People are often sued by credit card companies or banks but frequently,
especially if the debt is old enough, debts might get sold off to another
company. These companies are commonly called "debt purchasers"
and the debts they buy are sometimes referred to as "purchase debt".
The companies which buy debts from banks and credit card companies rarely
if ever get all of the paperwork they need to win a lawsuit and make most
of their money fighting against people who don't hire lawyers.
A big win for the little guy just happened in New York, debt purchasers
were just forced to pay nearly half a million dollars in fines and give
up on trying to collect on
sixteen million dollars worth of consumer debts!
This document has been provided for informational purposes only and is
not intended and should not be construed to constitute legal advice. Please
consult your attorney in connection with any legal issues related to the
matters discussed in this article as the applicability of state, local
and federal laws may vary.