Debt Collection Company Threatening to Re-Open Probate
My question involves collection proceedings in the State of: California.
This involves a debt of 9,000 dollars on a citibank account, being collected in by Phillips and Cohen associates against my mother. (California is a community property state so the debt transferred to her).
Mother has had three strokes and has verbal aphasia so she is incapable of handling her own affairs and I have power of attorney for both medical and financial purposes. The House was transferred to her ownership (it is held in joint between her and dad) and now is held with her as a life tenant and me as the remainderman.
Phillips and Cohen demands 8000 dollars, however neither the estate, nor the current funds available to mom could cover that. Her assets include 1200 dollars in a checking account, a total of 1500 a month (1200 SS, 300 pension), and a house currently encumbered by a total of 120,000 in mortgage and line of credit debt. The house was origianally valued at 296,000 but that was at the height of the mortgage craze and I believe it was likely radically over valued.
Currently, in phone calls, Phillips and Cohen has threatened to advise their clients, citibank to seek to reopen probate. Can they do that? Can they force the house back into a probate sale? Dad passed away two years ago, in november of 2006.
This is causing me a great deal of fear, because I had to quit my job to watch mom, we have no savings, and if this happens, we are to put it bluntly, homeless with no hope of recovery.
Re: Debt Collection Company Threatening to Re-Open Probate
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Can they force the house back into a probate sale?
To the best of my knowledge, no, they cannot.
It would be in your best interests to consult with an attorney at this point. Between this and your problem with BOFA, you have A Situation.
Initial consultations are usually free.
Re: Debt Collection Company Threatening to Re-Open Probate
Yeah, I'm getting ready to do that-- I just want to do as much research as possible first, so to maximize productivity of our meeting. When I was teaching the thing I hated worst was a student who wasted half the session because he or she couldn't be bothered to be prepared, and I'm pretty certain lawyers share the dislike.
Re: Debt Collection Company Threatening to Re-Open Probate
Oh, I have had problems with Phillips & Cohen Associates, too!
They called me about the debts of a dead relative and were very hostile and aggressive with me on the phone. They threatened to take "legal action" against me and the estate.
I stopped talking to them on the phone after that. Whenever they called I would just hang up the phone immediately and not speak one word to them.
Remember any information you give them over the phone, could be used against you, so it is best to never speak to them over the phone.
Their primary method of getting paid is to call people on the phone and try to get them to voluntarily pay them. If everybody they called would just hang up the phone on them, they would go out of business. I would love to see them go out of business someday.
It has been 9 months since that threat and they have done nothing about it. They huff and they bluff and try to scare people into paying them. They are all bark and no bite.
And if they ever did sue me, I would file a countersuit against them for violating the Fair Debt Collection Practices Act, Telephone Harassment, and for suing someone who DID NOT CO-SIGN for the credit card debt, plus court costs and legal fees, and I think I would win. I sure won't roll over and play dead if they try to sue me. I will fight back in court.