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
Short answer
Once Capital One has sent the account to a law firm, you resolve it with that attorney debt collector, not with Capital One. A lump sum payoff is possible, and if you cannot reach an amount you can fund, the settlement can often be stretched over a few payments.
Key points on this page
- A Capital One debt placed with a law firm for collection means settling with the attorney debt collector.
- You can arrange a lump sum payoff, spread a settlement over a few payments, or set up monthly payments you can afford until the balance is paid off.
- Never commit to a payment plan you are not confident you can complete.
- Around 50 percent of the current balance is where Capital One settlements often land. Other accounts you hold may settle for less than Capital One.
- The state you live in matters. Florida has strong consumer protection laws that prevent wage garnishment, so if you cannot afford much right now, it may be better not to commit to anything until your situation stabilizes.
- Do not assume you will be sued on every Capital One account, or on any of the others.
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.