do i call the attorney or discover when im trying to settle

You definitely want to get the settlement in writing, but yes, you start out by calling the plaintiff's attorney. They will try to assess how much they can get if they garnish your paycheck or see if you have other assets, and then decide if they want to settle.

Full Answer

Is my attorney telling me about all settlement offers?

 · You can call the plaintiff's attorney and try to negotiate either a reduced amount or a payment plan, but don't be surprised if it's refused. If they do refuse, make sure you tell the judge you reached out and tried to settle the debt before the hearing. Ugly situation. Good luck to you.

Why does my attorney want to settle my case?

 · Current trends for successfully settling a Discover credit card directly with the bank are between 40% and 60%, with some one-off events that can settle lower, but it is not all that common. There are also accounts that can be flagged for no negotiation and settlement that would result in a lower pay off with Discover.

Can I negotiate a settlement with discover after judgement?

 · Two days later I received a call from someone claiming to be a higher level manager, who told me that the $5,000 settlement was not approved, and pressured me to settle for $10,000. I went ballistic, unleashing yelling, name calling, classic blue streak foul language, etc. until he agreed to approve the $5,000 settlement.

Why won’t my lawyer Call Me?

First, trials cost money. When you are deciding whether to keep litigating or try to settle, ask your attorney what the cost of taking the case to trial is likely to be. Court reporters, witness fees, and of course your attorney’s own fees, can quickly add up to be more than the case is likely to recover even if you are successful.

What percentage will discover settle for?

30% to 60%Discover may settle debt for 30% to 60% of the original balance, according to our research. The percentage will vary based on whether the debt is still with Discover or in the hands of a debt collection company, as well as the financial situation of the person who owes the debt, and the age of the debt.

Does discover take you to court?

Discover Bank has historically kept their own accounts and pursued them by filing collection lawsuits. Discover Bank will rely on witness testimony in a “business record affidavit” when trying to prove their case against you.

What is a reasonable offer to settle a debt?

Offer a specific dollar amount that is roughly 30% of your outstanding account balance. The lender will probably counter with a higher percentage or dollar amount. If anything above 50% is suggested, consider trying to settle with a different creditor or simply put the money in savings to help pay future monthly bills.

How do I approach creditors with a settlement offer?

10 Tips for Negotiating with CreditorsIs Negotiation the Right Move For You? It's important to think carefully about negotiation. ... Know Your Terms. ... Keep Your Story Straight. ... Ask Questions, and Don't Tolerate Bullying. ... Take Notes. ... Read and Save Your Mail. ... Talk to Creditors, Not Collection Agencies. ... Get It in Writing.More items...•

How long does it take for Discover to sue?

This means that when you default on one of their accounts, they're going to sue you. It may take several months or even a year or more, but its eventually going to happen if you do not cure the default.

Will Discover garnish wages?

you'll exchange evidence using the discovery process. the credit card company must prove that you owe the debt at trial. if successful, the judge will issue a money judgment in the amount owed, and. the creditor can use the money judgment to get a wage garnishment order.

Is it better to settle or pay in full?

Generally speaking, having a debt listed as paid in full on your credit reports sends a more positive signal to lenders than having one or more debts listed as settled. Payment history accounts for 35% of your FICO credit score, so the fewer negative marks you have—such as late payments or settled debts—the better.

How long does it take to settle a debt?

After about 90 – 180 days, your creditors write off what you owe as bad debt. This is when the debt settlement company approaches your creditors with evidence that you aren't able to pay, and will start negotiations. During this time, put aside as much money as you can toward your lump sum payment.

Does paying a settlement hurt your credit?

While settling an account won't damage your credit as much as not paying at all, a status of "settled" on your credit report is still considered negative. Settling a debt means you have negotiated with the lender and they have agreed to accept less than the full amount owed as final payment on the account.

What is a reasonable full and final settlement offer?

It depends on what you can afford, but you should offer equal amounts to each creditor as a full and final settlement. For example, if the lump sum you have is 75% of your total debt, you should offer each creditor 75% of the amount you owe them.

What should you not say to debt collectors?

