01-17-2013 04:53 PM
A CA has just sent me a dunning about an old debt. This debt is out of the SOL in the state where I currently reside. However, in a few months, I will be moving to a new state, and the debt will be within this new state's SOL. The CA has offered me a settlement amount I am comfortable paying, but I've Googled the CA, and they don't seem like a very trustworthy organization. What I mean is, before paying the CA anything, I'd like to know for certain that they have the legal right to collect this debt. I'm trying to decide between the following options:
1. Pay the settlement amount; the dunning includes the amount I currently owe and the original creditor, so perhaps I should trust that they have the right to collect this debt?
2. Send them a DV to make sure they have the right to collect this debt, though the settlement offer is (apparently) time sensitive, and the DV could mean I lose the settlement offer
3. Send them a Cease & Desist letter since in my current state, the debt is out of SOL
In their dunning, they do say they won't sue me or report the debt because of the age of my debt. Perhaps if I simply send a Cease & Desist letter, they'll give up on this old debt entirely, and it won't matter that I'll be moving to a new state?
I certainly appreciate any help and advice, and I thank you very much in advance.
01-18-2013 01:15 AM
They have apparently assumed, based on your current state of residence, that SOL has expired. No need to tell them of plans to move.
Under the FDCPA, they have the option of bringing any legal action in either your current state of residence or the jurisdiction where the contract was signed.
Thus, after you move, they might reevaluate.
Next step depends upon your plan. If you have plans to negotiate a settlement, then a DV might be counter-productive, as it imposes a cease collection bar on the debt collector, thus putting negotiations in a state of limbo until they choose to provide verification.
If you send a DV, there is no need to also send a cease communication letter, as it imposes a more comprehensive cease collection bar.
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