What can happen if a credit card company sues you when you had a third party supposedly paying the bills?
Credit Card
jill822 asked:
Today, my roommate gets a call from Chase Card stating that they are going to bring her to court. She has been making payments of over $100 a month to Consolidated Credit Counseling Services for almost two years and her debt was supposed to be almost paid off. I think she owed around $2400 or so. Chase tells her that the payments have been late or non-existent from CCCS and she still owes about $1900.
However, Chase gives her the option to pay $1500 now or they will sue her. My roommate doesn’t have $1500 readily available. She didn’t know that the bills wasn’t getting paid because no statements were coming. Also, nothing in writing came as a warning for the lawsuit. Chase said they sent it to CCCS, who never notified my roommate. Is there anything that she can do? Any suggestions?
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Today, my roommate gets a call from Chase Card stating that they are going to bring her to court. She has been making payments of over $100 a month to Consolidated Credit Counseling Services for almost two years and her debt was supposed to be almost paid off. I think she owed around $2400 or so. Chase tells her that the payments have been late or non-existent from CCCS and she still owes about $1900.
However, Chase gives her the option to pay $1500 now or they will sue her. My roommate doesn’t have $1500 readily available. She didn’t know that the bills wasn’t getting paid because no statements were coming. Also, nothing in writing came as a warning for the lawsuit. Chase said they sent it to CCCS, who never notified my roommate. Is there anything that she can do? Any suggestions?
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February 20th, 2009 at 8:54 am
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It really is a sick world we live in.
February 21st, 2009 at 1:56 pm
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Contact CCCS immediately! Does she have canceled checks for the CCCS, showing that they cashed her checks? Make copies of those and provide them to the credit card company.
Complaint to the Better Business Bureau about CCCS; complain to the licensing agency of CCCS, write lots of letters (and keep copies) to CCCS.
February 22nd, 2009 at 5:58 pm
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That is strange, but Chase is weird like that. They called us about a card we took out but never did….but anyway, I’d call the CCCS and tell them what’s up…and look at your account to see if the checks or debits have been made. And print these off or photocopy to show them to the Chase people and the CCCS. Also call the Attorney General because she is being ripped off big time if her debt was supposed to almost be paid. After all is said and done and the debt is managed, have her tear up the card.
February 24th, 2009 at 1:51 pm
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Well, the reality is that you don’t hand over responsibility. Your roommate should have had enough brains to verify that CCCS was doing it’s job.
Having said that. Your roommate has been ripped off. First step is to go to CCCS and demand that they make the $1,500 payment. Tell them you will file federal mail and wire fraud charges against them if they don’t. If they pay up, then fine - monitor them for compliance going forward or cancel the deal.
If they don’t, then file that consumer fraud complaint both locally and with the Feds (through the post office). Also file a complaint with the Federal Trade Commission, and contemplate trying to get your local news station interested in your plight. It is rather ironic that the Credit Counseling Service is having need of credit counseling.
Act quickly. Assume you are not the only one being screwed by CCCS.
February 25th, 2009 at 10:17 am
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Call the Attorney Generals office in your state..usually there is a consumer protection department. She needs to get a copy of her contract with CCSS and make a good faith payment to Chase. Even if it’s only a little, it will show that she has a desire to pay the bill, even if she can’t afford the amount. Definitely start with the Attorney General though, she may need to sue CCSS to cover the debt. Those Consolidation places are very difficult to deal with sometimes, and I am of the opinion that people shouldn’t go to them unless they absolutely have to.
February 27th, 2009 at 4:13 pm
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This is a small claim so you would not need a lawyer. Get a copy of the contract with CCCS, and a certified bank record showing that all the checks she paid to CCCS had been cashed.
She has made the contract with CCCS in good faith and unless CCCS has been dissolved or has been closed due to illegal activity, her contract still stands and she is not responsible for paying Chase, CCCS is. And this is because, if you read the contract with CCCS, it should say that they have taken the responsibility of paying her debt provided that she sends the check to them, which she has.
If she can get an official statement from CCCS that her contract is still in force, all the better.
Let CCCS worry about Chase.
March 2nd, 2009 at 7:07 pm
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Hi,
I used “Credit Solution” to settle my debt.They managed to reduce my debt up to 58%.It’s legitimate.I came accross this company on NBC News Special Edition.Check it out here: