Legal Collections???

[feelingnutsy]

Just got a letter from Citibank saying that if I don't call within 30 days
to make arrangements for payment---my acocunt will be turned over
to an attorney licensed in my state(Virginia) for further collection efforts
including possible lawsuit to obtain a judgment.

Is this a new thing---to go directly from the OC to an attorney?I guess
that i thought that it would go to what I figured was a regular collection
agency first.

Does anyone have any insight on this? Thanks.


To The Mods---please delete my post with the same
title in the General Bankruptcy folder.
I posted there by mistake---sorry.

[frogger]

Just another collection tactic. Don't get too excited......

[feelingnutsy]

Hey---Frogger---thanks for the info.

I'm just now starting to enter the period at about 120 days late---
when the tactics are beginning to get heavy-handed---and I'm trying
to separate fact from fiction---just trying to stay the course.

[tigergem]

Always assume that anything a collector or creditor tells you is fiction. Why would they tell you the truth? Of course they want to scare you into paying. Unless you get a notice from a COURT OF LAW - - because even attorneys that act as collection agencies will LIE to you - - just ignore it. File it for reference, but do not talk to these people.

[AngelinaCatHub]

Your letter is a VERY common form letter. I've seen my own, I've seen many like you post the same rhetoric. That is only what it is until you get a service by a sheriff or server for a suit. You have NOTHING to worry about. 'Hub

[feelingnutsy]

Thanks for the feedback---tigergem and Hub---and makes me feel better---
and it also better educates me as to the scare tactics and rhetoric going on.

[frogger]

possible

That's the key word. Possible.

Look for words like may, could, might, possible........

Anything that suggests action, but is not concrete in its definition. A CA can use the suggestive words all day long for the fear factor, but once they use a word that is a definate thing (like they will sue you or are going to sue you), then they must follow it to completion, or they will have violated the law by threatening you.

They can threaten you and say the are going to file suit, but when they do that, they must follow it to completion in order to obey the law.

[OHBOY]

feelingnutsy:

I recieved the very same letter from Citi, and I do mean IDENTICAL. Mine was dated 03/04/2010.

What has me puzzled is the fact that today, 03/13/2010 I recieved a letter from 'ZAKHEIM & ASSOCIATED' on same account stating :

...'our law firm is attempting to collect a debt that is owed to CITIBANK...'
....'this communication is from a debt collector'.... ..'At this time no attorney with this firm has personally reviewed the particular circumstances of the account'....

I think it's strange that obviously CITI did not adhere to their own letter which stated ....'Unless such arrangement is established within thirty (30) calendar days from the date of this letter, we will refer your account to an attorney licensed in your state for further collection efforts including a possible lawsuit to obtain a judgment.'....

Since you posted your thread did you too get a letter from an attorney CA within that 30 day time frame ?

[treehugger1]

Citi seems to be getting more aggressive. I have been sued by an out-of-state collection law firm (members of MY state BAR.) They have the default judgment, but since I have no assets and my wages are already garnished at 25% and subject to 15% student loan garnishment, they have to play the waiting game for garnishment. The same firm recently dunned me for a second Citi-backed card (searz) and I have no doubt they will file suit. I have to asume that many attorney firms are billing by the hour or case for Citi. If such is the case, it makes no difference whether or not they "win." The legal firms are probably getting paid. Pretty dumb business model for Citi, in my opinion.

I would assume that Citi will initiate suit. I see an increase in my state-county district of suits filed by discover, citi, and chase.

The original letters I have received from attorney firms who went on to initiate suit all stated, "at this time no attorney with our office has reviewed this case..."

I have noticed that Citi appears to use attorneys who are generally members of your state BAR, regardless of whether or not they are physically located in your state. But, that is good enough.

As always, your mileage may vary.

[feelingnutsy]

Hey---treehugger---my letter was dated March 7---so it looks like
Citibank did a bunch of them on different dates---and I haven't received
a letter from an attorney---as you described---and yeah---Frogger---
most definitely vague wording---loophole talk---to temporarily sidestep.

[catleg]

You will likely be sued. Virginia is considered a creditor-friendly state.
I got sued (along with my wife) 5 times for 5 separate Citi accounts. (obviously the local law firm is paid by the # of cases filed)

[jwmc1]

Igot the same letter from Citi and 30 days later I got a letter from a local law firm.

[feelingnutsy]

Thanks for the info---jwmc1---and when you say 30 days---do you
mean 30 days from the date that you got the letter---or 30 days from
the date given in Citi's letter when you have to reply?

Plus---was the letter from the law firm a direct lawsuit---or letting
you know that said firm would be attempting to collect the debt first?

[jwmc1]

Thanks for the info---jwmc1---and when you say 30 days---do you
mean 30 days from the date that you got the letter---or 30 days from
the date given in Citi's letter when you have to reply?

Plus---was the letter from the law firm a direct lawsuit---or letting
you know that said firm would be attempting to collect the debt first?

Received a letter from UCB giving me 30 days to pay or dispute the validity. I did nothing. After the 30 days (roughly) I received a letter from a law firm stating they had been retained by Citi to collect the debt. I have 30 days...blah....blah...bah.

[LostNFound]

I received a generic letter from a law firm in my state which told me I had 30 days to pay or dispute validity of the debt. I had until March 20th to react. So, I sent them a letter asking for verification that the debt was actually mine. I sent it in Feb and haven't heard anything yet, but maybe that means they are going to send me a summons to go to court. I haven't paid on my ccards for 13 months and not one summons...not sure why? At this point, I may actually have a little bit of money to settle, but I'm concerned that settling with one would create havoc for the other 4 that I can't settle right now. I hate to wake a sleeping giant!