The next time you get a collection letter, pay attention to the details.
Complaints against debt collectors have surged in recent years, which has somewhat masked another issue in the consumer credit realm: debt buyers. Debt buyers purchase charged-off debts from original creditors at a fraction of the price and then attempt to collect the full amount of the debt.
According to a recent article involving a debt buyer case in California, a sales agreement signed by Bank of America stated that Bank of America made no guarantees as to the accuracy of the credit records as part of a sale to a debt buyer. In other words, “buyer beware.”
Midland Funding, LLC, one of the largest debt buyers in the country, recently dismissed a debt collection lawsuit in excess of $22,000 against one of the firm’s clients.
The client was thrilled with the result, to put it mildly.
Debt collection lawsuits are big business in Minnesota. Just one debt buyer—Midland Funding—has filed over 15,000 debt collection lawsuits in the last three years.
Many consumers get sued for a debt, think the lawsuit is fake, and then ignore it.
As a result, they lose their case before it even starts. If you were recently served and think the lawsuit is fake, think again.
Swanson alleges that the company has defrauded Minnesota courts by filing false and deceptive affidavits—affidavits signed by “robo-signers.”
My Debt Collection Lawsuit Guide is a step-by-step overview of a Minnesota debt collection lawsuit. The guide was written to give Minnesota consumers a plain-language, understandable overview of the way debt buyer lawsuits usually play out.
I want consumers to know what they can expect, and help consumers handle debt collection lawsuits. I have free forms for some parts of a lawsuit, and offer affordable consultations and other unbundled services for the rest.
If you use our guide and get stuck on a step, give me a call. I can coach you through it or handle it for you.