topic Re: Lawsuit by Capital One in Rebuilding Your Credit

Lawsuit by Capital One

Mgilbert8605 — Wed, 28 Mar 2018 20:06:46 GMT

Hi. I was active on this forum some years ago, and learned a lot from everyone about credit. I had a healthy credit score, and was happy about it. Due to some unfortunate circumstances and some poor decision making (I have no problem admitting that), I am in the worst credit situation that I have ever been in. Multiple credit cards are now in collections. Recently, I graduated school and have been able to finally save up some money. My hopes were to handle this situation and move forward. Unfortunately, I just discovered that Capital One opened two lawsuits against me. I am not sure how to proceed with this. I have a phone consultation with a lawyer in the morning. I don't know whether I should file for bankruptcy, or settle the lawsuits. I have other credit cards that have defaulted also. So I'm not sure if I will receive lawsuits from them too. Any advice that you all have will be greatly appreciated. Thank you...

Re: Lawsuit by Capital One

A1Credit — Wed, 28 Mar 2018 21:23:17 GMT

@Mgilbert8605wrote:
Hi. I was active on this forum some years ago, and learned a lot from everyone about credit. I had a healthy credit score, and was happy about it. Due to some unfortunate circumstances and some poor decision making (I have no problem admitting that), I am in the worst credit situation that I have ever been in. Multiple credit cards are now in collections. Recently, I graduated school and have been able to finally save up some money. My hopes were to handle this situation and move forward. Unfortunately, I just discovered that Capital One opened two lawsuits against me. I am not sure how to proceed with this. I have a phone consultation with a lawyer in the morning. I don't know whether I should file for bankruptcy, or settle the lawsuits. I have other credit cards that have defaulted also. So I'm not sure if I will receive lawsuits from them too. Any advice that you all have will be greatly appreciated. Thank you...

Some years ago Capital One filed a lawsuit against me. After receiving the summons, I contacted the lawfirm handling the case and agreed to a settlement amount. In exchange, they agreed to a continuance of the lawsuit and eventually dismissed the suit after I paid the settlement amount in full. I, like you, started to panick but I handled it and never had to step into court. Make sure you get a letter stating that you paid the settled amount and the debt is now considered settled so there is no chance that they will sell the remaining debt to some other collection agency if you decide to settle. You can always pay the amount in full if you are worried about them reporting the debt as settled vs paid in full.

I'm not sure of the terms when you opened the card but you can also try for abritration.

Re: Lawsuit by Capital One

Anonymous — Wed, 28 Mar 2018 21:18:48 GMT

How much was the amount? I believe it is a big amount since usually they don't file lawsuit for small amounts.

As A1credit sudgested, you should talk to the law firm handling the case and see if you can settle it.

Re: Lawsuit by Capital One

A1Credit — Wed, 28 Mar 2018 21:20:32 GMT

@Anonymouswrote:
How much was the amount? I believe it is a big amount since usually they don't file lawsuit for small amounts.

As A1credit sudgested, you should talk to the law firm handling the case and see if you can settle it.

They filed against me for $3.5K.

Re: Lawsuit by Capital One

Anonymous — Thu, 29 Mar 2018 02:00:13 GMT

I personally wouldn’t waste money hiring an attorney. You’re gonna pay them money that would likely be better off used for Your account. Capital one in my opinion is the easiest to work with compared to all other creditors. Be honest and I’m sure the firm will work with you within reason.

Re: Lawsuit by Capital One

Mgilbert8605 — Thu, 29 Mar 2018 02:12:45 GMT

Thank you all for the replies. I owe a fairly large amount to them (greater than 20k), as the majority of my credit cards were with Capital One. I was a customer of theirs for about 10 years. I did not even know that a lawsuit was opened against me, until I received letters from lawyers asking me to hire them. I verified the information through a public records search. So I suppose it is just a matter of me being served now. What is interesting/confusing is that they have opened 2 lawsuits against me. They were filed within 5 days of each other. I am not sure what that is about. Is there a general suggestion of a percentage of the debt that I should offer to settle the debt for? I want to be clear and concise when I approach the lawyer, especially if I don't use legal representation.

Re: Lawsuit by Capital One

Mgilbert8605 — Thu, 29 Mar 2018 02:26:18 GMT

1 more thing....I just did some research into who the law firm/attorney is that’s representing Cap1. Its Pollack & Rosen (in Coral Gables, FL). Based on reviews, they have a reputation for using shady tactics. To be clear, I should just make sure that I have everything in writing? Any additional tips?

Re: Lawsuit by Capital One

A1Credit — Thu, 29 Mar 2018 02:35:54 GMT

@Mgilbert8605wrote:
Thank you all for the replies. I owe a fairly large amount to them (greater than 20k), as the majority of my credit cards were with Capital One. I was a customer of theirs for about 10 years. I did not even know that a lawsuit was opened against me, until I received letters from lawyers asking me to hire them. I verified the information through a public records search. So I suppose it is just a matter of me being served now. What is interesting/confusing is that they have opened 2 lawsuits against me. They were filed within 5 days of each other. I am not sure what that is about. Is there a general suggestion of a percentage of the debt that I should offer to settle the debt for? I want to be clear and concise when I approach the lawyer, especially if I don't use legal representation.

You might want to consult an attorney with the amount being so large. The initial consultation should be free, right? I suggest you research and make a list of important question to ask the attorney to get as much info on how to go about this as you can. Hopefully if you reach a settlement amount you will be able to pay over time. I would at least find out what kind of settlement the law firm is offering and go from there. You may be able to negotiate.

Does anyone think the OP should ask for validation first?

Re: Lawsuit by Capital One

Anonymous — Thu, 29 Mar 2018 03:00:14 GMT

Also be aware that when there is a large difference IE youre being taken to court for 3.5k compared to the 20k you actually owe. Youll get hit with that when tax season comes around.

Re: Lawsuit by Capital One

Jnbmom — Thu, 29 Mar 2018 03:05:57 GMT

You state "lawsuits" have they already gotten judgements against you? Or are you referring to being served papers to appear in court regardings these accounts? That makes a difference in how to negotiate with them.

Re: Lawsuit by Capital One

Mgilbert8605 — Thu, 29 Mar 2018 03:12:03 GMT

No judgements have been filed against me yet. I’m waiting to be served papers (or at least I assume that’s how this works). Also, settlements for any debts that I have (there are other credit card companies that I should settle with before it gets to my point with Cap1), I file on my taxes? Good to know. Thanks for that. I’m really wondering if I should just file for bankruptcy. In total, I have 30-35k in debt with various credit card companies. I’m not sure how much I can reduce that debt down to.

Re: Lawsuit by Capital One

Jnbmom — Thu, 29 Mar 2018 03:25:27 GMT

Yes if they have not gone to court yet you can sometimes settle for less however if you have that much debt you can always consult a BK attorney for a free consult regarding BK.

Re: Lawsuit by Capital One

fishbjc — Fri, 30 Mar 2018 00:54:09 GMT

ace: Cap One came after my sister for under 1500. Since my Mom has the same name, she called and settled with the attorney. I *think* she settled for about 1200.

Re: Lawsuit by Capital One

Jnbmom — Fri, 30 Mar 2018 01:32:40 GMT

Capital one is notorious for suing and getting a judgement and garnishing wages. Been there done that 😯