Results 1 to 10 of 10
  1. #1
    Join Date
    Mar 2013
    Posts
    5

    Default How to Deal With a "Zombie Debt" Collector

    My question involves collection proceedings in the State of: Maryland

    My situation is that I opened a credit card account with a certain company in 2008 I believe. I used it infrequently, and through my own fault, fell behind on payments and eventually abandoned it. It was not my proudest moment. I've now gotten my act together, and am in the process of reconstructing my credit and establishing myself.

    I receive mail at my parents address in PA (I have lived in MD since 2007ish though have intermittently used my parents' address as while getting set up in MD, stayed with friends/relatives for a while before I found an apartment). I have had leases for 2009-11, and 2011-current, in Maryland, though never changed my license over to MD as I left my vehicle with my parents and seldom drive here. I don't know if this creates a problem in which state I am a "resident" or which state's statute takes precedent.

    Last Christmas, my parents dropped off mail while visiting, including a letter from a certain collection agency (I assume I should not name them explicitly here) indicating I owed them a debt. I did not respond, and a month or two ago began receiving phone calls from "unknown" once or twice a day. They got annoying enough that I eventually answered one, and offered to pay the debt in full in exchange for them removing their entry onto my credit report- not the original charge-off from credit card co.- just the collection agency's new entry on my credit report. They declined, and I persisted, and it was escalated to a supervisor, with whom I had the same conversation. She tried to paint me into a corner, using language to imply that I was "refusing to pay". I reiterated clearly several times that I would pay in full if they would make this agreement in writing to remove their mark on my credit report. She continued to inform me that this indicates a refusal to pay on my part, as she had told me that they would not remove it even if I paid in full. She told me the conversation was done and they would move onto further action.

    I'm now concerned about getting a lawsuit on my hands. The debt is less than 1k (for now, although they see fit to accrue an incredible interest rate on the debt monthly).

    As far as I can see from my credit report, the last "late" mark from credit card co. was 120-day-late, in March 2009. After this, it appears as "no data" each month, with intermittent "KD"s ("Key Derogatory") once in a while. Then, in February 2011, there is an "OK" (although I did not pay them in February, 2011) and that is where the reporting ends.

    Enter the collection agency, who appears on my credit report as of February 2012 (one year later), with each month (except for one or two) all showing "KD" from them.

    Can anyone help me figure out how I establish:

    1. Did I "re-age" my debt by offering to pay in exchange for removal of their mark on my credit? I have been reading about the concept of "re-aging" but I am unsure exactly how it works, and if it is a federal concept or state-by-state.

    2. Which state the statute of limitations applies to? (They appear to have my Pennsylvania address on file, but should I update with them to Maryland or leave as-is)?

    My understanding is that the Statute of Limitations clock starts at the date of the last payment on the debt to the original creditor- so by the 120-day-late mark, it would seem that was November, 2008. By that logic, I would be outside of the SOL (for Maryland...and possibly PA?) and be able to have more leverage to offer them a payment in exchange for them removing it from my credit. Or...did I "re-age" the debt and open myself up for a lawsuit just by talking to them on the phone and inadvertently "validating" the debt?

    I'm sorry if I've not provided enough information (or too much). As far as I know, I have not received any further contact from them, but would like to know how to proceed (and at this point think I would make a settlement even though it would not help my credit, if the other option is legal action...unless I have any legal footing here).

    Thank you for anyone who responds. I feel terrible asking- this is my own mess, from my own issues of disorganization- and I am not trying to get away with anything. I just want to know how to proceed and what my options are in terms of fighting for "a better deal".

    BTW, I don't know if there is any "thank" or payment system here, but I would be happy to offer free design services in exchange for some thorough advice on this.

  2. #2
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: How to Deal With a "Zombie Debt" Collector

    The statute of limitations is generally regarded as procedural law, not substantive law, so the limitations period that would apply to a lawsuit will be that of the forum state (the state in which you're sued) unless that state has a borrowing statute. If the state has a borrowing statute and you bring a motion to apply the other state's limitation period, the court will review the facts to determine which state's limitations period should apply.

    Given that you have maintained what appears to be a permanent address in Pennsylvania, where you receive mail and bills, and you hold a driver's license in that state through which you purport to be living at your parents' address, it would be reasonable for a Pennsylvania court to find that it had jurisdiction over you for a lawsuit filed in that state. Given that you actually reside in Maryland, it would be reasonable for a court in that state to permit the collections case to proceed against you in that state's courts, as well.

    Your attempt to negotiate a payoff amount will generally not reset the statute of limitations.

    As an aside: You need to follow Maryland law, and get a Maryland driver's license.

  3. #3
    Join Date
    Mar 2013
    Posts
    5

    Default Re: How to Deal With a "Zombie Debt" Collector

    Thanks for your response.

