13 replies to this topic

[Steve Heard]

I may have mentioned something similar before, but there have been some changes. Here goes:

 

A certain young lady I know moved in with her manipulative boyfriend at 19, against the advice and wishes of her father. 

 

They bough about $3000 worth of furniture on credit. She says she didn't want to, but he couldn't on his own and needed her to sign.

 

About 6 months later they broke up. She had no need for the furniture and he wanted it, so he agreed to pay for it. She kept a night stand.

 

She agreed to pay off the remaining 6 months of the lease, as well as some storage and other fees.

 

She kept her end of the bargain. He didn't keep his. In fact, he bought a new big screen tv, months later on the same account.

 

She was able to get the account closed so no one could charge anything further on it.

 

A year and a half later, the account is now in collections, he's not returning calls, and they want her to pay for it all, even the TV he bought after. 

 

The collection agency's position is that she signed it, so she's responsible, and they will take her to court to collect.

 

Any suggestions?

[kanda]

Hi, Steve,

 

I'm not an expert by any means, but I'm pretty certain the poor young lady is liable for the debt (as unfair as that may seem). However, that doesn't necessarily mean she's going to have to pay every penny of it.

 

Here are two excellent sites you may want to explore (or pass along to her). First:

 

http://consumerrecoverynetwork.com/ -- Mainly this site is for helping to deal with delinquent accounts BEFORE they go to collectors. However, there are articles about dealing with collectors themselves, too. For example, this one:

http://consumerrecov...ection-company/

 

The other site is Avvo.com: http://www.avvo.com/free-legal-advice You can ask for free legal advice from real attorneys, and also search for and read past Q&As on your specific subject. For example:

http://www.avvo.com/...igner Liability

http://www.avvo.com/...o-Signer Rights

http://www.avvo.com/...llection Agency

http://www.avvo.com/...l-advice/Credit

 

I don't know if there's anything directly applicable, but there is a LOT of information there. Good luck to her.

[Deb aka Resume Lady]

Did they put their agreement in writing? She may be liable for what she signed for, but if they had a written agreement she may be able to sue him in small claims court. Just a guess.

[Duke]

"They bought about $3000 worth of furniture on credit".... Unfortunately, that's the bottom line.

 

In the olden days, people inked a contract and met their obligations. Sometimes they made sound decisions, and sometimes they made mistakes. 

 

In either case, they paid up and moved on.

 

No offense, but it's a splendid learning experience for young people. I'd suggest you support that.

[Chris]

She pays her debt and realizes it is the cost of the lesson she hopefully learned.....   Pick better men, listen to your father, your word (signing your credit) is your promise.   Chris

[Steve Heard]

Thanks for the advice.

 

@duke, yes, she signed and so she's not getting a bail-out from dad, particularly since he advised her against moving and against buying crap on credit.

 

On the other hand, her deal with him was that he gets the merchandise and he pays for it. He didn't, and even bought more stuff on the account later on.

 

Of course, that wasn't the deal she made with the store...

[supermom]

On the other hand...

 

what type of credit signature was used?

 

If she was a cosignor and signed in the (A) block-- she is fully liable

If she was required to have a cosignor she may not be as liable as the credit agency is bullying her to believe.

 

I know, I have used it before and had bad credit taken off my credit report for that reason. Secondary signatories cannot be held for the full amount and can make an independent agreement with a credit agency after collections have begun to have the liability halved. 

 

Go back and reread the credit agreement, talk to the creditors-hang-up if not happy and try calling again. Sometimes you get lucky talking to a second or third person. 

 

Bottom-line, they want their money. If you agree to pay half and request the other half be held to other parties liability without your credit taking a ding .... usually they will work wit you. Mainly because California is not a commonwealth state. 

 

Just keep trying. Usually credit agencies will work with you as long as you remain communicative.

[Deanna H]

One thing isn't really clear. Did both of them sign the credit agreement, or did she put it solely in her name due to his inability to obtain credit? 

[Steve Heard]

One thing isn't really clear. Did both of them sign the credit agreement, or did she put it solely in her name due to his inability to obtain credit? 

 

They both did. She says she didn't understand what she was signing, but as Judge Judy would say, 'Then you shouldn't have signed it'. 

[supermom]

Also, State of California will dismiss frivolous cases where the defendant is communicating with the creditor and making an attempt to pay each month. Even $5 a month. 

Tell her relax and just try to pay it down each month if she cant get the guy to help out. 

The best you can do is the best you can do.

And no- telling her to relax is not justifying the mistake but rather teaching her the bed ya make may end up lumpy but it can smoothed out with time and effort.

[Deanna H]

The collectors will go after both  until it's paid (make sure they have all the contact info on the guy so that he's feeling the heat too), they're not going to care who has the items, or what agreements the parties made between them.  I think a judgement on your credit score is pretty damaging, so she might want to think about not letting it get to that point. Unfortunately for her, she's probably more concerned with her credit score than he is,so she might be stuck paying and taking the guy to small claims court to make him pay her back. 

[Duke]

Thanks for the advice.

 

@duke, yes, she signed and so she's not getting a bail-out from dad, particularly since he advised her against moving and against buying crap on credit.

 

On the other hand, her deal with him was that he gets the merchandise and he pays for it. He didn't, and even bought more stuff on the account later on.

 

Of course, that wasn't the deal she made with the store...

  

Fair enough.

How about asking if she's willing to take him to small claims court?  The original purchase contract is admissable-- and she can argue the agreement they made when they split.

Its worth the small filing fee if she prevails...and he just might toss some cash to her if she simply agrees to dismiss it. 

Good luck.  

[Steve Heard]

Fair enough.

How about asking if she's willing to take him to small claims court?  The original purchase contract is admissable-- and she can argue the agreement they made when they split.

Its worth the small filing fee if she prevails...and he just might toss some cash to her if she simply agrees to dismiss it. 

Good luck.  

 

Unfortunately, this guy is bad news and won't amount to much in life. I think she'd rather never see him again. She has a decision to make.

[Dave Burrell]

 

Unfortunately, this guy is bad news and won't amount to much in life. I think she'd rather never see him again. She has a decision to make.

 

If he can be found, he can be made liable. The credit company can take deductions out of his welfare checks.

 

It sucks that the deadbeat is trying to weasel out of his commitments. He's a turd for buying the TV on the credit after they broke up. From their verbal contract - he took the goods, he was supposed to pay - he is liable for 100% of the debt, not her.

 

I agree with Duke and others that young people need to learn to pay for their debt.