How to Fight Credit Card Companies Who Are Suing You

Contributor

By Carlye Jones
eHow Contributing Writer

Article Rating: (23 Ratings)

The scales of justice are not always balanced in a consumer's favor, but there are ways to successfully fight credit-card companies that are suing you.

Being taken to court is nerve-wracking, especially if it is over a debt you do not owe or cannot pay. Whether you dispute owing the debt or its amount, or cannot afford to pay the debt, there are ways to successfully fight a lawsuit. While you should always be honest in court, there are ways force credit-card companies to give up on a suit.

Difficulty: Moderately Challenging

Instructions

Step 1

Check the statute of limitations in your state. As soon as you are notified of a lawsuit against you by a credit-card company, find out what the time limits are for filing such a suit and whether the company has met them. All states have statutes of limitation for filing lawsuits, and in many states, the limit is either four or six years after the last payment on the debt. To find the law in your state, either call the court in which your case is filed, or the superior court in your county. The phone number of the court in which your case is filed should be listed on the paperwork you were served with. You can get the phone number for your local superior court by calling your county government. You can also check the National Center for State Courts court listing page in the Resources section.

Occasionally, information on the statute of limitations may be online, but you should call to verify that it is correct and up to date. You do not want to base your court case on incorrect information. FindLaw.com offers some brief information on statutes of limitation in each state, but call to verify the information, and make sure it applies to your case. Not all debt cases have the same statute of limitations. The time limits can depend on the type of debt and the type of contract. It's best to speak with a court official or attorney who can advise you of the statute of limitations on credit-card debt.
You may also be able to obtain information about the statute of limitations in your state by contacting a nearby legal-aid office. Legal-aid offices usually consist of attorneys and paralegals who assist low-income clients, and often work with the courts to provide basic information to litigants. Visit the FindLaw link in the Resources section for a list of legal-aid offices and resources in each state.

If the time limit has not passed, you cannot argue this point.
It is not uncommon for credit-card companies to ignore the statute of limitations in filing a lawsuit, since if you don't argue that the time limits have passed, the lawsuit can proceed.
Step 2

Request verification of the debt. Under federal law, any debt collector, including a credit-card company, is required to verify that you actually owe the debt. The procedure simply involves checking your name, address and Social Security number, or other personal information, against the credit-card application. If, however, the company does not have the information needed to verify the debt, or it turns out that they have the wrong person, you can raise the issue in court.
Step 3

Prepare and submit a written denial. The rules are different in each state, but you have only a limited amount of time to submit a response to the court. If the deadline passes and you have not submitted a response, the credit-card company is likely to win the case by default. Be honest in your response, but do not make any admissions. Deny any allegations made in the lawsuit that are not true and raise any defenses you have, such as that the lawsuit was filed outside the statute of limitations, that the amount being sought is incorrect, that payments were calculated incorrectly or that you have paid the debt. Have the response notarized and submit it to the court. In some states, there may be a fee for submitting a response. Be sure to pay the fee when submitting your response.
Step 4

Request evidence and witnesses. Since the credit-card company is bringing the lawsuit, they have a burden to prove that you owe the debt. Ask for proof of the debt, as well as a list of any witnesses they intend to call. Rules vary by state, but generally, the credit-card company is required to provide you with a copy of the evidence they plan to use. This gives you time to review the records they provide to the court and plan your defense.
Step 5

Review records and information provided by the credit-card company. If the company provides the requested records and documents, review them carefully. Make sure the math is correct, that payments have been calculated correctly and that they are suing for the correct amount. Compare the documents to your bank statements and payment records to see if they match up. Look for any inconsistencies in their case that you can point out in court.

If the company provides only an affidavit, or does not provide any evidence of the debt, use this fact to argue in court that they have not provided evidence of the debt.
Step 6

Gather evidence. Locate bank records, canceled checks, billing statements and any other documentation you have that iis related to the debt. Make copies and organize them in a way that will make sense when you present them in court. Make notes of any discrepancies between your records and information filed by the credit-card company in the lawsuit. Make the credit-card company prove that their records are correct.
Step 7

When your case is set for trial, be sure to show up. This may sound silly, but many people simply fail to show up for the trial, and the credit-card company wins by default when they might have otherwise lost the case. Respectfully show the judge your evidence, request to cross-examine witnesses and, while being honest, present your defense.

Request that the case be dismissed either for lack of proper evidence, lack of witnesses, exceeding the statute of limitations or for seeking the improper amount owed. If the attorney for the credit-card company does not show up for the trial, ask that the case be dismissed as well.

Comments

lilolladystuff said

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on 6/23/2009 Very good article and helpful info. Thank you.

omghow said

on 6/2/2009 Thanks for pointing other in the right directions.

IcyCucky said

on 6/1/2009 Great article, and I agree on hiring an attorney when the amount of debt is in the thousands!

KRSF61 said

on 5/31/2009 I owe the debts but can't pay them. So far honest communication (while refusing to put up with unprofessional behavior) has done what it's supposed to do. Here's one thing that galls me: I begged one creditor to cancel a joint account with a family member who was a compulsive debtor. They refused on the grounds both parties had to agree. Eventually, they did cancel it. But of course, we're "equally" responsible. If they should sue, anything I can do about that?