Am I liable for attorney fees for attorney I did not appoint (collections)? I have not been served, and...?

Question

I am angry that I never received a phone call before an attorney took over. They claim they only reach me through postal mail, but obviously that did not work. Apparently, there was even a court date (which I did NOT know about). I was not aware that my account was being handed over to an attorney otherwise I would have tried to pay my debt sooner. Now, I have attorneys fees added to what I originally owed. There has been a lawsuit filed according to the attorney's office. I do not know the details because I was only informed of this via voicemail because I called them to find out what was going on with my account. Also, I'm wondering whether I should get myself a lawyer. Is it possible I won't have to pay the attorney fees already incurred? I cannot afford this at all.
I appreciate any answers that can help me.
Thank you!

Answer 1

Read your original loan/purchase/credit agreement. You authorized them to submit it to an attorney if it became delinquent. They don't have to ask your permission or give you advance notice.

"I was not aware that my account was being handed over to an attorney otherwise I would have tried to pay my debt sooner" is hardly an ethical defense to payment. It's the same as saying "unless you sue me, I won't pay."

You may have some defense. At least consult a local attorney.

Answer 2

Generally speaking, when a case is turned over for collection to an attorney, the person who loses the lawsuit will have to pay the other side's attorneys fees & court costs.

You can do some things to keep it low. Court costs are pretty static--they don't change. But if you can reach an agreement with the attorney that reduces the amount of time he has in the case, he may lower his fee. He doesn't have to, but he may.

** Note: This is a general discussion of the subject matter of your question and not legal advice. Local laws or your particular situation may change the general rules. For a specific answer to your question you should consult legal counsel with whom you can discuss all the facts of your case. **

Answer 3

In most states for someone to sue you they must serve you notice. Many collection agencies pretend to be a attorney or lawyer when in fact they use one law degree in a office of 100. They try to imtimidate you into paying. If they are not a local attorney office then its probably a way to pressure you into paying. Contact some non profit debt collection agencies that can help you work out a payment schedule solution to the problem.

Answer 4

The criminal expert represents the series attempt no longer the college. this could be a uncomplicated sideline for criminal experts. you're expected to barter immediately with the criminal expert. often the series entity has an settlement with the college that the college won't cope with a debtor immediately. the series entity does this to guard their earnings that effects from their efforts or they could be working for unfastened. a team employer in many cases makes a cope with an criminal expert for the criminal expert to be the 2nd wave in the collections attack. The collections employer receives a proportion of the debt for his or her efforts and if it is going to the criminal expert there's a proportion of that that receives paid to the criminal expert. next step is what's pronounced as a "noise" letter - be conscious Of reason to Sue - call the criminal expert and you would be chatting with an identical creditors who pronounced as you initially. The criminal expert is merely putting his call on his letterhead and getting your interest. maximum suitable tactic - attempt to get them to settle for a partial charge as a good faith attempt. It variations the debt from a no pay to a sluggish pay in negotiation.

Answer 5

Collection laws vary by state and are also influenced by the contract that you have with the creditor.

You can get more information here: http://www.fair-debt-collection.com/