This showed up on my credit report from when I was in college. I just received a summons to appear in court. I thought after 10 years it does not show up on a credit report. I originally owed about 3200.00 and now it says I owe close to $10,000.00. What can I do?
2006-12-14 14:02:30 · 8 answers · asked by Mike F 1 in Business & Finance ➔ Credit
Very common.
Sounds like a junk debt buyer.
Here is a good article to read: http://www.expert-credit-advice.com/junk_debt.htm
If it was a federal student loan, those never go away.
If it was almost any other type of debt is would be expired.
Here are the statutes of limitations from state to state: http://www.expert-credit-advice.com/statute_of_limitations.htm
I would reccommend that you demand validation.
There is a free credit repair kit on that same website I refrenced you can use the downloadable free demand for validation letter.
It worked for me/....
http://www.expert-credit-advice.com/free_credit_repair.htm
Best of luck!
2006-12-14 14:34:57 · answer #1 · answered by Anonymous · 0⤊ 1⤋
Every state has a "statute of limitations" where after a certain length of time, you no longer have a legal obligation to pay a debt.
So why are they suing you?
There is no law that prevents a creditor from suing you past the Statute of Limitations. But all you have to do is inform the judge of your "affirative defense", stating that since the SOL is expired, they are barred from suing you. The judge then immediately dismisses the case, unless the creditor proves you are wrong.
The key here is you have to know the law! It's up to you to know it and tell the judge. The creditor is counting on your ignorance of the law. He's gambling the cost of filing a lawsuit "and a little bit of his time" that you don't know your rights.
Makes sense....I'd spend $100 in the hopes of winning $10,000, wouldn't you?
Your first step is to read the first link below. It describes exactly what the SOL and lists each state's length. Be sure you haven't done anything that restarted it.
BE SURE to carefully study the court papers. $10,000 may not be a small claims suit! If it's in a higher court, their rules may require you to file an "answer" prior to the hearing. FOLLOW THE RULES or your case will be lost and the creditor gets a default judgement.
Contact the attorney and tell him he is wasting his time by filing a lawsuit, as the SOL has expired.
Read the next link I supplied. It's a message base thread that explains how to file an "Affirmative defense", and what you do in court.
If this is still on your credit report, dispute it. If it's not removed you can actually sue the creditor for putting it there!
2006-12-15 07:19:05 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Check your state's statute of limitations. If that amount of time has passed between the date of first delinquency and now, then they can't win a lawsuit. I would show up in court, stating that this debt is outside the statute of limitations. You will win. If you don't show up, then the court will enter a default judgment against you and then you are screwed.
Also, I would dispute this account on your credit report as being too old to report. It should be removed within 30 days. Bad credit stays on your report for 7 years from the date of first delinquency. Judgments pretty much stay until they are satisfied and no less the 7-10 years.
2006-12-15 08:31:15 · answer #3 · answered by spdwy808 2 · 0⤊ 0⤋
Sort of, depending on the state you live in. It is illegal for the creditor to re-age the debt or sell it to a different company and have them re-age the debt. If your statute of limitations for your state has not expired, the company can sue you. (Just because the item does not show up on your report, does not mean that the statute of limitations has expired.) If the court orders you to pay, then the court judgement will show up on your report again since the judgement is new. Please see the link below for the statute of limitations for your state. If the time period has passed and you can prove it, the judge will side with you.
2006-12-16 00:18:41 · answer #4 · answered by Mariposa 7 · 0⤊ 0⤋
It's too late to ask for validation if you've received a summons. However, they cannot collect. Here's why: go to court and simply tell the judge this debt is outside the statute of limitations. They will throw it out! You simply cannot collect on a debt 15 years old.
2006-12-14 23:37:27 · answer #5 · answered by Kevin K 3 · 0⤊ 0⤋
To the best of my knowledge they cannot try to collect a debt if the debt is more than 7 years old. But, they can sue you for that debt I believe and that debt will show as a judgement on your credit which stays on your credit for 10 years, even if it's paid. My advice is to settle outta court and mail them payments of $25 till you die to save yourself money on interest rates.
2006-12-14 22:15:38 · answer #6 · answered by Kevin B 1 · 0⤊ 0⤋
According to your state's statute of limitations, they are only allowsed so long to have a record on your report. 15 years is over most state's limit. DO NOT pay it whatsoever. Go to http://www.creditinfocenter.com/rebuild/statuteLimitations.shtml to read up on it.
2006-12-15 12:38:02 · answer #7 · answered by Anonymous · 0⤊ 0⤋
simply don't worry.
what can tehy do.
contest it with credit bureaus.
demand it be removed.
court can't summon you.
yhey can only tell you that you are being sued in civil court.
you do not have to appear.
blow it off and go on.
2006-12-14 22:23:36 · answer #8 · answered by cork 7 · 0⤊ 1⤋