North American Recovery (NAR) is a debt collector that is located in Utah. If you live in California and owe debt, there’s a good chance you will end up hearing from this company. NAR has been the target of numerous complaints for its business practices, yet the company is known for successfully taking legal action to recover money for debt accounts.
Has NAR contacted you about a debt you supposedly owe? Do you want to take steps to settle the debt once and for all and get NAR out of your life? The Fullman Firm can help. We have extensive experience negotiating debt settlement solutions that save our clients money, time, and hassle.
The Basics About North American Recovery
Located in Utah, NAR has been in business for several decades. As a debt collector, this company buys up old debts from the original creditors. These include credit card and student loan accounts that are in default. After buying the debt, the company then turns around and takes action against the debtor to try to collect. This includes filing lawsuits.
The Better Business Bureau reports that NAR has received a number of complaints over the years from debtors. These include allegations that NAR has:
- Harassed individuals who don’t owe the debt that NAR purchased
- Made multiple phone calls from different numbers
- Failed to credit payments that debtors made on their accounts
- Refused to provide information about the account requested by the debtor
- Failed to identify itself as a debt collector
- Failed to update information with credit bureaus
- Misled and misinformed debtors about the nature of their debts
What Rights Do I Have As A Debtor?
Debt collectors like NAR are regulated by state and federal laws that restrict their debt-collecting activities. In general, a debt collector cannot harass or intimidate debtors to try to collect. More specifically, they are prohibited from:
- Calling debtors at unreasonable hours of the day or night
- Calling debtors at work after the debtor requested them not to do so
- Using profanity or obscenities in communications with the debtor
- Threatening to have the debtor arrested over non-payment
- Discussing an individual’s debt with his or her co-workers
- Failing to identify themselves as debt collectors
As a debtor, you have the right to verify certain information about what you allegedly owe, including:
- The identity of the original creditor
- The balance that is allegedly owed
- A statement informing you of the right to dispute the debt within 30 days
What To Expect In A Debt Collection Lawsuit
NAR is known to take aggressive action to try to collect on the debts it purchases. This includes filing a lawsuit against the debtor. If you are sued by NAR, it is strongly advised that you retain legal counsel immediately.
Lawsuits begin with a complaint and summons. The complaint will allege certain facts about the debt, such as the debtor’s identity and how much is owed. This document will be served along with a summons, which orders the debtor (defendant) to respond. You will have 30 days to answer the lawsuit at that point.
You should read the contents of the complaint and summons and identify any errors. Also, it is not recommended that you attempt to dodge service. NAR understands how to serve debtors and it has numerous options for doing so. Evading service only increases the amount of money that NAR will demand in court.
Steps To Take After Being Served With A Lawsuit
You will want to retain an attorney to assist with your answer to NAR’s lawsuit. Your attorney will know how to properly respond to and serve the answer, as well as how to assert any legal defenses or rights you may have.
If you fail to answer the lawsuit or you answer it late, NAR will seek a default judgment. But if you actually owe the debt, there’s a good chance the company may obtain a judgment anyway. A court judgment allows NAR to take additional steps to collect what it says you owe, such as garnishing your wages and placing liens on your property.
Although this may sound discouraging, you should understand that you do have options – even if a judgment has been entered against you. One option is debt settlement.
How Debt Settlement Can Work For You
Debt settlement allows a debtor to negotiate a lump sum payment that is less than the total owed. Debt collectors understand that even if they obtain a judgment against a debtor, collecting the money is still difficult. This gives debtors leverage to negotiate a payoff that saves money, saves stress, and forever resolves the debt.
Having an experienced debt settlement attorney negotiate your debt is important for two main reasons. First, a knowledgeable lawyer will understand what is at stake for both parties and how to negotiate effectively. Your lawyer should have an idea of a reasonable settlement offer to make to NAR and how to leverage the details of the debt in your favor. Debt settlement negotiations take patience and tact, and we’ve used this tool to save untold sums of money for our clients.
Second, having an attorney will help ensure the debt settlement that you work out is effective. Some debtors negotiate agreements that the debt collector later refuses to honor, leaving them with little recourse. For instance, if you work out an agreement over the phone and then make a payment believing it will settle the account, the collector may later deny it. That’s because the agreement wasn’t written and so you have no proof of it.
The Fullman Firm Is Ready To Serve You
At The Fullman Firm, we know how to settle our clients’ debts once and for all. Even if a judgment has already been entered against you, there are still options for saving you money. Give us a call today to schedule a consultation.