small claims collection question

[DYLAN150]

I owe a credit card company less than $1000 and they have turned it over to an collections agency. Do they normally use small claims court for this action?

[mountanddo]

I wouldn't think so.

[treehugger1]

If the collection agency is local, then they may have plenty of experience suing in small claims. So, yes, they could use small claims.

I had several local creditors and one local collection agency sue me in small claims. I had one national unsecured creditor (American General) sue me in small claims. Small claims was a pretty simple process for both parties.

For many states, including oregon, an attorney is not permitted to represent either party in small claims. I think this si what slows down suits in many states.

Have you sent a DV request to this CA?

[DYLAN150]

Tree: Have not sent out a DV yet but going to this week. Also note that this is the second CA to handle this debt. Sent first CA a dv letter and they never replied.

[AngelinaCatHub]

Any amount below the state's civil action amount ie FL is 15K, must be a small claim. The Judgement is just as strong as any judgement. For 1K and the amount of time it would cost, most are not likely to go to the trouble of a suit. However, they can, but they can only collect what you owe, and then the Court costs of filing and service of the suit. For 1K I would call their bluff. Always in small claims, arbitration is offered if the suit gets that far. After that you may get a trial before the Judge. Most of the time the Judge may give his award or dismissal in the single showing if arbitration does not work. 'Hub

[DYLAN150]

I have now sent out about 8 DV letters to various CA's and have never heard back from any of them. In fact, the debt ends up in another CA's office.

[treehugger1]

Dylan, I thought you said the original firm had sent you a summons. If that was the case, and they did not move to officially file with your courthouse upon your request (Washington Rules), they could be in violation of the FDCPA for threatenting to sue and not acting. Then again, who has the time to spend attempting to argue FDCPA claims.

If the first collection agency did not reply to your DV and it got farmed out to another CA, then this is pretty standard in my experience. I had some accounts go through 4-5 CAs.