in order validate the debt, but a few weeks of stalling until you are in a position to negotiate a settlement might be just the ticket.
If you are sued before you are in a position to fund any settlement, you will want to file an answer to defend the suit in order to buy some additional time, and also for the fact that it will often lead to a better negotiated settlement than if you did not defend. Let me know if that happens (the suit), and I can offer some feedback and resources from there.
I received a summons to go to court over a credit card bill from Capital One of $4,100, $700 of which is in late fees. I can pay $2,000 right now and might be able to borrow the rest. I would really like to settle before going to court on June 20. I live in Illinois.
My questions are: should I talk to the lawyer listed on the summons, or call Capital One directly to try to settle?
Can I get the case droppped with paying 50% or must I pay it in full?
How should I speak to the person I need to speak to?
Thanks for the help!
Courtney – Calling Capital One to settle will lead to them referring you to the attorney anyway. Yes, you can negotiate with them, settle for some savings, and get the case dismissed. Targets for settling Capital One lawsuits can range from 50 to 100%. The most realistic targets will be between 60 and 70%. You will have to give them a reason to settle with you. In other words, the things that make it tough to be you financially since you stopped paying Capital One are okay to discuss. You should include the fact that you may be able to raise xxxx amount, but from several sources, but only if it can resolve the debt.
You want to get any agreement in writing.
You do not have to get this all done in once phone call. You can follow up a few days later etc.
I would not lead with your calling in to settle for x. It is often better to start off soft and explain your financial struggles. This is a better tone to start the first, and any additional calls.
It is a good idea to connect with an experienced debt defense attorney of your own when you are being sued.
On October 2, 2012 I was served with a Summons from Capital One Bank on behalf of Legal Recovery Law office in San Diego, CA for 5352..09
I filed and answer in hopes to try and work out a payment plan. The last time I paid on the card was appx Dec 2011
A case settlement conference has been set for April 5, 2013.
The main problem I am having in negotiations is the law office wants be to settle on a monthly amount that I know I will not be able to afford. I have suggested an amount more reasonable but they do not want to agree.
A couple of days ago, I received and amended complaint, motion submitted without appearance, declaration in support of plaintiffs motion to amend the complaint, memorandum of points and authorities.
Do I need to file an answer to the amended complaint? Is there a time limit? Would it be the same as the first filed answer?
Am I able to call Capital One directly to try and work out something or must I continue to deal with the Legal office?
I am working less than full time right now and 3 other credit cards are with negotiated payments. I don’t have money to hire an attorney unfortunately. I was trying to take care of this on my own, but it starting to be a little overwhelming.
Thank you for your thoughts
Tara – You will not get anywhere by calling Capital One to try setting up monthly payment arrangements. They will just direct you back to the debt collection attorneys.
Sometimes it is necessary to be a participant in the court process like you have been, in order to get in front of a judge and show how much good faith you have been operating with, trying to make payments, but they have been refused. Once in front of a judge, share the limited income and how you are on payment plans with other creditors, you are stretched thin etc. This is an actual strategy.
You do not have funds for an attorney of your own, which is who you should be contacting about court procedures and how to respond to the amended complaint etc. Have you contacted a low income legal aid office nearby? With a limited income you may qualify for very low cost, or even no cost legal assistance.
Yes, there is a self-help workshop at one of the local courts that would be able to offer some assistance. Unfortunately, for me the next workshop is April 12 and my settlement conference is April 5. I assume the purpose of the settlement conference is to try to avoid going to trial. Could a judge compel them the take the settlement offer?
It is an opportunity to get done what you have been trying to get Capital One to agree to already, but in a more formal setting. Would the judge compel a settlement, or an affordable monthly payment? Depending on your income level, you are possibly exempt from garnishment as is (not that you always will be) when compared to state guidelines and the part time income you have. Judges do see this type of thing week in/week out. While compel may not be the right word, strongly advise and encourage would not be a stretch.
Thank you Michael. Much appreciated.
Hi Again, I responded to the email sent, but don’t think it went through, so I wanted to respond here as well. I truly appreciate your thorough and thoughtful response. At a time when it is incredibly stressful as it is, your response is much appreciated. I will try to be more specific. I just got served summons and complaints for two accounts from Capitol One from Weltman, Weinberg, and Reis in Michigan that was sent to my Michigan address, but now I am in Florida and they found me here and I got the certified letters today.
The two debts are 1300$ and 1200$ approx. I have been researching this law firm and although Capital One is listed as the complainant, some research has shown that they might not actually be and some have found that Weltman actually purchased the debt from them? Not sure. My last payment on these cards was about 16 months ago. I have lived in Florida for 3 years. I have income and own a home. They do not have my phone number or any other contact info except my address. I also have a joint checking account with my husband.
I know I must respond within 28 days to the court and I plan to respond certified mail receipt returned to them and the court, what should I respond with? I have read other comments and possibly a DV letter? They sent only an unsigned capital one contract with the summons. How should I best proceed here?
I won’t waste your time with explanations of the debt, but shortly after we opened it my husband nearly died in an accident and he was not working due to this. It put us behind on everything. I currently do not have any extra money to be able to pay them (maybe 50$ a month or something), but if I can stall them until February I can use my tax money to pay them off. Or, I also get a lump sum pay out for my job in May, if I could somehow put them off until then that would be ideal.
Should I have any contact with them by phone? Or strictly mail? I have read horror stories about this firm and their intimidation tactics and unethical behavior so it concerns me that I am not dealing with a reputable firm, the internet is flooded with complaints about them. The firm is located in Michigan.
Do you recommend an attorney? If so would it be one in Michigan or in Florida? I am a quick learner and researcher and may be able to tackle this on my own if need be.
Well, lets put out this fire first, but I have a few other debts, all with collections, and one just went to another attorney. I am hoping they can wait until May to be able to settle. Should I contact them, the collections companies, and the one attorney to try and stall them? Or should I write them certified letters requesting 50% pay off to be paid in May and set up an automatic payment of some sort for then? Or pay small amounts until then and arrange to pay off then?
I can not thank you enough for your assistance at this point. I put out a lifeline and you saved my sanity. I am happy to set up a time to speak by phone if that works for you as well, I am free any time and when you respond to my email can I respond to that with my phone number? Thank you.
If you think I am putting myself at risk by making this information public here in this forum please delete my posts. Thank you in advance. Tracy
Tracy – I would not get too hung up on the stuff you read on the internet about Weltman Weinberg and Reis. Every situation is different. Stay focused on yours.
I doubt very seriously Weltman Weinberg bought your Capital One debt, or any others for that matter. Capital One has not been selling much debt in recent years.
You are being sued in a state you have not lived in for years. That is where to start. Filing an answer to the MI lawsuit and getting the case dismissed for wrong jurisdiction would appear to make the most sense. You should connect with an attorney on this if you are concerned about how to do this correctly. A typical DV letter (debt validation request) would not serve much of a purpose after being sued. DV letters are applicable prior to being sued. Besides, your being sued in the wrong state anyway.
Yes, it is possible to stall some of this until February and May. First thing first is to get the Michigan suit dropped.
Communication with Weltman Wienberg and Reis is not scary. As far as attorney debt collection firms go, they are one of the better ones I have communicated with, and most our prior CRN members have had no real issue when speaking with them.
I do not think you are at any risk from making these posts whatsoever.
You can send an email reply to this comment notification you get and it will be delivered to me. Lets go from there on setting up a time to speak. With tomorrow being Thanksgiving, lets shoot for Friday or after.