Credit card lawsuits are becoming more and more common. This is because the big banks are selling their credit cards debts to collection agencies for as little as $0.018 on the dollar. The banks make no guarantees or warranties about the accuracy or completeness of their debt records. This lack of record keeping on the bank’s end and the use of this information by the collection agencies, are making these lawsuits a big problem for consumers and for the courts.
One problem that occurs quite often is that defendants do not even know they have been served. Also, consumers must realize it is the responsibility of the collection agency that is suing to prove that the debt exists.
If you are sued by a collection agency, be sure to show up in court. Do not ignore it. Also, be sure you demand to see the proof of this debt. Many times by simply asking the agency to prove this debt exists, that itself can make the entire lawsuit go away.