bad debt collection
my wife has run up a large credit card bill for the second time in 10 ten years and now I am facing legal collection. I have the means to pay with other credit cards or second morgage on my home. I have offered 3500 for a 7900 bill. Then the collection company counter with 5000 after I said I would try to get 5000 together the collection compnay said that they could accept any thing less than 5500 then this morning I was told nothing less than 72% which wold be 5700+. I feel like I am be played and now I don't want to clear this matter up. What can I expect and if they do get a judgement can I not file a one time exemption for up to 10,000? In the collection company efforts they have called my mother and discussed this case and make claims of taking me to court if I don't pay. Is this legal?
1 Answer from Attorneys
Re: bad debt collection
I would say this - you can do a lot of research on the internet on fair debt collection and I would advise you to do that. There are penalties against creditors for violation of the fair debt collection act. However, you may need to notify them in writing (about how to contact you, etc.). In most cases, a debt collector can only contact third parties to find out where they live.
Now I don't know if you are liable for the debt in addition to your wife. If you are not, then they may only be able to sue your wife. If they are able to sue you and are able to obtain a judgment against you, then you will be sent a Notice of Right to claim your statutory exemptions.
This might be the type of case where you want to consult some type of debtors attorney in your area. He or she may be able to negotiate a better settlement and let you know if the creditor has violated any laws regarding debt collection.