what kind of attorney handles credit card debt

A collections attorney typically handles credit card debt cases (either from the side of the credit card company and collections, or from the side of the debtors).

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What to do if credit card company sues you?

At McCarthy Law PLC, our credit card debt settlement lawyers negotiate with creditors to lower the amount of your debt and then pay it off with a monthly payment that fits your ability to pay. By significantly reducing the amount owed through the debt settlement process, it is easier to pay the total – usually in 6 months to 3 years.

How to negotiate a debt settlement with a lawyer?

Aug 21, 2017 · Finding a Consumer Attorney. Unfortunately, there are not a lot of consumer attorneys out there because the impression is that there is not much money to be made. Of course, that impression is incorrect. The number of illegal actions taken by credit bureaus, collection agencies, auto dealerships, and credit card companies is staggering.

How to find the best credit card debt relief program?

The Debt Collection Attorney's Office Will Then Probably Sue You In State Court. Once your debt reaches the debt collection law firm, the attorney will usually give you one last chance to settle the debt to avoid a lawsuit. If attempts at settlement fail, the credit card company's attorney files a …

Do I need a debt collection attorney?

Aug 09, 2010 · I have called more than 5 law firms trying to find an attorney to assist me in the settlement of a credit card judgement that has caused a levy to be placed on my bank accounts. All i want is to get this situation behind me but can not seem to find an attorney interested in taking my case. So i am thinking I am calling the wrong type of attorney.

How do I sue my credit card company?

Complain to Consumer Financial Protection Bureau. The CFPB began accepting complaints against credit card companies in 2012. You can file a complaint on-line, by phone or by mail. You should also file the same complaint with your state Attorney General.

What are the laws of credit card debt?

Credit card companies must apply any payments to debt in the order of the highest APR first. That means credit card companies can no longer can companies apply payments to debts with lower APR, while leaving debts with higher APR to accrue interest charges. Double or two-cycle billing is prohibited.Apr 16, 2021

Do you have the right to settle credit card debt?

Credit card debt is typically unsecured debt, meaning a credit card company can't come after your assets if you fail to pay what you owe. Since credit card companies don't have this recourse, many are willing to negotiate a settlement with customers to recoup as much of the debt as possible.Oct 23, 2021

How can I settle my credit card debt in collections?

How to Negotiate With Debt CollectorsVerify that it's your debt.Understand your rights.Consider the kind of debt you owe.Consider hardship programs.Offer a lump sum.Mention bankruptcy.Speak calmly and logically.Be mindful of the statute of limitations.More items...•Jun 30, 2020

How long before a debt becomes uncollectible?

In California, the statute of limitations for consumer debt is four years. This means a creditor can't prevail in court after four years have passed, making the debt essentially uncollectable.Oct 26, 2021

Will credit card companies sue you?

Yes, a credit card company can sue you if you don't pay your credit card bill. While this is usually a last resort because of the time and money involved, it becomes more likely the longer an account is unpaid. Since credit card debt is unsecured debt, the creditor needs a judgement to collect from you.

What percentage will credit card companies settle for?

Typically, a creditor will agree to accept 40% to 50% of the debt you owe, although it could be as much as 80%, depending on whether you're dealing with a debt collector or the original creditor. In either case, your first lump-sum offer should be well below the 40% to 50% range to provide some room for negotiation.Jun 11, 2021

Is it better to settle or pay in full?

It is always better to pay off your debt in full if possible. 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.Apr 16, 2021

What percentage should I offer to settle 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.

Is it better to pay off original creditor or collection agency?

In most cases, the original creditor will give you more generous terms for repayment than any debt collector will. The original creditor will also be happy to recoup the debt that they extended to you, at least most of the time. Paying the original creditor can also help your credit score in many cases.Jul 30, 2021

Is it worth it to pay off collections?

It's always a good idea to pay collection debts you legitimately owe. Paying or settling collections will end the harassing phone calls and collection letters, and it will prevent the debt collector from suing you.Feb 2, 2020

What should you not say to debt collectors?

3 Things You Should NEVER Say To A Debt CollectorNever Give Them Your Personal Information. A call from a debt collection agency will include a series of questions. ... Never Admit That The Debt Is Yours. Even if the debt is yours, don't admit that to the debt collector. ... Never Provide Bank Account Information.Sep 21, 2021

How to respond to a credit card lawsuit?

Talk to an Attorney. If you need help responding to a lawsuit for nonpayment of a credit card debt, consider hiring a lawyer . But keep this in mind: If it costs more to hire a lawyer than what the creditor seeks in the lawsuit, it might not make sense to seek attorney assistance. Talk to a Lawyer.

What happens if you don't defend against a credit card company?

