PMGI, LLP refusing partial payment

[debtman]

Back in 2008 Kenosian & Miele, LLP partnered with PMGI, LLP to collect a debt I owed to Citibank. The original balance was $1200, but because of fees and interest they received a judgment for over $4000. They sent a writ to my bank and took the $4000+.

Fast forward almost two years, and I got letter from them stating that I still owe just under $1000. I made payment arrangements with them to take $100 out of my bank account every month so that they could just withdraw the money (probably a stupid move after reading all of the horror stories here). They took payments for October and November of 2010, but not for December or January.

I called them today and they stated that they had called me at least three separate times, once on December 28th, then again on January 4th and 5th. They also told me that they sent out letters, the latest demanding payment within 5 days of the date of the letter, which would have been January 2nd.
The lady handling my account said that after her three calls, my payment plan was voided and they won't take any payments because my account was under review by her manager.

I called her manager, explained the issue, and outside of her rude and elevated voice tone, she said that she was refusing to take any payment from me. I said, "Okay then, what's next." She said that they would be seeking legal action against me and levy my assets. I asked again, "Are you saying you're not going to take my payment, even though the money is in the bank?" She stated that she didn't care and that she was refusing to take any payment from me.

I called a lawyer just to see where I stood and she told me that it was stupid of them not to accept a payment on a debt that they know is owed. She said to pay them anyway, and if they refused, she would write a letter requesting them to apply my payment to the account.

Not to question the lawyer, but does this sound right? Is there any extra advice? The balance was $799.16 as of December 28, 2010, but now is $859.60 as of today. I'm almost inclined to believe that they don't want me to pay it because they'll lose out on fees and other frivolous charges.

[chane]

Wow, $1200 to $4000, then almost $1000 more? That's unbelievable! I would never go for that. I'd pay them 50% at most. Your biggest mistake was letting them get that default judgment.

Anyway, yea they are trying to let it go bad so they can add more fees as if they haven't raped you enough. I would take your attorneys advice and pay them anyway so they can't say that you didn't try.

You really need to learn about the credit system so that this kind of thing never happens again. This type of shit makes me sick.

[debtman]

Thanks for the reply Chane. I don't suppose you offer any self-help or debt and credit 101 courses?

Anyhow, This problem stems back from my 20's, and once it's cleared up, along with the rest of my debt, THAT IS IT! I will NOT go back into debt, specifically heavy debt. I may want to buy a car and house at some point, but outside of that if I don't have enough cash to get what I want, then I will go without.

One positive thing is I haven't aquired any new debt beyond 2005, so all of my credit issues are older. I just need to get them cleared up.

[chane]

I recommend anything by Dave Ramsey or Robert Kiyosaki. I know there are many other great authors, I just can't think of any right now. Those 2 are my favorite.

[PMP]

I had a credit card several years ago and was making monthly payments until I got laid off in Feb of 2009. I only had 1 temp job since that time BUT when I learned of my employment change I called the credit card company and explained to them my situation. What I thought was odd is they didn't have any of my information but they had my ex-husband's personal information. I mmedicatley cut up all credit cards and paid what I could and what I couldn't pay I contacted the creditor. Then I get served with papers that they got a judgment against me for $7000 and had it sent to my elderly parents house which is not where I live and that really up set my parents and me as well. So I contacted the law firm that represented the credit card company told them I was unemployed and was advised they would make a note of it in my file and it would just remain as a judgment against me. I get my $6000 2010 income tax refund which I was turrn around and give the mortgage company in order to keep me from loosing my home and the credit card company took every penny out of my account. They took my unemployment check that had just been deposited in to my account and a child support payment I had received for use to eat on and pay the utiity bill. Now we have nothing. I want to know if this creditor can take my child support and unemployment b/c a friend of mine told me they are not allowed to take those payments. I have contacted the law firm again and told him about my situation and he told me he would have someone contact me that day okay that was last week and still no response.

Please help

[Lian]

Weren't you served notice of their suit for judgment? Trial precedes judgment.

They just don't serve notice of judgment on you without prior notice of their suit.

If a judgment was rendered without proper notification of trial, then that is solid grounds for motioning the court to vacate their judgment due to lack of proper service of notice of the proceedings. As part of pre-trial, the plaintiff must have presented evidence of notice served upon you.

Can you explain the proceedings prior to the court's judgment?