You can find credit card debt relief even if you cannot pay.

Going back a few years ago junk debt buyers (JDBs) discovered they could successfully churn out large numbers of lawsuits based on their bulk purchases of credit card debt. They discovered that less than 10 percent of “guilty” consumers would reply to their summonses. In a typical collection law firm a few collection attorneys supported by dozens of paralegals and administrative staff could turn all those unanswered summonses into default judgments.

Today these law firms are set up to process summons service and default judgments and the ensuing collection of money.  They are not set up to litigate with consumers demanding proper documentation for “alleged” credit card debts.  And, because over 90 percent of consumers default on these lawsuits, it is much cheaper for them to simply not provide specific account documentation in each lawsuit.

Credit card lawsuits by junk debt buyers lack proper documentation.

Apparently, junk debt buyers have difficulty documenting credit card debt to court standards.  Courts being flooding with these lawsuits are learning of this.  The state of Maryland has set a standard for documents to be supplied with a credit card debt complaint.

Similar to the robo-signed affidavits provided by some credit card banks in their lawsuits, junk debt buyers have their own bogus affidavits, as well as documents that they try to fool consumers and courts with.  According to credit card debt defense attorneys, the Langel Firm in New York, documents supplied without a supporting affidavit from someone with personal knowledge of the debt in question are considered hearsay evidence, and the same is true for a written statement without accompanying documents.

Junk debt buyers also have trouble properly documenting their ownership of a consumer’s credit card debt.  They will furnish a bill of sale without specific account numbers in it because there are thousands of accounts in each sale.   Also that document will not be accompanied by an affidavit attesting to the inclusion of the consumer’s account in that batch of accounts.

Last year American Banker, THE publication of the US banking industry, exposed how banks and junk debt buyers engage in forward flow agreements. In some of these agreements, banks admit to faulty records and inaccurate balances in some of the credit card accounts sold to JDBs.

According to the Langel Firm in New York, demanding the forward flow agreement under which a particular credit card account was acquired is enough to make a JDB’s collection attorney go away.

I am not an attorney, nor am I familiar with the state to state vagaries of legal procedure.  But, I do have experience successfully resisting debt collectors and collection attorneys attempting to collect thousands of dollars in credit card debt from me.   I continue to read about legal issues that pertain to collection attorneys, for both original creditor banks as well as junk debt buyers, suing consumers for credit card debt.  This is part of what I have learned.  You can read everything in my Credit Card Debt Survival Guide.

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