Debt collector NetCredit Lending Club Lawsuits for personal loans
Are you being sued by a debt collector or debt buyer for a personal loan once associated with Prosper Funding, LendingClub, WebBank, NetCredit, Upgrade Inc, or Avant?
Many debt buyers purchase charged-off loans from Prosper Funding, LendingClub, WebBank, NetCredit, and their related entities for pennies on the dollar and then file a lawsuit against you for the entire balance. Debt buyers who have sued on these types of cases in Georgia include Velocity Investments, Absolute Resolution Investments, LVNV Funding, LLC, Galaxy International Purchasing, CreditCorp Solutions, Jefferson Capital, UHG, Spring Oaks Capital and others!
In Georgia, contracts, such as contracts for personal loans, can be sold to others. This transfer is called an “assignment” of the contract. This can happen either before a debt is in default or after the debt is defaulted and/or charged off. The general rule in Georgia regarding assignments is that there must be a written recordation of the assignment which identifies who is selling what to whom. In other words, there have to be documents proving that the current alleged owner actually owns the loan. If the debt has been sold more than once, there may be a collection of documents designated as the assignment. This is referred to as the “chain of title”. Oftentimes, these Prosper Funding, LendingClub, WebBank, and NetCredit cases are full of discrepancies as to who actually originated the personal loan, who subsequently owned the loan, and who currently owns the loan.
Even if you recognize the debt, this doesn’t automatically mean the debt collector has the legal right to collect this debt!
You may have defenses to the debt collector's lawsuit!
Remember, debt buyers still must prove that they are the current owner of the personal loan and that they have the right to collect the debt from you. If you are being sued by a debt buyer for a personal loan, call me today for a free consultation.
Contact Me Now