About to be served...still time to negotiate?

[my2girls]

Hi All,
Well I p****off our credit union a few weeks back (got into a VERY heating yelling match) with one of their collections reps. Apparently she didn't like it too much and has sent our personal loan only (80 days past due) and CC only (60 days past due) to a debt collection atty. When i called today to try and make a payment arrangement with the CU (need to buy some more time) I was told our account was turned over to a collections agency (who I found out from their receptionist today) is now attempting to serve us.

Here's my question,
Do I try (if it's even possible) to negotiate a reasonable payment with the atty's to buy us some time or is it already past that point?

Do we have to file a response once we're served anyway to let the process run it's course?

Any advice on how to "stall" till November? Don't want to be garnished.

[AngelinaCatHub]

Hi All,
Well I p****off our credit union a few weeks back (got into a VERY heating yelling match) with one of their collections reps. Apparently she didn't like it too much and has sent our personal loan only (80 days past due) and CC only (60 days past due) to a debt collection atty. When i called today to try and make a payment arrangement with the CU (need to buy some more time) I was told our account was turned over to a collections agency (who I found out from their receptionist today) is now attempting to serve us.

Here's my question,
Do I try (if it's even possible) to negotiate a reasonable payment with the atty's to buy us some time or is it already past that point?

Do we have to file a response once we're served anyway to let the process run it's course?

Any advice on how to "stall" till November? Don't want to be garnished.

Well I'm not sure about MI law, but a Collection Agency does not normally sue. If in your state they do, well you best respond or they will get an immediate Judgment against you and then will probably act fast for your garnishment. Your answer at the hearing could stall them. Depending on how prepared they are, be more prepared as to ask for proof of correct balance (an old ploy), at that hearing you might explain to the Judge that you wish to pay but to work out a term that in your case would work out.

Remember we are in a Depression forget that word recession, we are far beyond the numbers of Depression one. So you see, except for probably poor tacked with your CU person, you do have the lack of our economy to back up your woes. 'Hub

[IamOld]

Wow my2girls - I think I'm in the same boat with yuo...I expect then to be sued by my CU - as I missed a $100 payment to them...sorry no spare $100 for them. Not a peep from them...odd but not unexpected.

I need to make it to Sept, you to Nov....listen to Angelina...have to stall them as long as you (we) can!!!!

[frogger]

You will probably have more success working out some type of payment plan with the collection agency that can buy you some time. Good luck.

[my2girls]

Thanks everyone, it actually appears they have retained an attorney (a debt collection attorney working on behalf of the creditor looked them up online) to sue us as soon as we are served...can I negotiate with the attorneys or does it have to run it's course through the court system...any advice on how I answer the summons? Sorry for so many questions.

[frogger]

That "attorney" that they have retained, is a debt collector. With an attorney, everything is negotiable.

[catleg]

Typically before an attorney will file suit you will get a 30 day demand letter (this is what you owe, pay it within 30 days or we'll sue you).
Until you get such a letter, chances are it's a normal garden variety collection agency.

[IamOld]

Typically before an attorney will file suit you will get a 30 day demand letter (this is what you owe, pay it within 30 days or we'll sue you).
Until you get such a letter, chances are it's a normal garden variety collection agency.

Catleg, is that "always?" Even for say an in-house attorney...I'm thinking about my credit union here...so in other words, is this "universal?"

[catleg]

I am reminded of the scene in Delta Force (the movie with Chuck Norris and Lee Marvin) after they rescue the American hostages from Beirut and the terrorist comes on the radio and says "Americans! I want to negotiate!".

P.S. to IamOld: I think this is fairly universal. I cannot think of a time I didn't get a 30 day warning notice before a lawsuit.

[IamOld]

Nice movie reference Catleg!

And thank you as always!

[mckinnea]

Okay - I'm in Michigan too and our Credit Union is assuming serious collection attacks. Notes left on family members doors. Car repo'd after 1 late payment.. We're filing at the end of August so - hopefully we have enough time to avoid garnishment. Although, even if we are garnished - we'd still have more in our pockets than we did when trying to pay everyone..

[IamOld]

Wow - is it the Tony Soprano & Family Credit Union? It amazes me that they're the ones that are such hard---es. Anyway, the Navy Fed Credit Union are...toughs once you're late...but that's neither here nor there.

I think if you will file in August, just follow through with whatever legal paperwork you get, file answers, and delay delay delay. HOPEFULLY once you've filed, they will give you the gift of a few stay violations!!!

Now from now till Aug 31 even is about 5 weeks - there should be NO way they can get a court date even that fast!

[mckinnea]

Lol!!! Actually - its a new credit union to me as they just purchased my former credit union 6 mos ago.

This Union is from Detroit area (I am not) and I believe with the auto industry buckling in Michigan - they (credit union) have become hard core in an attempt to survive. Just a theory but I think its a good one.

[IamOld]

Yep, hard core is right - of course that would also mean that they're trying to squeeze blood from stones!!!! Aug isn't far away though!

[sunshinepa]

Typically before an attorney will file suit you will get a 30 day demand letter (this is what you owe, pay it within 30 days or we'll sue you).
Until you get such a letter, chances are it's a normal garden variety collection agency.

Catleg is correct, you will get that letter. Then start the stall tactics. Ask for debt validation on the very last day, that buys a week or two. Then it will be another few weeks for them to actually file suit and to get served the papers. Then you have usually 20 days to respond..........you can stall this.