If I use a debit management service, am I legally in default on my credit cards?

Question

I closed a credit card account in December 2001 and stopped making payments some months later. A year or so later, I started making payments to a debit management service, but stopped in June of 2003. A collection company filed a lawsuit against me in June 2007 for this debit. There is a 4 year statute of limitations in California to file from the date of default. Does that clock start from the date of default to the credit card company, or the debit management service.

Answer 1

Since the debt management company was making payments for you to the credit card company, it makes no difference.

For the purposes of the statute, the last payment the debt management company made to the credit card company, in June of '03 didn't have an effect on the statute. The default didn't occur until the next due date (or due date with whatever extension the credit card company granted), which could make the default well into the fall of '03.

Answer 2

Duh, you got yourself in, now get yourself out.