What I see, you are in great trouble and my best suggestion would be to consult a consumer attorney immediately.

I have a California based company asking for a settlement in a legal matter. I have told them that I can afford to pay $100 a month to settle this debt, but they are persistent in insisting that I pay more, and have even increased the amount of the settlement due to the amount I can afford to pay. I live in Texas, and Texas law mandates that as long as I am putting forth effort to settle a debt, the "colletcor" can not increase the amount or pursue further legal actions against me. Is that same law true in California?

3 Answers
Votes: 
-4 votes
+
Vote up!
-
Vote down!

What I see, you are in great trouble and my best suggestion would be to consult a consumer attorney immediately. They can of course adjust the settlement amount, but before that you need to make sure whether you are liable to pay for the amount. Here, an attorney can help you determine the same. These days, most attorneys provide an initial free counseling, You can take advantage of that.

Answer to question 2: They can never force you to pay an amount that is inconvenient for you (unless they receive a judgment and the court decides an amount)

Answer to question 3: They can't legally request you to see an overview of your finances.

Hope this helps!

Votes: 
0 votes
+
Vote up!
-
Vote down!

It did. Autodesk (a CA based company) is prosecuting me for an unauthorized version of 3D Max (a modeling software) I have on my computer. The origional setllement agreement the sent me states that no matter where I live, CA state law mandates all legal rights. They have offered an out-of-court setllement of $6,738, which covers the cost for a legal version of the program plus shipping and investigation fees. I have explained that I can afford to pay $100 a month until this debt is settled, but they are insisting that I pay $250 a month. As of Friday afternoon, they have increased the amount of the settlement to $9,000 with a 10% interest fee becuase of the need for a payment plan, and are still requiring me to pay no less than $250 a month. They are also requesting a full breakdown of my finances be presented to them as proof of how much I can afford to pay.

3 questions: 1) Can they adjust the amount of the settlement just because I have to pay it out at an amount that I can afford?

2) Can they force me to pay an amount that is unreasonable to my current budget?

3) Can they leagally request to see an overview of my finances?

Votes: 
3 votes
+
Vote up!
-
Vote down!

It'd be better for us to provide you with satisfactory answer if you let us know where did the debt originate. If the debt originated in CA, then CA law would apply.


Ask Question

Waterfall approach to debt free ™

Legal debt relief methodology that works based on your financial conditions. Learn more »

BBB-A--Rating