Hello Board. So Glad I landed here.. I have a big problem and need any and all expert advice . After months of reading and studying I am still confused . Iâ??m wondering what I can do with an MBNA acct that DH has been making big payments on ($380) on the 1st of each month for years.. Maybe 4 yrs. Itâ??s now overwhelming us. They are the oc . This is my acct.. My dh was an au and the account has been closed for years.( I canâ??t remember when) . We have tried in good faith to pay this debt but with fees and interest this accounts read over $15 k.but I never had cl even remotely that high.These payments my dh is making are directly taken out of our checking account . He gave them permission to debit monthly till Dec. 04. We are putting a stop payment on this upcoming debit. We canâ??t pay it anymore. My big question is ..Could this acct. possibly be out of sol? Some experts on the board say any payment restarts the solc. Others ,(I believe Whychat) say it stays at the date of original delinquency from which it was never made current. Is that right? I know the solc is 6 years here in Indiana.Weâ??ve been here for 14 yrs. In the past weâ??ve been approached to settle but couldnâ??t come up with the lump sum and still canâ??t Iâ??m sure we havenâ??t been current (always behind ). Here is what Ex saysâ?¦ MBNA Acct # XXXXXXXXXX Status: Closed/Past due 150 days. $2,073 past due as of 5-2004 Date Opened: 11/1990 Reported Since: 4/1995 Date of Status: 5/2004 Last Reported: 5/2004 Type :Revolving Terms: N/A Monthly payment: $375 Responsibility: Individual Credit Limit/Original amount: $10,000 High Balance $16,869 Recent Balance: $14,489 as of 5/2004 Recent payment $0 Creditors statement: Account closed at credit grantorâ??s request. Account History: 150 days as of 5/2004 120 days as of 5-2003 to 4-2004, 3-2203,10-2000 to 12-2000,6-2000 to 10-2000, 9-1998 to 6-1999 90 days as of 4-2003,1-2003, 12-2001, 11-2001 ,5-2000 4-2000, 10-2000, 8-1998, 6-1998 60 days as of 12-2002, 11-2002, 8-2002, 7-2002, 2-2002,1-2002, 10-2001,9-2001,5-2001,4-2001,7-2001,6-2001,3-2000, 2-2000,4-2000,10-2000,7-1998,5-1998 30 days as of 10-2002,9-2002,6-2002, 5-2002, 8-2001, 7-2001, 6-2001, 3-2001, 9-1999 to 1-2000, 4-1998 Does anyone have any input for me? What do you think mbnaâ??s next move would be after payments will stop? Is my account in their internal collection division? My main focus right now is this account. I have lots to clean up and the last time I looked at my credit report(early 90â??s ) it was good. Thank you for reading my post Iâ??m in awe of what information members here know like the back of their hands and am grateful for what I have learned so far. Thank you all who help others : )
I am not sure, but I THINK that MBNA might have legally "re-aged" the account 2 times. If your payments are still going to MBNA, you would need to check and see when you were last able to USE the account. Indiana is a "last item" accrual State, which means the last payment or charge on an ACTIVE USEABLE account is the start of SOL.Which in your case would be the Month prior to the 1st 30day late on your report-- IF you were not able to USE the account after that date. Stop the payments, change bank accounts, (make sure you put a STOP PAYMENT on the account BEFORE you close it) reopen another account, in another bank if you can, or if you are using the same bank, make SURE there is a difference in how your names are listed. If your AU spouse is primary, KEEP HIM AS PRIMARY, change the names -use or delete middle initials etc. MAKE SURE the bank knows there will be NO crossover allowed to the old account.(it is REALLY better to change banks) Send the SOL / dispute /cease and desist letter( from my website) to WHOMEVER contacts you in writing, but do NOT talk to anyone on the phone, get an answering machine to screen your calls.
