Counsel Retained for Judgment

Anonymous · ‎11-26-2016

Hello everyone! I am new here and looking for help. I received a judgment in 2012. It has been with Cavalry Portfoloio Services since that time (I believe only with them - not quite sure who the original creditor is). In the beginning of November I received a letter from Peroutka law firm saying that they have been retained as the counsel for this account, notifying me of the total balance ($2,255.51), and asking me to contact them if I would like to resolve the matter.

As they have now "entered as the attorney on record" I am assuming they will now be more actively looking for ways to satisfy this account. As I am currently able to pay about $150/month on this account, I would like to propose that to them.

What is the best way to do this? I am thinking of sending a letter rather than calling. What do you think their response will be? I may be able to pay more on the account within a few months, should I tell them that?

Thank you for any and all help. I am happy to provide more information if needed.

StartingOver10 · ‎11-26-2016

Do you have a copy of the judgment? If not, get a copy. This will give you an idea of the original balance. The judgment accrues interest at the statutory rate for your state, look it up so you can have that information before you ever contact the creditor's attorney to negotiate a payment plan. Judgments are public record. You can usually download a copy of it on the public records section of the Clerk of Courts website for your county. At least it is that way here where I am located. You may need to search your county website to see where the public records are located.

If it were my judgment, I wouldn't let the opposing attorney know that you are coming into money in the future. I would negotiate the deal first with the resources you have and if you get additional funds, then work out something at that time when you have funds in hand.

Make sure you get a recorded Satisfaction from the creditor when you pay this judgment off so this judgment doesn't come back again.

RobertEG · ‎11-27-2016

Negotiating payment terms will prevent their seeking and obtaining an additional court order, called a writ of satisfaction, such as garnishment of pay, that requries repayment under terms set by the court. They can submit a motion to the court seeking a writ of satisfaction at any time while the judgment remains enforceable.

It is a big unknown as to how agressive the judgment creditor will be in seeking payment of the judgment.

If they do seek a writ of satisfaction, such as garnishment, the court will evaluate your ability to pay.

Certain assets, such as SSID income, are not garnishable. You may or may not, if they seek garnishment, be subject to less than you are now offering.

I would consult an attorney regarding an evaluation of how much the judgment creditor would be able to obtain if they pursue any writ of satisfaction.

Anonymous · ‎11-27-2016

I will search to see if there is an attorney willing to do an initial consultation with me. I would like to reach out to these guys this week, before 30 days has passed on the letter they sent me.

Right now the idea of garnishment is unpalatable to me, on top of maybe not being a viable route for the creditor's attorney to go at this time. I have a super part time job and the company is based outside of the U.S., if either of those points make a difference. I look forward to increasing my income over the coming year.

I would like to avoid going through court appearances if possible. I will contact the attorney of record via Certified Mail after looking for an attorney to consult with about what the creditor's attorney can do, and propose a payment plan offer.

The original amount on this judgment before interest and court costs and attorney fees was somewhere around $1600 I believe. I do have a copy of the judgment somewhere and I will get a copy to keep on hand as I pursue handling this.

Thank you StartingOver10 and RobertEG for your help. I really appreciate your knowledge.

Anonymous · ‎11-27-2016

StartingOver10, are you suggesting that I might be able to negotiate a payment plan offer based on the original balance (~$1600) rather than the balance as it stands today (~$2300)?

StartingOver10 · ‎11-28-2016

@Anonymous wrote:
StartingOver10, are you suggesting that I might be able to negotiate a payment plan offer based on the original balance (~$1600) rather than the balance as it stands today (~$2300)?

Maybe. I am a believer in having as much info about the opponent as possible when negotiating. Believe me, the creditor's attorney is your opponent. His job is to get as much $$$ from you as quickly as possible and your job is the opposite.

I certainly would be negotiating from an original balance POV rather than starting with the current balance which includes fees, penalties and interest.