Am I on the verge of being sued?

[cupcake]

I received a letter today from Zwicker & Associates, a debt collection law firm, advising that they represent AmEx and that they want to make payment arrangements on the debt. I also received a voicemail message today from the same firm, different person, regarding my B of A account. Both of these accounts are only 90 days past due.

So, does this mean AmEx and B of A have charged off my accounts or did they just assign my accounts? How quickly will this firm file suit against me? Should I respond to the letter and/or voicemail?

I met with a BK attorney in July and he told me to wait five months and call him back and that we'd start the process then.

Any help would be greatly appreciated. I am not surprised that this is happening but I am a little shocked by how quickly these two banks charged off the debt.

[fltoo]

They have been sending me letters for over a year. Nothing happened so far.

[AngelinaCatHub]

A law suit takes months. You are getting first responders now. Perhaps due to the times we see unfolding. At this time, if you respond at all, let them know you will do the best you can to pay or at least pay a portion. I would let them know you are struggling. You certainly are not one of few. You will have filed long before they make an attempt.

Do not ignore a subpenea though and do not let them get a Judgment. Keep your attorney informed and even if you have not filed, you may admit you are C7 and here is your attorneys phone number. We went 16 months and the calls stopped.

Cupcake, Mrs. and I agree, you are a doll, hang in there. 'Hub

[allavdj]

I received a letter today from Zwicker & Associates, a debt collection law firm, advising that they represent AmEx and that they want to make payment arrangements on the debt. I also received a voicemail message today from the same firm, different person, regarding my B of A account. Both of these accounts are only 90 days past due.

So, does this mean AmEx and B of A have charged off my accounts or did they just assign my accounts? How quickly will this firm file suit against me? Should I respond to the letter and/or voicemail?

I met with a BK attorney in July and he told me to wait five months and call him back and that we'd start the process then.

Any help would be greatly appreciated. I am not surprised that this is happening but I am a little shocked by how quickly these two banks charged off the debt.

My AMEX account has been through three collection agencies and two different "law firms". The first "law firm" sent all kinds of nasty nasty letters threatening legal action...then they sold it off to another collection agency. I don't know how much you owe, but mine is around 13,000. I stopped paying about...6ish months ago. I get a daily phone call from the new collection agency and the occasional letter, I just ignore them.

Unless you have significant assets or a garnishable paycheck (one -worth- garnishing), I wouldn't really worry about it...they will spit lots of venom, but it's unlikely they will actually bite.

[BigJohn]

7 months for me and I have 2 accounts.

I don't talk to them or write back and all they do is ask me to contact them. I am not sure if they have actually sold the account but they have other people trying to collect.

[ready2puke]

AmX is the worst...I owe them a whopping 700 or less I cant remember but they call me daily....Get a life will ya? lol

[Lajazz947]

I also got a letter from Swicker and I called them once and have ignored them since.

Its been about 2 months since they last contacted me.

[kornellred]

It is my understanding that large banks always sell bad debt because it is to their advantage. Selling the debt when a debtor is only 90 days in arrears seems a bit unusual. I guess there is no longer a good reason to wait and try to persuade a debtor to start paying again.

Nevertheless, the Fair Debt Collection Practices Act defines what debt collectors can and cannot legally do - no matter what is said or by whom. Intimidation will go out of style when it no longer works. Who knows how long that will take....

[cupcake]

Thank you all, so much, for your replies. I had a feeling that I still have a little time left before this (or another) firm files anything against me. I (we) currently owe AmEx $17,000 on one card and B of A approximately $50,000 on two cards. The only good thing about both of these accounts being so much is that they cannot file in small claims court. The small claims process is really quick with no discovery period so they could get a judgment very quickly. I am currently separated, no kids, and earn approximately $42,000. Michigan does allow wage garnishments but there is a 25% cap. Both of these creditors know I am employed because they have both called me at work and my employer's name is on my credit report.

I haven't decided yet if I will call this firm back. I'll think about it and call my attorney in the meantime. I will occasionally answer the phone for the creditors to tell them that my situation hasn't changed, just so they know I am still alive and kicking. I am really surprised by how nice and understanding every single one of them has been. I have yet to talk to anyone who has been rude or who has treated me badly.

About the only thing I've got going for me is that I am a litigation paralegal and so if I am sued in district or circuit court I've got the ability to adequately defend myself (and my soon-to-be ex). I can cook up some really good discovery requests to stretch this out and buy some time. I am not worried about being sued but I sure would like to avoid a payroll garnishment while I wait to file.

Thanks, again, for all of your help. You guys are the best and I feel better knowing that Zwicker most likely isn't going to file suit tomorrow or anything. Take care everyone!

[DM20]

Be careful with this firm - they will proceed.

[cupcake]

Be careful with this firm - they will proceed.

Were you sued by them? If so, how long did it take for them to file from the time you were first contacted?

[DM20]

In the process, not sure exactly, just a few months - 4-6 I would guess. I am in Ohio and the amount was less than $6000.

[cupcake]

^Did you respond to any of their letters or phone calls? I am just trying to figure out the best course of action that will buy me the most possible time. I just need to hold them off for three months while I wait to file. I called my attorney but he is out of the office all week.

[DM20]

I did not respond - I rec'd a summons last month and they are proceeding for a judgement. I wish I could be more help with the timeline. I have been ignoring them hoping they would go away. If you do a search on them you will see that they have attorneys in several states and do obtain judgements. I believe they do work for AM Ex and Discover a lot. I wish you luck!

[All Cash]

Cupcake owing in excess of $50K and 17K with two creditors will get you sued. Been there done that. All creditors have limits on when they chose to take legal action. In my experience owing over 10K to one creditor will get you in national arbitration or district court. Be prepared to file for bankruptcy. Their claws are coming out with owing that kind of money.