Unscrupulous Attorneys Buy SOL Expired Debt

There's a new spin on an old business. It seems that collection agencies as well as attorneys are buying SOL expired debt. Are you laughing? I know, I know. It's not that kind of SOL...but, in the attorney's case, it could apply!

SOL in this instance stands for Statute of Limitations and refers to the length of time (in years) a creditor, collection agency or attorney has to collect on delinquent debts.

This "new" business has consumers up in arms. It is serious and requires all of your attention. While I like Bud Hibbs, a very well known consumer advocate, he says to ignore them. In my opinion, this is NOT good advice! Do not ignore them! It could cost you a lot of money!

Even though the delinquent debt's SOL has expired, whoever bought your SOL expired debt can (and most will) sue you legally and win a judgment. So, what do you need to do? You need to send them a letter stating very clearly that you know that the delinquent debt they are trying to collect has an expired SOL and you do not have to pay it.

Below is a letter that I created. You are more than welcome to use it.

_______________________________________________________

Your Name

Your Address

Date

Collector's Name

Collector's Address

RE: [insert account number, name of account and/or name of debt]:

Dear Sir or Madame:

This letter is in response to your [letter dated xx-xx-200x] (copy enclosed) or [phone call on xx-xx-200x], concerning the collection of the above referenced [account number or account name].

I do not owe this debt; therefore, I dispute this debt. I am well aware of my rights under the Fair Debt Collection Practices Act (FDCPA) and my state laws. I have also checked with my State Attorney General and verified that the Statute of Limitations for enforcing this type of debt through the courts in the state of [insert your state's name here] has expired; therefore, should you decide to pursue this matter in court I intend to inform the court of my dispute of this debt and that the "statute of limitations" has expired.

This letter is your formal notification that I consider this matter closed and demand that you, or anyone affiliated with your company, cease and desist contacting me at my home phone, cell phone and work phone regarding this or any other matter except to advise me in writing that your debt collection efforts are being terminated or that you or the creditor are taking specific actions allowed by the FDCPA or my state’s laws.

Be advised that I consider any contact not in accordance with the Fair Debt Collection Practices Act a serious violation of the law and will immediately report any violations to my State Attorney General, to the Federal Trade Commission and, if necessary, take whatever legal action is necessary to protect myself. Be advised that I tape record all phone calls and violations of the FDCPA can result in you or your company being personally fined up to $1,000 per incident.

(Sign above name)

Your Name Typed Here

___________________________________________________________

Send this letter to the creditor, collection agency or attorney by Certified Mail with a Requested Return Receipt. Staple the receipt you get from the post office to your letter and file it where you can find it. In a few days, you will receive the green Return Receipt in the mail. Staple it to the letter you filed. Should they try to sue after they have received your letter, you will need proof that you sent them a cease and desist letter and the receipts are your proof.

I've only had to use it once and I never heard from the attorney who bought my SOL expired debt again.

Don't let unscrupulous collection agencies and attorneys intimidate you into paying for debt that has legally expired. Call them to the mat and make them realize that you know the laws and you know that they cannot take you to court to force you to pay.

Use the laws to your benefit! That's why they were created.