I am not sure, but I THINK that MBNA might have legally "re-aged" the account 2 times. If your payments are still going to MBNA, you would need to check and see when you were last able to USE the account. Indiana is a "last item" accrual State, which means the last payment or charge on an ACTIVE USEABLE account is the start of SOL.Which in your case would be the Month prior to the 1st 30day late on your report-- IF you were not able to USE the account after that date. Whychat Thank you Whychat for your reply.. Exactely where do you see mbna may have legally reaged.? Where do I find when I was last able to use my account? Do you mean when the account was closed by mbna or when a charge would have been denied because of deliquency? I'll throw my hands up at this point cause I just don't know. We don't have the records.... could I call CRA and ask when account was closed? You know, I can't remeber using it. I'm almost sure it's been 5-6 years. Answering the banking question... We have another bank account open and will close account associated with mbna completely. However we still have some checks coming through, so stop payment would be in order ,Yes? We have caller ID and any number which is not identifiable doesn't't get answered. Seldom do unavailable numbers leave a message. So yes , I am the research, trouble shooting one in the family. ? for Whychat, What can I reasonably expect from mbna? They play hardball don't they. They gave me a $10,000 cl without a job ( stay at home mom) Also, where would I find information on "last item" accural state (Indiana)? Thanks again
Would someone look up at my original post and tell me or confirm if they think this account is past its sol? Has anyone reading this post had experience anything similar to my situation My husband is getting real nervous thinking that after the we stop payments to oc they will go straight to court because they will believe its a last ditch effort. On the other hand, will they try to sue and make me prove its time-barred? Has anyone had experience with mbna? If its truely out of sol will they take the sol/dispute/c&d format and ignore and/or proceed to file? Anyone??? Who would I call to find out when the account was last active or usable? Sorry for all the ??? Thanks, nervous in Indiana Ronika
{{{{{{{{{{{Anyone hear me}}}}}}}}}} I really could use a stiff drink ........but would appreciate some input even more
By looking at your account, it looks like with out a payment this month that the account will be 180 days past due. What will happen is that MBNA will write the account off as an uncollectable debt and sell it to a 3rd party collection agency.. If this is the case I would make one last attempt by the 30th of June to contact MBNA.. You may be able to get a settlement for anywhere from 35 to 40%.. Good luck
That 3rd party collection agency will probably be Wolpoff & Abramson who will try to collect and eventually go to arbitration, get an award and then either go to court themselves or will be more likely to sell it to yet another 3rd party collector who will reduce the award to a judgment and then proceed to collect it. In order to even hope to fight off their demand for arbitration you will have to send them a rejection of arbitration when they first threaten arbitration and then once you have been notified by the arbitration firm (usually NAF) that an arbitration proceeding has been lodged against you then you will also need to file a rejection of arbitration against them and have it served upon them just as you would a summons. You will also have to have them served with a demand for validation of the debt. Doing that has been known to put a stop to arbitration proceedings but even if you can put a stop to arbitration they will then forget about the arbitration and still demand judgment in a court local to you. Then you would have to file answer to their motion for summary judgment if you wish to fight them off there. The whole process might take quite a while. They aren't very likely to sue you immediately.
Ronika, I've dealt with MBNA and prior to the 180 days late timeframe was able to get a 60% settlement (I paid 40%). They also offered me a 24 month 0% interest deal and at the end of that time period would reinstate my account. I opted for the settlement -- it just depends what your situation is... One word of advice for you -- deal only with MBNA upper management -- VP level if possible. I did and that made all the difference in the settlement amount. Also, if you send them a settlement payment, don't fall for their Fed Ex offer. They have Fed Ex pick up your envelope and then have YOU billed for it...
Thanks rubyjean, kay, susanna for your replies... As far a settlements go..I'ts been offered before which we couldn't do and we agreed to payments, which we now will have to stop. Why wouldn't SOLC ( as per WhyChat's) response be avilable to me? Why Chat , are you the only one that thinks this account is out of sol for collection? It's been closed /unusable/no charging since 97 or 98.( I don't know..how to actually find that out without calling mbna) maybe cra?? If Indiana is a last item accural state, then the deliquency started sometime 97 or 98( maybe sooner). <<<<< WHYCHAT SAYS >>>>>>> Why Chat | 1005 posts since Jan 2002 209.240.222.32 | 06.23.2004 @ 21:42 "I am not sure, but I THINK that MBNA might have legally "re-aged" the account 2 times. If your payments are still going to MBNA, you would need to check and see when you were last able to USE the account. Indiana is a "last item" accrual State, which means the last payment or charge on an ACTIVE USEABLE account is the start of SOL.Which in your case would be the Month prior to the 1st 30day late on your report-- IF you were not able to USE the account after that date. " Sorry if my post are hard to read... I'm not getting how to format just yet. Thanks, Ronika28
You did not reply to my basic question, WHO has actually been GETTING the payments the past 5-6 years? Find out from the bank. It doesn't make any difference WHAT is being reported on your credit reports, what matters is who has been collecting the $$$. Yes, the last time you were able to actually USE the MBNA account is what counts. The CRA will be no help. Get some FACTS from the bank.
