My cousin over the past several years opened credit card accounts in her mother's name and maxed out the cards. At this point, the balance on the cards is over $31,000. Her mother has only just recently found out about this. What are the options for both of them. What can her mother do to protect herself from having to pay all this money and also to protect her home? Also, what would happen to my cousin if the CC companies found out the details? What can each one do to protect herself? -Cindy
This is a real tough one. First, I'm surprised that your cousin's mother just found out about the CCs being opened in her name, especially given the fact that this has gone on for years. In order to protect herself, your cousin's mother will have to file a police/fraud report. Everything will then point to your cousin. For your cousin to protect herself, she'll have to keep the cards in her mother's name, thereby screwing her mother. The bottom line is that your cousin committed FRAUD. Whether it's your cousin or her mother, someone will have to pay. Sorry to be so blunt, but as I mentioned, this is a real tough one.
Well, either mom protects your cousin and pays off the charges, or your mom protects herself and signs a fraud affidavit. This will probably mean that your cousin gets arrested. Is there some way mom can pay back the CC's and your cousin can pay her?
I have one word for this OUCH ! It must be horrible to have to make a decision to protect yourself or hurt a family member. was this person aware of what they were doing and how it would effect you? or did they not care? sounds like you should consult a lawyer. go to lawguru.com and post a legal question so that an attorney from your state may respond. I concur with the above postings. it is criminal activity anyway you look at it, there is no way around that. just a thought request validation and see what proof they creditors actually have, you may get lucky and get something removed if they don't have the proof. if they do be prepared to take action in some way. good luck
Well... Before you say that the trail will definately lead to the cousin, take a look at Cushman v. Trans Union. In Cushman, even after Cushman reported that the accounts were fraudulent, the credit grantors were not able to determine, whom may have opened the accounts in Cushman's name, they presumed that it may have been a family member in her household, but that was only speculation. If there is a paper-trail, and the accounts are under 5 years old - and still within the credit grantor's document retension policies; THEN the trail may be able to be followed back to the cousin. That is a complex IF/THEN clause... Since the only period mentioned was that this happened over a number of years, it is possible that the 5 year document retension period could keep the credit grantors from knowing whom is to blame.
Also, it should be noted, that if your cousin's mother files a police report or signs a fraud affidavit claiming that she does not know who opened the accounts, she would be in trouble herself. Also, I'm no lawyer, but I would also assume that failure to indicate that she did know who opened the accounts in such reports or affidavits could potentially make her liable for obstruction of justice or an accomplice to the fraud.
The accounts were opened in Fall/Winter 2001. She had them going to her PO box and the calls to her cell phone. She was using the cards and making payments until about 1 year to 6 months ago depending on the card. My aunt had no idea the accounts even existed until recently and only found out the whole story in the past week. She may be able to pay the cards off but she is afraid that if she does that that it may happen again. On the other hand, if she reports it, she would be sending her daughter to jail and giving her a criminal record that would haunt her for the rest of her life and ruining almost any chance of getting any kind of decent job. My cousin is not working right now but is looking for a job. Like everyone has said, the situation really sucks.
Sorry, but given the deceptive (not to mention outright criminal) nature of your cousin's actions, I feel NO sympathy towards her. I feel really bad for your aunt, though. I don't know if this is possible, but perhaps there's a way to legally transfer the debts from your aunt to your cousin?
Hrm.. this is only a theory, but is it possible to add a joint user to an account, then remove the initial card holder leaving only the new owner on the card?
Ditto. If my adult kid s$%ts in the middle of my living room, they'll find the smelly, steaming pile in the middle of their bed - occupied or not.
