multiple cc's creditor limited to one court claim?

[IOIOIO]

Someone I know intimately owes a lot on several different credit cards. Bank consolidation over the years has made Citibank the creditor for each card. If all the cc's go into default, can Citibank pursue a separate small claims case, where the limit on damages is $7500, on each account even though the account holder they're suing is the same person? Or is Citibank forced to sue in a superior or district court if it wants to get a judgment for all the debtor's debts combined in excess of the small claims limit of $7500?

[GoingDown]

Someone I know intimately owes a lot on several different credit cards. Bank consolidation over the years has made Citibank the creditor for each card. If all the cc's go into default, can Citibank pursue a separate small claims case, where the limit on damages is $7500, on each account even though the account holder they're suing is the same person? Or is Citibank forced to sue in a superior or district court if it wants to get a judgment for all the debtor's debts combined in excess of the small claims limit of $7500?

Yes, they can still separate them out and file individual lawsuits in small claims court for each one if they wanted to do that, but why would they want to do that?

If it gets sold off to a junk debt buyer like Unifund, they will just lump them all together and sue you in superior court. It makes sense for them lump them all together because then it's all reduced down to one judgment to keep track of, instead of multiple judgments.

[IOIOIO]

I was thinking they'd prefer small claims court because it's a lot cheaper than superior court for a plaintiff for several reasons. If their prefeerence is superior court, that's interesting to know.

[debtisbad]

If you file BK, there is nothing they can do.

[Bobby'sGirl]

I wound up with 5(!!!) Chase accounts

And only one started as Chase; the others were Bank One, First USA, AOL and United Air: some were backed by one or the other banks, and then all acquired through mergers by Chase All of them were charged off after 6 months non-payment and sold to collection agencies: a different one for each account! So even then no attempt at consolidation by Chase. Some were under $5000, only one over $10,000. I will be filing at about the one year point after my business failed and no payments on these accounts, with no moves toward a judgement against me during this year.

But I may appear judgement proof on paper, close to retirement age with no employer showing up on the credit reports and my late husband's name still showing up on the house in public records.

[no_it_all]

I was thinking they'd prefer small claims court because it's a lot cheaper than superior court for a plaintiff for several reasons. If their prefeerence is superior court, that's interesting to know.

Some states don't allow attorneys in Small Claims Court, so I doubt they would do that. Why is a District Court (where small claims are heard) cheaper than Superior Court? TIA....

[IOIOIO]

Some states don't allow attorneys in Small Claims Court, so I doubt they would do that. Why is a District Court (where small claims are heard) cheaper than Superior Court? TIA....

I said that Small Claims is cheaper than Superior Court because if you go through Small Claims, you don't need to use a lawyer and the defendant can't cause long delays via legal maneuvers. It would seem attractive to a creditor who has an open and shut case, like the holder of credit card debt, to send one of their employees to go through the motions in Small Claims rather than go the expensive route of Superior Court. I don't see why Small Claims court's disallowing lawyers would necessarily repel a creditor.

[newstart]

All the creditor does is send the attorney to represent them in the case in small claims court.

[IOIOIO]

All the creditor does is send the attorney to represent them in the case in small claims court.

What do they do in states such as California that do not allow lawyers in small claims court?

[Minnymouth]

Usually just someone from their "collections dept" represents the company and shows up in court...... no formalities...... Just an appearance to get the case heard and documented.....

[IOIOIO]

So, since they're willing to use non-lawyers, they're willing to exploit the advantages small claims court offers them over superior court. Then, back to my original question: can (and do) cc companies pursue a separate small claims case, where the limit on damages is $7500, on each account even though the account holder they're suing is the same person? Or is Citibank forced to sue in a superior or district court if it wants to get a judgment for all the debtor's debts combined in excess of the small claims limit of $7500?

[Minnymouth]

A big company like Citibank is not going to fool with small claims court...... they will compile all bills together owed them..... and file in another court so as to get judgements to garnish wages if they have too.....

They are much to big and busy to fool with individual little claims on all the accounts they might hold for different companies and creditors....