Debt Collector Lawsuits
Debt collection lawsuits are brought by the thousands against Iowans being sued for debts including credit card debts, car repossessions, student loans, or mortgages. Creditors filing lawsuits against Iowans include credit card banks such as Discover, Capital One, One Main Financial and Citibank. Debt buyers filing lawsuits include Portfolio Recovery Associates and Midland Funding. Several auto lenders, including Credit Acceptance Corp., also file collection lawsuits in Iowa for money the lender claims is owed after a car repossession. These lawsuit are brought by Iowa debt collection attorneys in Iowa District Courts and in small claims. If you have had a debt collection lawsuit brought against you, we are here to help. Iowa and federal laws provide defenses and rights to those in debt. There are laws prohibiting debt collection harassment and abuse even for those who owe the debts. There are defenses even to debts you think you owe, and nearly all debts can be settled with the help of an experienced debt collection defense attorney. Representing yourself is one option–or is it?
Banks, creditors, and other financial insitutions have legal remedies to collect debt that do not involve abusive, deceptive, and unfair debt collection practices. Frequently the most abusive debt collectors are those collecting debts that should be a much lower priority for debtors and they should be paying more important bills such as rent and home mortgage payments. Do not let debt collection abuse determine your family budget. There are legal ways to get abusive debt collection practices stopped. Even if you owe the debt, why not let us settle it for less than what is being demanded of you? Certainly you have better ways to spend your money rather than paying excessive fees to a credit card bank or debt buyer.
Calling the debt collector’s attorney and agreeing to a confession of judgment or confessing judgment in your answer is hardly a smart move. The judgment will be on your credit for years. It can be enforced by wage or bank garnishments. Contact us and let us help.
Debtors have rights that may include one of many valid defenses against those attempting to collect the alleged debts. Defenses for debtors may include:
- The consumer does not owe the debt and/or it was previously settled
- The collector does not own the debt and has no right to collect it
- The debt collector is attempting to collect from the wrong person (same or similar name, family member, friend, etc.)
- The debt collector is attempting to collect excessive amounts or prohibited interest charges or attorneys fees
- The debt is time barred by the statute of limitations. That is, the debt is too old to be collectable (probably 5 years for credit cards in Iowa)
- The debt buyer or debt collector does not have the necessary documents to prove its case against the debtor
- The debt collector has engaged in illegal behavior and practices in order to collect the alleged debts, including debt collection harassment
- Proper right to cure notices were not sent to the consumer in a timely manner
- The collector is not registered in Iowa to collect debt
- There is no debt; the entire collection is a scam
- The consumer is one of the tens of thousands of victims of identity theft resulting from the incompetence of large corporations in failing to protect confidential information they have obtained from consumers
- In the case of a deficiency on an auto loan, the collector cannot prove the vehicle was disposed of in a commercially reasonable manner, proper notices were not sent to the consumer or the repossession resulted in a breach of peace
Consumers and debtors have the right to be treated fairly and in accordance with the law – even if they owe the debt. In many cases, the Johnson Law Office can settle the debt for a reduced amount, lower or eliminate future interest charges, or avoid credit damaging lawsuits and judgments. It is very important to contact our office as early as possible in the process, because the rights of consumers can quickly erode during the debt collection process. We offer a free initial consultation, so there is little reason to engage in procrastination that could cost you a lot of money.