topic Re: Capital One Credit Cardwrite off in Rebuilding Your Credit

Capital One Credit Cardwrite off

Anonymous — Thu, 05 Dec 2013 17:21:04 GMT

Hi, all!!

I have a quick question and was wondering wether someone in this form that has gone through the same can help me with some education...

My Capital One credit card account has been written off... I managed to delay the process for a couple of months, but finally decided I should just let it happen... Since the write off date (Nov/17th) I have not received any more calls from Capital One (I was used to talk to them once or twice a week... not that I miss them, though, but to give them credit, they were always very professional and listened well)... so my question...

I understand the next step is that they sue me for payment, right?

What is the time frame for that (i.e. I was sort of expecting to get the letter in the mail almost right away, but so far, nothing at all from Capital One)?

Thanks in advance for your help... not that it matters (or does it?), but just in case, the total amount is around $24k....

Thanks!

Re: Capital One Credit Cardwrite off

pizzadude — Thu, 05 Dec 2013 18:31:19 GMT

Moving to rebuilding forum

Re: Capital One Credit Cardwrite off

Anonymous — Thu, 05 Dec 2013 18:53:32 GMT

Thanks... I thought it was a legitimate C/C thing... but you guys keep me honest!! Thanks....

Re: Capital One Credit Cardwrite off

Anonymous — Thu, 05 Dec 2013 19:13:26 GMT

Cap 1 is notorious for waiting till the last minute to sue. It could also depend on the amount owed.

Sometimes they will sell the debt to a CA and it could be the CA that would bring suit.

Can you just make payment arrangements to avoid a lawsuit?

Re: Capital One Credit Cardwrite off

CWESTL — Thu, 05 Dec 2013 19:23:55 GMT

The timeframe can vary greatly depending on a number of factors (i.e. state, successful sheriff service, etc.). The main thing to decide at this point is whether you plan to or can afford to repay this credit card and your other unsecured debts. If not, bankruptcy may be an avenue you need to explore. If you have determined that you can repay this debt I would contact Capital One to negotiate a settlement. This debt is likely reporting on your credit report as a seriously deliquent debt, charge off, and/or collection account. However, failure to settle this debt prior to a suit being filed in court may result in a judgement be wage against you. This would mean you will have two negative items (deliquent account history and a judgement) listed on your credit report for one account. My advice would be for you to contact Capital One and negotiate a settlement or speak to a bankruptcy attorney.

Re: Capital One Credit Cardwrite off

Anonymous — Thu, 05 Dec 2013 19:58:40 GMT

Thanks Guiness56 and CWESTL for your replies!!!

Well, I wanted to keep the original post brief, so limited the question to the lawsuit/write off thing and neglected to say that my letting this acocunt to be written off was step one towards my path to BK... Actually, getting the lawsuit is the trigger I have to file (per discussions with my BK attorney)... I decided to wait to either that lawsuit to trigger and/or foreclosure on my home to start (sometime in January, maybe as I just paid the last monthly forbearance installment and received an offer to re-settle at almost the same amount I used to pay on my mortgage... which I can't afford now)... those were two of my triggers... the third would be my getting a job, which can happen any day now, or not at all... the rationale being that for what I understood as of last month, I would opt for Chapter 13 if/when I can afford to build a payment plan, which I thought was better (less damaging) than Chapter 7... BUT now, after readiing the FAQ forum, I am about to call my attorney and see if we should file for Chapter 7 ASAP.... only on the credit card debts, and then, if/when needed (likely), file Chapter 13 for the house and the one car I am still paying (which I would like to re-affirm, if I understand correctly)...

So, thanks again for yor answers as definitely, bankruptcy is very much in the picture... just wanted to know what the expectation should be for the suit to hit...

Also, I was reading the threads, starting with the FAQ, to post my situation and get members feedback as to the strategy regarding my triggers.... the ultimate goal is to manage to stay in my house for at least through the school year since my youngest son is a high school senior and I would hate to move him... per my attorney, once foreclosure starts we can manage to delay it for some months and getting to this point in time pretty much makes me a lock to stay through the school year... and again, if I get a great job, I may be able to rebuild and stay in the house (per the offer I just got)... a not so great job would at least get me a starting point for my rebuild... but no job at all (now) gives me no chance to even try to rent anything... furthermore, my Mortgage and HELOC together are covered by the market value of my home, so it is not such a bad situation, and that's why I am sort of holding up....

Ok, now I pretty much posted what I wanted to put in the BK thread... I will wait a bit for further feedback from members and/or moderators.... if someone decides this can be replicated on the BK forum, I may get feedback there.... if not, I will re-phrase and post that particular situation tomorrow...

I really like this place! You guys help make a terrible situation bearable by virtue of sharing your knowledge and experience and that is really swell... THANKS to all!

Re: Capital One Credit Cardwrite off

Anonymous — Thu, 05 Dec 2013 23:11:57 GMT

Just so you know, they will not always sue you. Again, it could depend on the amount owed.

I had a CO with them and they never sued or sent it to collections.

Re: Capital One Credit Cardwrite off

CWESTL — Sun, 08 Dec 2013 17:35:08 GMT

Typically a person filing Chapter 7 bankruptcy needs to be current on their mortgage payments in order to keep their home. Filing of the Chapter 7 case will halt foreclosure proceedings, but mortgage companies often ask and are granted the ability to move forward with the foreclosure process subsequent to the initial stay of the foreclosure proceedings. Chapter 13 is an option for bankruptcy filers that would like to keep their home, but are delinquent as of the time of the filing. This will allow a filer to become current on their mortgage, etc. through a Chapter 13 repayment plan. I wish you the very best.

Re: Capital One Credit Cardwrite off

RobertEG — Fri, 06 Dec 2013 09:32:31 GMT

The fact that they did and reported a CO really does not determine their possible next steps.

It is simply their posting of a statement in your CR that you are not expected to pay the debt.

The full debt remains, and they can choose to initiate legal action, or they can sell the debt.

It is probably more likely they will sell it, and thus attempt to recoup an additional amount of their loss, than to bring legal action.

In that event, you may have an additional collection reported by the new owner, and must deal with them.

Re: Capital One Credit Cardwrite off

Anonymous — Tue, 10 Dec 2013 14:40:01 GMT

Thank you, RobertEG!!

I understand what you say,.... I guess I built the expactation of swift action by CapOne based on posts I read earlier in my process (i.e. indicating they were particularly aggressive trying to recover debt) and also the way they kept calling during the last few months... but I understand I may or may not see more...

Thanks!!