Why chat... Sorry about not getting your answer to you sooner... you asked me..: "Who has actually been getting the payment in the last 5-6 years?" On the electronic check it says.. "MBNA MARKETING SYSTEMS". My dh has been in total communication with them from default status.. on the phone, making payment arrangements ,etc..checks are electronic in as much as he gave them permission, they debit using sequential numbers, no written signature. They haven't pulled any fast ones with unauthorized debits or incorrect dates. Our bank just sends a statement with no copies of checks anymore. We had a different bank several years ago and we dug up statements with copies of the check to them... which is where it says MBNA MARKETING SYSTEMS. Does it make a differnce if payments are going to oc or oc's internal collection dept? Thanks, Ronika28
Ronika, MBNA handles all collections until it reaches 180 days and is charged off and sold to a 3rd party collection agency.. At that time, you will not be making payments to MBNA as they will not own the debt any longer...
If it is still with MBNA, as it seems to be, you should close the bank account after putting a stop payment on the withdrawals, and as soon as you have something IN WRITING from them, send them the SOL letter from my website, you will need to replace some of the wording to show that you are referrng to the last charge on the account while it was active, in accordance with YOUR State's SOL statutes. If you wish, once you have some correspondence from some entity with some kind of demand for payment, you can e-mail me for some more information. You really should not take MY or anybody elses word for this, you should talk to a consumer lawyer in your own State for guidance.
Whychat, You have given me great guidance so far... thankyou for your input... Are you of the opinion( and I know this is only your opinion) that with a potential suspended account , I'm simply out of luck? How can that be? It's a closed account. It's not usable and they have closed it for delinquency... how can they use a so called " suspended acct." against me down the road? If they can.... does that mean if any oc accepts say a dollar a month as payment on an account, it could be active forever? Is this a nuance defense that they could eventually claim "it was never closed , just suspended" ? and would that carry water? Ronika28
Ronika, WhyChat is correct.. It is an account that has been suspended and closed due to delinquency. You are still required to make payments on a suspended or closed account. If you are unable to make payments all you have to do is call and tell them to stop the EPS payments. If your account is Charged off, do not worry about it.. All you would have to do then is send a Cease and Desist letter to the Company that the account is sold to. Good luck
Re: Re: Mbna sol experts crushing debt Ronika, I'd listen to what WhyChat and rubyjean are telling you. They are both right on the money but I would advise against sending any cease & desist letters as that might very well accelerate the day that they sue you for the deficiency balance. Granted that SOL is one of the best defenses out there and I'm sure that is why rubyjean is advising that you do that but I definitely feel that there is not a lot of sense in hastening the day when a process server might be knocking on your door. Other than that, I'm flyin with the both of them.
Quote: From Whychat.... ___________________________________________ If it is still in their internal collection system, and has not been charged off, they are carrying it as a suspended account...(end quote) Is this something I should be concerned about or are you just giving me the facts Whychat? Does the suspended acct. change the end game for me? I mean.... If its closed vs. suspended , its still likely solc and solc (legally) is all that concerns me at this moment. Ronika28
Re: Re: Mbna sol experts crushing debt Thanks for the<<<< Bump>>>>> Lbrown59 This<<<bump>>>> is for me ; ) Ronika28
Re: Re: Mbna sol experts crushing debt You are in a "last item" State, which means the last payment or charge on an ACTIVE USEABLE account is what starts the SOL. IF you were in a "cause of action" State, ( 1st delinquency,which is the start of CRA report SOL and the start of the legal SOL in MOST other States) you would still be within SOL, as it stands, however, you are, in my opinion, NOT. Therefore, you can use the SOL letter, and use the earliest date you paid while the account was useable as the starting date.
