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MaggieW2007

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company keeps hitting my credit with a hard hit. how can i get it to stop
A collections company keeps hitting my credit as a hard hit. This is from a debt from around 2012. I got a letter today from a 'lawyer' in NY that wants to help me based on the fact this company is suing me. First of all, I know nothing about being sued, and second, how can I get them to stop hitting my credit once a year? This was a business venture and the business closed, it shouldn't even be in my name.

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You question prompts more questions

first you mention that this was a "business venture, the business closed",  Was this your business?  Was it an LLC or Corporation? Did the Corporation go through bankruptcy and have the debts discharged?  If it wasn't discharged by a court and you were a sole proprietorship or in a partnership or an officer of the corporation then you ARE still legally responsible.

As far as the lawyer that contacted you, Those tend to be lawyers in name only and actually work for the debt collectors, They use the "You are being sued" line to get you to settle to avoid court.   A suit can be filed until the account is 7 years old. 

So you have a couple of options. 

1) prove that the debt is not yours.  If you can prove that the debt was discharged in court or that you are not legally responsible, then mail noterized copies of any paperwork to the Collection bureau, Return Receipt Requested, Signature required. This would be your proof that you notified them.  

Because you haven't done that already, then I may assume that you do feel you have some responsibility for the debts. 

2) Validate the account. Do this with a Validation letter, Google it for a template and more info.  This will require the Collection bureau to prove that they have all the legal paperwork in place to collect this account, often times they don't and they will have to drop the account and remove it from your report. Handwrite this letter, don't type it. Be sure to specificly asked for copies of Signed documents with your signature as proof. 

3) You can sit it out.  Collection agencies can only pursue you for 7 years on old debts.  This is from '12, meaning that if you had absolutely no contact with the collection agency in that time, the collection will come off your credit report by 2019.  7 years for the date of last contact.   You will still get the letters and threats of law suites but the chances are that unless it is a significant amount they will just keep doing what they have for the last 5 years. 

4) If the account is validated,  You can do an offer and compromise,  Google that for more info on how they work.  Basicly you get a written agreement from the collection agency manager to settle the account for less than the total due. Always deal with Collection agencies Manager in writing, never on the phone, As promise in wirting will hold up in court, but a promise on the phone has no witnesses.  Remember that they bought his debt for pennies on the dollar, you should feel no obligation to pay them the full amount of the account.

I hope that helps answer some of your questions.  

Good luck 

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You need to contact a FDCPA law firm for assistance. Most will provide a free consultation. (fair debt collection practices act). See if Kimmel & Silverman practice in your state.

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