3 Things You Should NEVER Say To A Debt CollectorAdditional Phone Numbers (other than what they already have)Email Addresses.Mailing Address (unless you intend on coming to a payment agreement)Employer or Past Employers.Family Information (ex. ... Bank Account Information.Credit Card Number.Social Security Number.

What happens if a debt collector won't negotiate?

Speak to the Original Creditor Inform the original creditor that you want to find a way to settle the debt, and ask if they're willing to negotiate. The creditor may choose to accept your initial offer, negotiate a new amount, or refuse outright and refer you back to the collection agency.

How to contact Discover debt?

If you would like to consult with me about your Discover debt you can reach me at 800-939-8357, choose option 2. If you are dealing with an attorney collecting for Discover, and want affordable legal help to handle the court process while working toward settlement, fill out a profile on this site and get help.

How do creditors deal with debt?

Creditors deal with things the way they want to; assignment and contingency collection agencies do things a certain way (often as dictated by creditors placing debt with them); debt buyers manage their operations and collection files in the way that makes sense for them. They can all make changes to their practices and recovery goals due to changes in the economy, internal data, legislative changes at the state and federal level, lawsuits they may have defended and lost, or succeeded in, new case law, decisions from higher courts, etc. Consumers electing for arbitration was an effective way to cause creditors and debt collectors to treat the file as a hot potato after the National Arbitration Forum was shut down several years ago. The effectiveness of the strategy was/is real, but is ebbing towards non effective as card holder agreements have been adjusted to eliminate clauses, arbitrators see this as a ploy, and creditors, like Discover, dig in and become stubborn. Stubborn can mean Discover, and other banks, are willing to spend the money taking some of the cases all the way through – even though the costs can far exceed what they can collect (especially given the fact that if they win the consumer can elect for bankruptcy).

Does 1k settlement include attorney fees?

If you have an offer to settle fro 1k from Glasser and Glasser, that will typically also include attorney fees. How is the letter worded regarding what they will accept as settlement?

Is playing hot potato with debt collectors counterproductive?

Playing hot potato with a debt collector can deliver the desired effect. But it is counterproductive for someone who:

Should someone in Jay’s situation try the hot potato approach with his Discover credit card?

Should someone in Jay’s situation try the hot potato approach with his Discover credit card? No. Not in my opinion. Not when his goal is to resolve it, avoid being sued, and move on with his life.

Does Jay owe Discover money?

In the first comment Jay left on the other thread he said he owes a debt to Discover for 5200, but is being encouraged to dispute it. I do not know the context of what Jay read, or any comment exchange he had on another site, so I do not know if there was an outline given for the strategic purpose of disputing a debt Jay already knows is legitimate. But it does not matter. The general strategic purpose for disputing a legitimate debt is to buy time for some other reason, or with the expectation that the debt will be treated as a “hot potato”.

Does Discover have a canned letter?

Discover, and other large credit card lenders, do have policies and protocols in place that, to them at least , would be the normal treatment applied to a small percentage of accounts where they receive canned letters (perhaps like the one Jay sent), from their card members.

What is the most important choice in litigation?

In every litigation, the most important choice you will make is your choice of attorney. Be sure that your attorney has trial experience and is not afraid of the courtroom, but also be sure that you do not choose an attorney who is too hotheaded to see when settlement is the best choice.

Can a lawyer be a settlement counsel?

In some instances, it makes the most sense to pursue settlement options and a hardline trial strategy simultaneously. On occasion, businesses will choose to hire trial counsel as well as a separate attorney to serve as settlement counsel. By doing so, the original attorney hired to try the case can focus on continuing to be aggressive and competitive, while the settlement counsel can strike a more conciliatory and neutral tone with opposing lawyers. However, while this practice is a growing trend, we believe it is still possible for a good attorney to make it clear that trial is a real option and a real threat while still leaving the door open for negotiations. Most attorneys understand how the game is played, and most courts require parties to engage in settlement negotiations or mediation before arriving to trial. It is important to engage in such discussions in good faith in order to comply with the judge’s order or local rules, even if the case ultimately goes to trial.

Why is my attorney telling me about settlements?

There is usually not much reason to doubt whether your attorney is telling you about all settlement offers because attorneys are bound to divulge that information to you by a professional code of conduct that they all must follow. The penalties for violating their code can be quite severe.

