Cavalry Portfolio Services I might have screwed myself here, I need help.

[Anonymous]

I was going through some old documents, I found a dunning letter from last July. I logged onto their website, and veiwed a current offer of 1 payment @ %70 percent off. I clicked "No Thanks" I wanted to make another offer to PFD through the website. Now I get this

Congratulations!

Your settlement offer has been accepted. Make a one time payment or setup a payment plan today

It's for the full amount of $521. So does this mean the clock can now be reset on the debt? 

Message Edited by going2tdc on 12-25-2008 09:14 PM

[RobertEG]

I am not sure if your concern is one of affect on your credit scoring, or possible affect on the SOL.

REgardless, I dont think you have harmed yourself. 

As for credit reporting, the date of dropoff from your CR is pegged to the DOFD, and is not affected by the ongoing collection activity. 

As for affect on the SOL, you apparently declined, so you made no settlement offer, and I would view this as no more than a shady collection practice.  If you have made no offers to settle, then it should not affect your SOL.  I suspect that they may try to use your communication as a DOLA by the consumer, but I dont think it is.

Statement to them that you decline activity is not evidence of activity. 

But I would get a copy of your state code for SOL on debt collection to see what your state permits.

I would do that before doing anything else.  If you are not sure that you are obligated, or intend, to pay the debt, then SOL becomes a major concern. 

[Anonymous]

I live in Texas, the SOL here is 4 years. I read the code from the States website, but I found nothing  on resetting the SOL. At this point, whats the worst that could happen? If they sue, and I loose for whatever reason, I have the money to pay it.

Would that cause a judgement to go onto my files?

[RobertEG]

going, you read the Texas SOL law correctly.  Texas has the most consumer friendly SOL law in the country,  It has NO parovision for resetting SOL based on subsequent offers to pay or any prior partial payment to the OC.  It is a dead and simple 4 yrs from the DOFD.

If they sue, you only have to do only two things.

1. Show up in court, and

2. Stand up and assert as your affirmative defense expiration of the 4 year SOL. (take into court with you at least the last statemement that went into default to establish the DOFD)

But dont fail to show up, for it you dont,  you cant assert ypur SOL defense in court. 

]

Case closed.  Boo, 'em, Danno!

Message Edited by RobertEG on 12-26-2008 09:21 PM

Message Edited by RobertEG on 12-26-2008 09:27 PM

[Anonymous]

Thank you Robert. The CA is due to delete by age in 3-5 months depending on what report I look at. I should just leave it alone. I was willing to do a PFD because I am impatient, but the truth of the matter is, the credit market is horrible and there is no benefit to getting these negative TL deleted early. I am not going to apply for anything soon just to risk getting denied, and AA from other creditors. With my scores breaking 700's, I would have felt confident to app for some real cards prior to 9/2008.

[Anonymous]

going, If the DOFD is about 7 years and your CR state that it will drop in 3 -5 months, I would let them drop. No sense in having the CRAs screw up and up date at this point.

Be sure to keep hard copies of all CR for many years as you know how the CAs sell all this junk.