If you don't defend against the suit, you will automatically be held legally liable for the full amount stated in the lawsuit.

How long can a debt collector sue you?

Each state defines how long a debt remains collectible and this typically ranges from three to ten years .

What is failure to state a claim?

Failure to State a Claim. Most states require credit companies or the debt collector collecting on the account to attach to the complaint a complete set of documents. These documents usually consist of the original contract and any document showing that the company suing you actually owns the debt.

What happens if the court rules in your favor?

If the court rules in your favor, the credit card company loses and can't collect against you for the debt. You should consider requesting damages from the court against the credit card company to help pay for your attorneys' fees. The court dismisses the case. The court may dismiss the case for many reasons.

What happens if you stop paying your credit card?

If you fall behind on your credit card payments —or stop paying altogether—your credit card company has a right to file a lawsuit against you.

What is a discovery request?

Filing discovery requests forces the credit card company share relevant information to your case. If you believe the credit card company possesses documents or other information that supports your arguments, file a request with the court. The request should specifically describe the items you seek and why you believe they're relevant to your case.

2 attorney answers

From your question, I'm not sure you need an attorney. If a creditor already has a judgment against you, you can go to the courthouse and pay the judgment and the judgment will be satisfied.#N#If, however, you are looking to compromise your judgment, you may need help...

Jonathan Gerald Kreider

From your question, I'm not sure you need an attorney. If a creditor already has a judgment against you, you can go to the courthouse and pay the judgment and the judgment will be satisfied.#N#If, however, you are looking to compromise your judgment, you may need help...

What happens if a creditor files a lawsuit against you?

If the creditor files a lawsuit against you, the case may eventually proceed to trial. At trial, the burden is on the credit card company to prove that you owe money. If it has provided enough evidence to show this (typically in the form of a signed credit agreement and accounting or billing statements), the court will issue a judgment in its favor, unless you have proven to the court that you don't owe the money. There are many steps in a lawsuit between the complaint and the trial—to learn more, see Creditor Lawsuits: What to Expect When the Case Is in Court.

How does summary judgment work?

Summary judgment is a means by which the creditor can obtain a judgment against you without having to go to trial. The creditor files a motion for summary judgment and tries to convince the judge that none of the facts of the case are in dispute—for example, that you signed a legal loan agreement, made no payments, and have no defense as to why you're not paying. The creditor also must convince the judge that it is entitled to judgment as a matter of law. If the judge agrees with the creditor, the judge can enter a judgment against you without any trial taking place. The creditor should not win if there are any material (important) facts in dispute (for example, if you claim you didn't sign the agreement).

What happens if you don't file a complaint?

If you do not file an answer to the complaint within the response period, you lose the right to challenge the creditor's lawsuit. If the creditor presents enough evidence to the court showing that you owe the debt, the court will grant a default judgment.

What is settlement agreement?

In a settlement agreement, you and the creditor agree to certain terms. For example, you agree to pay the creditor a certain sum of money and the creditor agrees to dismiss the lawsuit. Sometimes, the creditor negotiates for a judgment order as part of the settlement.

Can you keep your retirement account in bankruptcy?

If bankruptcy might be inevitable, think twice before using retirement funds to pay bills. Most people can keep their retirement account in bankruptcy.

How to sue a creditor for a debt?

When a creditor sues you to collect debt you haven't paid, you have three choices to deal with the lawsuit: 1 allow the creditor to obtain a judgment against you (called a "default judgment") 2 defend the lawsuit yourself, or 3 hire an attorney to represent you in the lawsuit.

What is a defense in a lawsuit?

A defense is a reason why you aren't liable for the debt or a reason why the creditor shouldn't be allowed to collect the debt. Here are some common defenses to creditor suits: the statute of limitations (the time period in which the creditor must bring the lawsuit) has run.

What is a counterclaim?

A counterclaim is a claim that you have against the creditor. In most states, the counterclaim must relate to the transaction at issue in the creditor's lawsuit. For example, say the creditor sues you for nonpayment of a credit card debt.

Can a creditor get a judgment against you?

allow the creditor to obtain a judgment against you (called a "default judgment") defend the lawsuit yourself, or. hire an attorney to represent you in the lawsuit. Which option is best for you will depend on a number of factors.

Can you keep your retirement account in bankruptcy?

If bankruptcy might be inevitable, think twice before using retirement funds to pay bills. Most people can keep their retirement account in bankruptcy.

Gordon R. Leech

You may want to speak with a consumer attorney that handles debt collection harassment and identity theft matters. You may be able to find one on AVVO or you may want to search the Member Directory for the National Association of Consumer Advocates, which is organized geographically by state. See link below.#N#More

Eric Edward Rothstein

A civil litigator. Depending on the amount you are out hiring a lawyer may not be cost effective.