Is this a fair settlement amount?

[tinfoilhat]

I had a wells fargo account that reads charged off on my credit report. I got served a summons. I owe $7400.
Northstar Capital acquisitions LLC of wells fargo had a local attorney handling the case.
I got my own attorney ($600) he said he's going to offer a settlement amount of $2500, and it will be marked as 'judgement with prejeduce' this way I will never hear from wells fargo again.

Is this true? and is this an average amount?

[BigJohn]

Why not bankrupt?

[tinfoilhat]

Why not bankrupt?

My other post about the assets answers that.
I know I could have filed chapter 7 and gave my assets away, but I'd get more money for them with a private sale. That and the fact that I didn't really want to get rid of them.

Like I said in the other thread I'm 100% ready to file except for giving the car to my father. Had I known I'd sell the other one within a week I wouldn't have done that.

PS I had one consultation and the bankruptcy lawyer said I'm ready, 3 months I'll be free. Then I told him I owned a car at the time worth $14,000 he asked me if I wanted to lose it and I said no. He said we'll cancel your appointment then, and that was it.

This was early on, if it wasn't for the car I would have filed, but I did find work and continued paying for at least 18 months using work, selling off everything else I own, etc.

Now I have zero assets, maybe an old pickup truck that they can have, I live with my dad, single, etc.

[StartingOver08]

If you have decided not to file BK, then settlement is a viable option. Buy why is your attorney having you sign a Stipulation for Judgment? (I made this assumption based on your post phrase " judgment with prejudice".)

If you are going to settle the account, check with your attorney to see if you can have an settlement agreement without the judgment.

[HHM]

The lawsuit is already open and the judgement with prejudice forecloses any possibility of future action.

The dirty secret of debt settlement, once the debt gets in the hands of debt buyers, the deficiency is sold off for further collection, despite that flimsy letter that says paid in full.

[albacore44]

Was it a Wells Fargo credit card you stopped Paying on ?? when was the Last Payment ??

[tinfoilhat]

the judgement with prejudice forecloses any possibility of future action.

That was my attorneys answer to my question about anyone trying to collect on it again.

Was it a Wells Fargo credit card you stopped Paying on ?? when was the Last Payment ??

Yes, last payment late 2007.

[kenshirley]

And filing a BK is rather complex if this is the only problem you have.
The fee for an attorney a BK can run you near what the settlement offer is.
I would take it.

[tinfoilhat]

And filing a BK is rather complex if this is the only problem you have.
The fee for an attorney a BK can run you near what the settlement offer is.
I would take it.

You missed this post (sorry I didn't want to ask two questions in one post)

Basically THIS ONE filed a complaint and I'm working on settling THIS ONE.
I have $50,000 +/- in 9 or 10 other debts I'm going to have to deal with in the future. Thats the problem, I can't settle 9 debts via lawsuits, I think chapter 7 will be the better route.

[optimistic1]

The dirty secret of debt settlement, once the debt gets in the hands of debt buyers, the deficiency is sold off for further collection, despite that flimsy letter that says paid in full.

How does one fight this type of action?

[BigJohn]

How does one fight this type of action?

The JDB makes the claim and because consumers keep crappy records, they can win. For example, a creditor makes a claim of XXX amount in interest and late charges and the consumers accepts that numver as valid. Whoever checks the validity of their math?