Got DV from legal firm

[treehugger1]

After 18+ months I finally get a verification of debt (soild acounting in my state and federal judicial systems.)

It seems clear that the legal firm will proceed to lawsuit. THey have clearly provided evidence of the debt. Only an idiot judge would assume they need to produce an "original" contract, etc.

What to do?

I'm tempted to call the legal firm and offer a 60 month payment plan on the original principle. I am prepared to file a BK 13 after 2 years, but I am hesitant if a settlement agreement can be reached for the amount I would have to repay in a BK 13. I'd be under a 100% payback plan in a 13.

Should I send a reply offering to settle for the amount divided by 60 months (as much as they would receive in a BK 13,) or should I let them take me to small claims and wait out a decision under mediation?

Should I lay all my cards on the table; no assets, all personal property, pension plans covered by exemptions, etc. Or, should I sit on the sideline and see what their next move is?

They could attempt the case in district court or small claims here (the amount is under the $7500 limit for filing small claims in my state.) They would still need to serve me in order to set the claim in motion. If served in small claims, there is very little cost assciated with "denying the claim," an drequesting a hearing. If served in district court, the cost is $180+ dollars to file an answer.

No violations have occurred under my state or federal laws.

I estimate the timeframe to being served is 10 - 30 days. Would I be better off to wait until being served, or better off to to wait until default judgment to attempt any settlement agreement?

Could I send a written reply acknowleding their DV and suggest I neither admit or deny the verification, but I'm willing to agree to an appropriate plan to address this as in the best interest of all parties that I consider this a nuisance and would like to reach agreement?

Just curious of other's thoughts.

[albacore44]

Who was the original Creditor ??

[treehugger1]

This is the first time I've received anything of substance from a real attorney. I was panicking a bit. LOL I'll take more Xanax.

Its not that big, so your right in that I should ride out the garnishment plan. I suppose I might also create even more fees if I attempt to "deal with the attorney firm."

[GoingDown]

This is the first time I've received anything of substance from a real attorney. I was panicking a bit. LOL I'll take more Xanax.

Its not that big, so your right in that I should ride out the garnishment plan. I suppose I might also create even more fees if I attempt to "deal with the attorney firm."

I would send them a letter explaining that except for wages, you are pretty much judgment proof, and there are already garnishments in place, so even if they get a judgment, they won't get paid anything for a long, long time.

If I was them and I got a letter like that, I would put your account on the back burner and go after easier targets first.

I have sent numerous collection attorneys my judgment proof letter where I explain exactly why I am judgment proof and explain to them that I know the law and my rights and that essentially they can't do anything to me. So far only one of them has ever bothered to sue me (and they have not yet received even one red penny from me, and they never will!).

I think when they get a letter like that they realize that their usual method of scaring me into voluntarily paying them to avoid a big scary judgment is not going to work for them, and so they give up and go after people who are easier to scare into paying them.

You have to remember, they have bills to pay and if they spend huge amounts of time, effort, and money on someone like you, they will go broke themselves and have to end up filing for bankruptcy too.

They love easy targets.