Who decides whether or not to settle a claim?

Ultimately, the decision of whether or not to accept a settlement on your claim rests with only you. The attorney is there to represent your wishes to the best of his or her ability. That in mind, you should very heavily consider the attorney’s recommendation as to whether or not to settle.

Why is it important to hire an attorney?

That is why it is important to hire the right attorney; you will be able to rest easier knowing that they are making all the right decisions. A car crash can be one of the more significant events in your life, it is important that it is treated as such. Trials can be very unpredictable, juries are difficult to read.

Why do attorneys go to trial?

Your attorney may want to go to trial because the defendant is drastically undervaluing the claim.

What happens if your case is weak?

If your case is weak, your attorney will know this. The attorney may be grateful for the settlement offer that is already on the table. In fact, based on previous cases, your attorney may feel that you have been offered an award far more than what could be expected.

Why do you want to settle a personal injury case?

Your attorney may want to settle because you have a weak case, or you are not a sympathetic victim. It is incredibly important that the jury feels sympathetic for the victim in a personal injury case. If you attorney feels that this will not happen for you then they will have no interest in going to trial at all. If your case is weak, your attorney will know this. The attorney may be grateful for the settlement offer that is already on the table. In fact, based on previous cases, your attorney may feel that you have been offered an award far more than what could be expected. If that is the case, you may want to listen to your attorney. After all, many auto-accident attorneys are paid on a contingency fee basis. That means that the more money they get for you, the more money they get to keep. That system works well because it would be against the attorney’s self-interest to go against your interests. The attorney may also advise settlement because trials are lengthy and expensive. If you have interest in seeing your money within the next year, settling is the option for you. Because of the costs of litigation, an attorney will only recommend it if they feel that they can do considerably better at trial then they are doing during the negotiation phase.

Can you fire an attorney if you can't agree with them?

You may get more than you ever hoped for, you may get nothing. It’s quite a gamble. In the end, if you cannot agree with your attorney, keep in mind that you always have the right to fire them for any reason. Do not do this out of merely spite. Your attorney will be paid for his or her work anyway.

Why settle divorce outside of court?

Some of the benefits of settling your divorce related matters outside of court include the following: Settlement eliminates the risk and uncertainty of going to court and letting a judge decide. When parties go to court, they cede all decision-making authority over to the judge.

What is settlement negotiation?

Settlement negotiations can occur between you and your spouse, your attorneys, or within the context of mediation or other alternative dispute resolution processes. Negotiating an agreement of issues that are in dispute usually involves a series of offers and counteroffers in which both you and your spouse make certain concessions. ...

Can you memorialize a settlement?

You and your spouse can memorialize your agreement in a private contract rather than a court order which allows you to maintain privacy regarding the terms of your settlement. Settlement brings closure. This can relieve stress, promote healing, and serve as a catalyst for both you and your spouse to move forward.

Is it cheaper to settle a case outside of court?

Settling matters outside of court is almost always less expensive and less time-consuming than going to court. Settlement can curb your legal expenses and eliminate the inconvenience of having to appear for conferences, mediation, and court events.

What are the legal issues associated with divorce?

There are five discrete legal issues that are commonly associated with divorce: (1) child custody, (2) child support, (3) post separation support, (4) alimony, and (5) equitable distribution of marital and divisible property and debts. Although the actual divorce must be granted by the court, you and your spouse can settle other issues related ...

Can a judge require a parent to pay for a child's college education?

For example, a judge does not have authority to require a parent to provide financial support for a child who has attained age 18 and graduated from high school, but you and your spouse can agree that one or both of you will pay your child’s college education expenses.

What happens if you settle debt?

This negative reporting will likely decrease your credit score, making future borrowing more costly in the form of higher interest rates and annual fees on credit cards.

What happens if you ignore a lawsuit?

If you ignore the lawsuit, then your creditor can get what is called a default judgment. Once your creditor has a default judgment because you did not respond to the lawsuit, or a judgment because the lawsuit was successful, they can ask the court for a wage garnishment order or a bank account levy.

Can a debt collector sue you again?

