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fight this lawsuit or just try to settle?

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Arbitration forum -

I also posted the credit card agreement here -

It has a survivability clause and you pay $50


--- Quote from: daryl1689 on April 15, 2012   05:05:22 PM ---With all due respect, any credit score below 650, and even 700 is considered subprime these days.  How many negative accounts do you have?  Do you anticipate more creditors filing suits against you?  Is bankruptcy an option?

--- End quote ---

I know I have horrible credit, I have a lot of negative accounts, but everything is current now, and has been for the past 6 months, with the exception of private student loans that I cosigned on with my now ex wife.  They've ballooned from $60,000 to over $200,000 and they're not dischargeable in bankruptcy, so it's not really an option, but that's the main reason my credit is shot.  I have decent credit otherwise, but things need to be manually underwritten.

For example, I have late pays on my Capital One credit card, but it's current now, and has been for the last 7 months.  I've got good history with Honda Financial, and despite my low score, they just approved me in January for a new car at 4.9% with $0 down.  I was putting $300-400 a month consistently into repairing my old car, so I made the decision to get a new car, expecting a used car at crazy interest rate and a large down payment.  The dealership made a call, and got me the approval, so like I said, I have a bad score, but I'm trying to fix it.  As for other potential lawsuits, none that I foresee, other than the student loans.  With that, I"m basically just waiting to get sued.  I don't make anywhere near that amount, I don't own my house, but they also will NOT negotiate a settlement of any kind, unless I want to write them a check for $100,000 which I can't do.

The only other collection accounts I have are either paid, or in the process of being paid.  I'll look into this arbitration.  One question that immediately comes to mind though, is if Continental Finance sold the debt to Main Street Acquisitions, does the Continental Finance credit card agreement still apply?

Read the agreement. See what YOU think applies.

Start reading the Ohio RCP. You NEED to answer the suit.

If this were my issue, I'd immediately file for arbitration with JAMS and pay my fees. I would demand the lawsuit dropped and for them to arbitrate the claim.

Start reading and understand what is needed to secure an arbitration claim.

Fighting the suit willl not help your credit but it may prevent a Judgment which has a much longer SOL than a non-Judgment debt and with a Judgment they can attach bank accounts and paychecks, their two favorite targets. With a credit score in the mid-400's you really don't have much further down to go. If it comes to it, a BK may even help.

Always fight and take them to Jams arb if you have to.


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