Try and wait out SOL or try and start a settlement?

[Anonymous]

Back in 2012 my house foreclosed in Georgia. I had an 80/20 , the 80 was paid off from the foreclosure.  I then moved to California. I've been pretty discreet about answering phone calls. The creditor of the 20 which was $31,000 but currently 39,000 due to penalties and whatnot called me almost everyday up intil a month ago. I really thought nothing of it just ignore and it will go away. The other day I realized i hadn't been contacted by them in about a month and it started to get me worried. I have had a PO box up until about 6 months ago and i just realized checking my credit score that my new address where i currently reside is listed there now. I'm worried that they may have stopped calling me because they saw my new address somehow and may be ready to take legal action. The contract was signed in Georgia which has a SOL of 6 years but i currently reside in California since the foreclosure which has a SOL of 4 years ( roughly 1 year away from hitting that mark) . I've read a lot the last few days and everyone says differently on the SOL is the state the contract was signed or the state you reside in. I'm terrified of being sued and  and their silenceisn't helping. Currently it says on my credit score that it's just " late" .  In fear of waiting a year possibly 3 more i started to weigh the options of trying to make a settlement , i'm afraid for 1 if they may have forgotten about me ( doubtful) it will make them realize i'm still around awaken the beast if you may . What are my best options? Wait out the SOL ( try to at least) or call and make a settlement offer? If i do get letters saying i'm sued can i then try and make a settlement offer? What would you do? I'm out of a job and my wife is working a lot of overtime to try and make ends meet so garnishing wages would be detrimental to us. Thanks so much ahead of time and thanks for reading all of this if you have. 

[RobertEG]

The prevailing SOL in any legal action they might bring would be the SOL in the state where the legal aciton is brought.

Where they can or will bring legal action depends upon the type of debt and who the owner is.

Under the FDCPA, a debt collector can bring legal action in either the jurisdiction of current residency of the consumer or the jurisdiction where the debt was created unless the actin is to enforce an interest in real property, in whcih case they must bring action in the jurisdictin whete the real property is located.  See FDCPA 811

If the owner is still the OC, then only your state SOL statute would apply.  You would need to check your current state SOL statute and see whether it permits the "borrowing" of the time period of another state SOL if that state has a shrrter period.

Who now owns the debt, the OC or a debt colector?

[Anonymous]

Sorry this is all new to me , how would i find out what kind of debt it is? All this stuff seems very alien to me. The company that the 20 loan was with is it's own debt collector in itself. BSI financial. On my credit report they show it 4 different times being just sent to another department but it's still within BSI. 

I'm not too sure what an " interest in real property" is. How would i determine which SOL it would fall under? 

"If the owner is still the OC, then only your state SOL statute would apply" which state , the one the contract and property is in or the one i reside in ( california)? Sorry for so many questions, like i said this is all new to me

[Anonymous]

i just read this like 20 times and understood it a little better. If it's currently owned by the company that orginally it was with, then the SOL only applies to the state i'm in? Legal stuff is way over my head. I'm guessing " OC' is original contract? Now the company that has it now it was sold back and forth a few times as well as my 80 but as long as they are the ones i had it with before the foreclosure and they still have it, are they considered the originanal still?

[RobertEG]

If the debt is currently owned by a debt collector, then the FDCPA, which is federal law, superceds any state law, and permits the debt collector to choose where to bring their legal action UNLESS the action relates to debt secured by real property.

In your situstion, the OC apparently still owns the debt, so the FDCPA would not apply, as it relates only to debt collectors.

Thus, state SOL will define jurisdiction to bring legal action. 

I am not advising where they can or must bring civil aciton.

Check the SOL for debt for the prior state and see what provisions apply to consumers who are not now a resident of that state.

It most likely will only apply if you move back to  that state.

If you still have questions, then I recommend consultation with an attorney.

[gdale6]

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@Anonymous wrote:

i just read this like 20 times and understood it a little better. If it's currently owned by the company that orginally it was with, then the SOL only applies to the state i'm in? Legal stuff is way over my head. I'm guessing " OC' is original contract? Now the company that has it now it was sold back and forth a few times as well as my 80 but as long as they are the ones i had it with before the foreclosure and they still have it, are they considered the originanal still?

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OC = Original Creditor

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/Guide-To-Common-Abbreviations/m-p/224988?jump=true

[Anonymous]

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@Anonymous wrote:

Back in 2012 my house foreclosed in Georgia. I had an 80/20 , the 80 was paid off from the foreclosure.  I then moved to California. I've been pretty discreet about answering phone calls. The creditor of the 20 which was $31,000 but currently 39,000 due to penalties and whatnot called me almost everyday up intil a month ago. I really thought nothing of it just ignore and it will go away. The other day I realized i hadn't been contacted by them in about a month and it started to get me worried. I have had a PO box up until about 6 months ago and i just realized checking my credit score that my new address where i currently reside is listed there now. I'm worried that they may have stopped calling me because they saw my new address somehow and may be ready to take legal action. The contract was signed in Georgia which has a SOL of 6 years but i currently reside in California since the foreclosure which has a SOL of 4 years ( roughly 1 year away from hitting that mark) . I've read a lot the last few days and everyone says differently on the SOL is the state the contract was signed or the state you reside in. I'm terrified of being sued and  and their silenceisn't helping. Currently it says on my credit score that it's just " late" .  In fear of waiting a year possibly 3 more i started to weigh the options of trying to make a settlement , i'm afraid for 1 if they may have forgotten about me ( doubtful) it will make them realize i'm still around awaken the beast if you may . What are my best options? Wait out the SOL ( try to at least) or call and make a settlement offer? If i do get letters saying i'm sued can i then try and make a settlement offer? What would you do? I'm out of a job and my wife is working a lot of overtime to try and make ends meet so garnishing wages would be detrimental to us. Thanks so much ahead of time and thanks for reading all of this if you have. 

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Unless you have the funds to settle it, all you can do is wait them out. Do you have a lot of other debt on your reports? Other collections? If they do start threatening you with a lawsuit, you may have no other choice than to file for CH7. What is your current total household income?