If the defense is successful, the case will be dismissed. If that happens, then your creditor can’t sue you again for the same debt.

How long can a creditor file a lawsuit against you?

The length of the statute of limitations varies by state and typically falls between 3 – 10 years from the date of the first defaulted payment or the date of the last payment received, depending on the approach taken by each state.

What is a collection lawsuit?

A debt collection lawsuit commences when the law firm that represents your creditor files a case against you in civil court. You will be served a court summons and a copy of the complaint, which is the legal document that spells out the amount your creditor believes you owe and the reasons why they believe you are accountable for this debt.

Can you be sued for unpaid debt?

If all collection activity fails and you continue to default, a debt collection lawsuit can be filed against you. Unpaid debt doesn’t just go away. It continues to be reported on your credit report, harming your credit score, and leaving you at risk of potentially being sued.

What happens if you miss a payment?

Chances are that after the months of missed payments stack up, the original creditor will cut its losses and sell the debt to a debt collection agency. Your account will read as “charged-off” on your credit report, which may decrease your credit score.

What happens if an insurance company knows the attorney will not go to trial?

If the insurance company knows the attorney will not go to trial or will settle a case to a high frequency, then they will only offer a low amount.

What is a low offer for a personal injury case?

A low offer is one which is below the value of your claim. For example if you have $7,000 in medical bills and the insurance company offers you $4,000 that is considered a low offer. Often times in such situations clients can find themselves having to pay for Dr. expenses out of pocket, which is something you really want to avoid. Low ball offers can happen because of a few factors. First, they will happen if the only course of treatment you have is a Chiropractic care. While this is not per se negative for your case, it can definitely hurt the value of your case. It is important that you have the proper medical management of your file. You should always make sure that a M.D. is seen for your treatment and that they set forth a proper course of treatment for your injuries. Second, low ball offers will occur when the attorney has a history or reputation of settling claims. Insurance companies often times profile personal injury attorneys. They have very detailed databases that they use to profile attorneys. Factors such as whether they attorney has a frequency of settling claims or whether they file is recorded. This information is shared by the insurance companies and used as a factor in providing you a settlement offer. If the insurance company knows the attorney will not go to trial or will settle a case to a high frequency, then they will only offer a low amount. Generally if you are receiving a low ball offer it is for one of the reasons listed above. However, another possible reason can be medical management. If you were using your attorneys medical network provider system, then it is important that you understand how this process works in relation to your case. Dr.’s in such networks work on medical liens, however most attorneys only use chiropractic care, which will ultimately hurt the value of the case. Insurance companies will generally not consider chiropractic care along as sufficient. Instead you need to have additional types of levels of care. This can include pain management, orthopedic evaluation and primary care treatment. In certain cases these Dr.’s may recommend surgery or potentially other types of medical treatment for your injuries.

Do insurance companies profile personal injury attorneys?

Insurance companies often times profile personal injury attorneys. They have very detailed databases that they use to profile attorneys. Factors such as whether they attorney has a frequency of settling claims or whether they file is recorded. This information is shared by the insurance companies and used as a factor in providing you ...

What to do if you feel a settlement is inadequate?

If you feel a settlement is inadequate and your current attorney won’t or can’t give you a satisfactory explanation as to why you should accept this low settlement, get a second opinion. You Can Fire Your Attorney. Many accident victims are hesitant to replace their attorneys.

What to expect when hiring a personal injury lawyer?

When you hire an attorney to pursue a personal injury claim on your behalf, you expect that lawyer to make sure you get all the money you deserve. If your attorney is pushing you into a settlement that you don’t feel is adequate, you may feel frustrated. Your lawyer works for you, not the other way around. If you feel a settlement is inadequate and your current attorney won’t or can’t give you a satisfactory explanation as to why you should accept this low settlement, get a second opinion.

Does it matter if your lawyer accepts a lowball settlement?

It doesn’t matter why your lawyer would consider, or even push you to accept, a lowball settlement. Whether your current attorney is choosing not to make your case a priority, has failed to gather adequate evidence to support your claim, or is simply not a good negotiator, you deserve better.

Is an attorney accountable to you?

Your attorney is accountable to you. Don’t let anyone push you into accepting less than you deserve.