Credit card and other forms of debt can quickly spiral out of control, leading to debt collection letters, lawsuits, and judgments. Worse, your wages can be garnished, bank accounts seized, liens placed on your property, and more. It’s easy to feel helpless when debt becomes overwhelming, but you don’t have to take on debt collectors and debt collection lawyers alone. The Fullman Firm is experienced with consumer and business debt settlement, including with Bank of America, and works to protect people and small businesses from debt collections and lawsuits.
What Makes Bank Of America Debt Different?
While many creditors sell their accounts to debt buyers, Bank of America tends to keep their debt in-house. This is not a hard and fast rule, but is a common practice. That means you are often dealing directly with Bank of America. Our firm routinely negotiates with the bank and its debt collection attorneys, so we understand their tactics and know how to develop strategies that can significantly reduce our clients’ balances. Whether Bank of America is collecting or they have sold the debt, we can help.
How Does Bank Of America Collect On Its Debts?
Every debt collection is different. However, there are a few steps that Bank of America will generally follow to collect on credit cards and other debts.
If you don’t make any payments for an extended period (usually six months), the bank will categorize the debt as a “charge-off.” This means the bank has written off the account. But don’t be misled by this term: a charge-off does not necessarily mean the account has been sold. It also doesn’t mean the bank will stop trying to collect on the debt.
At this point, Bank of America will work aggressively to collect. While they still own the account, they often employ third-party debt collectors and attorneys to go after the debtor. This includes mailing collection letters and threatening legal action.
Bank of America may sell the account to a debt buyer, a company that buys the debt for pennies on the dollar. At that point, the buyer will attempt to collect enough to make a profit on the account by convincing you to pay. Either Bank of America or the debt buyer may also sue you to collect. If a lawsuit is filed, it’s critical that you contact an experienced debt settlement attorney.
How Does A Debt Collection Lawsuit Work?
The creditor or debt buyer will file a summons and complaint. The complaint describes the claim being made against you, particularly the nature of the debt, your requirement to pay, and your failure to do so. The summons orders you to respond to the lawsuit.
Filing a response is critical. It gives you the chance to state your defenses, if any. However, if you legitimately opened the credit card or other account and incurred debt, there is little maneuvering room. The answer you file has to abide by certain formatting, notice, and procedural rules. You generally have to file an answer within 30 days of being served the summons and complaint, or a default may be entered against you.
During this phase, you may receive written discovery requests. Discovery is a process parties can use to obtain relevant information about the subject matter of a lawsuit. It’s important to know how to respond to these requests so you can preserve your legal rights.
You will eventually be given a court date for the trial. The creditor or debt buyer will present its case through an attorney. In most cases, the trial will result in a judgment being entered against you. This is an amount of money the court orders you to pay. The judgment may be used to take further action, such as wage garnishment, bank levies, property liens, and more.
What Is Debt Settlement?
Wecan help debtors even after they’ve been sued or had a judgment entered against them. However, you are in a much better position to negotiate your debt and pay less than you owe if you take action before a lawsuit is filed. One of the best options for doing so is debt settlement.
With debt settlement, you can negotiate with your creditors to accept a lump sum payment for less than you owe. Although payment options are sometimes available, you usually have more leverage by paying a lump sum. In some cases, you maybe be able to push the debt collector to dismiss its case, which mean the lawsuit can can go away without paying anything.
How Can The Fullman Firm Help Me with My Bank of America Debt Settlement?
Bank of America and other creditors will pursue you to get what they want, and they have an army of lawyers to help them. Having a knowledgeable debt settlement attorney levels the playing field and helps you negotiate the lowest amount possible to settle your debt.
Saving money isn’t the only reason to hire an attorney. If you’ve been sued, you need to defend your rights in court. A debt settlement company cannot do that. There are numerous laws to protect debtors, meaning the bank or debt collector is required to adhere to strict legal requirements. If they violate those laws or commit other errors, you could have the lawsuit dismissed and owe nothing.
Contact Our Experienced Bank Of America Debt Settlement Attorney
Doing nothing is the worst thing you can do after falling behind on your debt. This only makes the situation worse and adds unnecessary stress to your life. Let the Fullman Firm work with you to resolve your debt. We offer flat fees and affordable payment options, and we’re ready to help you. Call us today.