Wait to be sued for old CC debt? Set up payment plan? Ignore it?

[LuciluS]

No you have to file your taxes on time. IF there are amounts that are due to the IRS that are more than 3 yrs past due those are the only ones that are dischargeable, but you are responsible to pay the taxes within the past three years.

There is a thread posted by HHM on this very subject with the deadlines. Don't mislead the OP.

Let's hope the OP at least filed her taxes to avoid an additional 10% penalty. It behooves me, when I hear people don't file their taxes because they owe. They need to realize there is a flat 10% penalty for NOT filing. Then there is the tax they owe and another 10% penalty, plus accural of interest until tax is completely paid.

Yes, sometimes, you can get the 2nd penalty and interest discharged and taxes IF you filed those years. If you didn't file them, let's say like for 2003 wasn't filed until 2008, and file Bankruptcy, your 2003 taxes are NOT dischargeable because you didn't file in 2004.

Luci

[pdxgrrrl]

Thanks for all the feedback.

I called another BK firm and have an appointment on Tuesday. They thought a Chapter 13 would be the way to go and I can retain their services for $50. The cost to file the petition would be $300-600 which is MUCH more affordable than any of the other lawyers I've talked to. If it's on the lower end (and they thought it would be since it's a fairly simple case -- I have no assets, spousal/child support obligations, no business, etc.), I could file within a month or so. That puts my mind at ease a little bit.

I sent a letter to the sue-happy lawyer. I asked him if he would accept a payment plan that involves me paying $75.00 per month. I didn't outright admit the debt was mine, nor did I send any money with the letter, and I sent the damn thing via certified mail, return receipt requested. I'm hoping I can retain a lawyer before I hear from this jerk again. I'd rather throw my money towards filing BK than paying off an old debt, especially since this guy isn't the first person who's tried to sue me. (Nor will he probably be the last. Sigh.)

[StartingOver08]

Yea! I'm glad you found someone to help you. This way your debt can be discharged and your taxes can be paid in the plan!

[LuciluS]

Ditto on what StartingOver said. Just needed a little prodding to find that Lawyer. Good Luck!

Luci

[EricaCallaha]

I am really glad that you found a lawyer that you can work with. It sounds like everything is going to work out well for you.

Good Luck!

[pdxgrrrl]

Bumping this up because I received a summons from the lawyer who wants to sue me. I just got it.

I haven't hired an attorney yet.

HELP!!!

[EricaCallaha]

Relax. See the attorney on Tuesday and go from there. When does it say you need to answer the summons by?

[StartingOver08]

Just bring the summons with you to the attorney appointment. Bring as much information as possible so your attorney and you have a in depth interview. Sounds like you are on the right path. Most good attorneys can file an answer to delay the suit long enough to get you filed.

[pdxgrrrl]

Just bring the summons with you to the attorney appointment. Bring as much information as possible so your attorney and you have a in depth interview. Sounds like you are on the right path. Most good attorneys can file an answer to delay the suit long enough to get you filed.

Do lawyers typically want all the fees paid before they'll file an answer? The summons says I have 30 days to respond to it and I'm supposed to file an answer. It was delivered on the 27th, so I have until April 26, I guess. I'm asking because if I go with the lawyer I see on Tuesday, I can afford the $50 retainer, but I'll need to wait a few weeks before I can start paying the rest of the fees. (My latest paycheck is going towards rent, utilities, and insurance. It's basically gone as soon as I get it.)

I called several more attorneys this morning, even though it's the weekend. Left voice mails. I started putting together some paperwork -- I made a list of my assets (which are non-existent), a budget, and I made a list of all my creditors, including names, addresses, phone numbers, account numbers, and balances. For the CC, medical, and other unsecured debt, it was just over $15k, which is about what I thought it'd be. While I was going through my papers, I noticed another CA is threatening legal action for another debt of $3000. The fun continues! </sarcasm>

[treehugger1]

As I mentioned, if you get a summons in Oregon filed through an attorney firm, it will be circuit court (not small claims.) I think dealing with your own attorney at this time could be the way to go. On the other hand you could file your "answer" on the 30th day after receipt. The cost is pretty steep ($180 or close to this.) Your county might have a reduced cost plan if you do not have the money to file. I'm not sure how this works. The attorney is gambling that he/she will not receive an answer. It could be the case that you are in a "arbitration required" district. If so, your answer could set into motion an automatic arbitration meeting. This could buy another 30 - 90 days depending upon how long arbitration is backed up in your county. But, one thing to keep in mind is that this attorney is really guessing you will not answer the summons. So, you have to decide if you will answer or work with a BK attorney to shut this down.

[BigJohn]

If she files bankruptcy, she doesn't have to respond to the summons.

[kornellred]

The statute of limitations on debt collections is only good if a debtor has not affirmed the debt. If you utter one word in a phone conversation relative to payments or other arrangements, or if you hint at anything in print that indicates that you obviously owe the debt, the clock gets reset to zero.
Getting out of debt by way of the statute of limitations is next to impossible.

[pdxgrrrl]

As I mentioned, if you get a summons in Oregon filed through an attorney firm, it will be circuit court (not small claims.) I think dealing with your own attorney at this time could be the way to go. On the other hand you could file your "answer" on the 30th day after receipt. The cost is pretty steep ($180 or close to this.) Your county might have a reduced cost plan if you do not have the money to file. I'm not sure how this works. The attorney is gambling that he/she will not receive an answer. It could be the case that you are in a "arbitration required" district....

Yeah, the summons/complaint is through a county circuit court. The complaint says "Suitable for arbitration," whatever that means. It also says in the complaint that they're suing me for "unjust enrichment," which made me laugh for some reason.

One thing that I found weird about the papers I received is there is no date on them anywhere. Is that normal or is the other lawyer screwing with me?

[BigJohn]

What was the debt used for?

Did you make any payments?

How long did you have the card before you defaulted?

[pdxgrrrl]

What was the debt used for?

Did you make any payments?

How long did you have the card before you defaulted?

I used the card for life expenses: gas, food, etc. And I did make payments on it until I couldn't anymore. The use of the card wasn't fraudulent, if that's what you're implying.