    Re: the aside- Apparently I have a 60-day window upon "establishing residency" (which I've come to understand- possibly incorrectly- to mean signing a lease, buying a house, etc) to change my license, outside of which I have no means to do so? I've just assumed to roll the license over upon my next lease or when I (if I) buy a house. I've tried contacting Dept of Trans here, but all I've ever gotten is "60 days".

    Do you know where I could look to verify (re: "...will generally not reset...") what the actual protocol is for establishing SOL in PA, and what, if any, stipulations there are regarding verbal discussions? What sort of terminology I might look for in PA legal code? I'd like to know what I can and cannot say, the next time I go around with them- and/or, determine if I should just "not go round" with them for the time being.

    Thank you again for your response.

  4. #4
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: How to Deal With a "Zombie Debt" Collector

    Quote Quoting andrewsjm
    View Post
    Re: the aside- Apparently I have a 60-day window upon "establishing residency" (which I've come to understand- possibly incorrectly- to mean signing a lease, buying a house, etc) to change my license, outside of which I have no means to do so?
    Definitely incorrectly. You've told us that you moved to Maryland six years ago. Do you understand that six years is longer than 60 days?

    I'm not going to research laws of multiple states for you. You can look up Maryland statutes here, Pennsylvania consolidated statutes here and unconsolidated statutes here (see also the code, and recognize that not all materials are online), and a considerable amount of case law here.

  5. #5
    Join Date
    Mar 2013
    Posts
    5

    Default Re: How to Deal With a "Zombie Debt" Collector

    Thank you for your curiously contemptuous, but, voluntary (and ultimately, very helpful) responses.

  6. #6
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: How to Deal With a "Zombie Debt" Collector

    Contemptuous? Hardly. Do you know what that word means?

  7. #7
    Join Date
    Mar 2013
    Posts
    5

    Default Re: How to Deal With a "Zombie Debt" Collector

    "Do you understand that six years is longer than 60 days?"

    "I'm not going to research laws of multiple states for you."

    Contempt: "...a mix of the primary emotions disgust and anger."

    With regards to the 60-day window and what establishes residency to begin the 60 day period, I obtained the relevant information through the proper channels (inquiring directly to the governing entity of the regulation in question). I'd originally explained in further details the circumstances of the first few years of my provisional residence here, but removed it because it was extraneous and didn't imagine that it would become such a significant factor in the conversation.

    Regarding the statute of limitations, I in no way asked you to look up laws for me. I feel virtually certain that given your concisely-worded responses throughout this forum, coupled by the breadth of your knowledge in various legal arenas, that you far surpass the intellectual threshold required to extrapolate that I was not asking you to do work for me.

    You responded in a bizarrely helpful-and-simultaneously-condescending way.

    Thank you again for your help. Lets consider this thread closed as you have answered my questions.

  8. #8
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: How to Deal With a "Zombie Debt" Collector

    So you found a definition of "contempt" and established that, prior to looking up the word, you didn't know what it meant. Great, that's what I was going for. Condescending? Yep. You earned it before and, after your latest protracted whine, have earned another serving.

  9. #9
    Join Date
    Mar 2013
    Posts
    5

    Default Re: How to Deal With a "Zombie Debt" Collector

    Thank you again for your help. Lets consider this thread closed as you have answered my questions.

  10. #10
    Join Date
    Sep 2005
    Location
    Behind a Desk
    Posts
    98,846

    Default Re: How to Deal With a "Zombie Debt" Collector

    You're welcome. Now please take care of that driver's license thing before you end up in even hotter water.

    1. Sponsored Links
       

Similar Threads

  1. Settling a Debt: How to Settle a Debt Without Having to Worry About Debt Collector Tricks
    By Tmm in forum Debts and Collections
    Replies: 2
    Last Post: 11-11-2012, 08:33 PM
  2. Debt Collectors: Debt Collector Tricked My Grandmother into Paying My Debt Without My Knowledge
    By antinomy in forum Debts and Collections
    Replies: 3
    Last Post: 12-24-2010, 09:59 AM
  3. Debt Collectors: Debt Collector Won't Work With Debt Consolidation Plan
    By barbarayoung45 in forum Debts and Collections
    Replies: 1
    Last Post: 11-19-2010, 05:08 PM
  4. Debt Collectors: Deceived by Zombie Debt Collector
    By parrotmom in forum Debts and Collections
    Replies: 4
    Last Post: 10-22-2010, 04:21 PM
  5. Debt Collectors: Zombie Debt Question in NC
    By dc377 in forum Debts and Collections
    Replies: 3
    Last Post: 11-05-2006, 12:03 AM
 
 
Sponsored Links

Legal Help, Information and Resources