Lawsuits on old Credit Cards

An old credit card debt or loan can be easy to forget. A few years ago you landed on hard times, could not make payments, and the credit card company cancelled your card. You had almost forgotten about the debt until a Constable is knocking on your door trying to hand you a lawsuit.

Lawsuits for old credit card companies are often brought by the actual credit card company (think Bank of America or Capital One). Many times, however, lawsuits are brought by debt collectors. In these cases, your old credit card company sells the debt for a fraction of the amount you owe, rights it off on their taxes, and moves on to the next guy. The debt collector now has the ability to try to collect on the debt just as if they were the original credit card company.

Being sued by a debt collector does have its advantages (in comparison to being sued by the original company). The debt collector will have to prove that the debt was properly “assigned” to them by the original company. This creates an additional burden on the debt collector and can be beneficial to you.

The common debt collectors who bring lawsuits in Texas are Portfolio Recovery Associates, Midland Funding LLC, and LVNV Funding LLC. We have also dealt with many cases involving Calvary Portfolio, Calvary SPV LLC, and Hudson & Keyse LLC. There are a number of others lurking in the weeds.

If you have been served with a lawsuit from your old credit card company or a debt collector, call 800-862-1260 or 210-222-2288 (in San Antonio). You may have as little as 14 days to respond.