I had a charged off on my credit card back in 1998. Now the company who bought it from my original creditor, Discover threaten to sue. I'm very scare and I don't know what to do. Please help! Any suggestion would be much appreciated.
Hi Tony, Is this Charge off paid or unpaid? Is the CA threatening to sue or the OC? Have you disputed the charge off with the CRA's? If you have not disputed with the CRA's yet, I would dispute the balance, date of payment, account as not mine. Also, what state do you live in? It might be past SOL to collect. If this is a paid charge off, then you could send a Goodwill letter or a nutcase letter to the OC (search the tread for paid charge off). The nutcase letter worked for me with Humboldt Bank and Providian Bank, both paid charge off accounts. Both was deleted last month. If this is from a CA, then send a validation letter, wait 30 days for validation. If CA does not validate, then send 2nd validation letter, wait 30 days, then send estoppel letter. Search the thread for validation letters. I am still a newbie and the advice on CN is the best on the planet. Just do ALOT of research before you do anything, read the FAQ at the top of the board and ask advice. You will be VERY happy with the results .... UNLV34
Thank you very much for the informative response. I feel much better now. This is unpaid charged off. Iâ??m willing to pay, but I could not afford to pay more than 20% of the balance. I only own a beat up car. Is there any different b/w CA and new owner of my charged off acct? New owner threatened to sue. Iâ??m totally a newbie. I did not know what to do whether to dispute or to validate my debt. The first letter that they sent me 2 months ago, they allow me 30 days to validate the debt; otherwise, itâ??s considered as validated debt. Iâ??m living in CA and my last activity date on this charged off acct was on 6/98. I much appreciate your help!
Tony, If I were you, I would dispute with the CRA's first. If the CRA's verify the debt, then send the new owner (if the new owner is a CA) a validation letter. If the new owner is the OC, then send a settlement letter (since its an old account, you may be able to settle for 50% with the OC). I checked California's SOL and it looks like you are safe with this charge-off ..... STATE: * CALIFORNIA INTEREST RATE Legal: 10% Judgment: 10% (Unless otherwise contracted) STATUTE OF LIMITATIONS (IN YEARS) Open Acct.: Reduced to writing-4 Open Acct.: No writing-2 Written Contract: 4 Domestic Judgment: 10 (renewable at 10) Foreign Judgment: 10 (commencing with judgment debtor's commencement of CA. residence.) BAD CHECK LAWS (CIVIL PENALTY) Amount due, Treble damages - minimum $100 maximum $1500 per check GENERAL GARNISHMENT EXEMPTIONS See federal law. Exemptions for necessaries of life. COLLECTION AGENCY BOND & LICENSE No license or bond required. Since they can't come after you with this, you may be able to dispute this better since this is past the SOL. Hopefully, this advice will help. Good luck. UNLV34
