Portfolio Recovery Associates, LLC lawsuits can be intimidating and financially devastating. You need an ally, a trusted advocate who can assist you through this process. It will help if you have a debt collection defense attorney on your side. Lately, we have received numerous calls about Portfolio Recovery Associates, LLC, LVNV Funding, Cavalry Portfolio Services, and Midland Credit Management lawsuits.

Let’s Recap: Who is Portfolio Recovery Associates, LLC?

Portfolio Recovery Associates, LLC (Portfolio Recovery) is a debt collector and has been in business since 1996. If you’ve been contacted by Portfolio Recovery about a debt they claim you owe, it’s a good idea to know who you’re dealing with.

Portfolio Recovery buys old debts from lenders and companies who have been unable to collect the debt themselves and tries to collect on it. Because the debt is old in most cases, they can buy the debt for pennies on the dollar. They will then start making collection calls to get the money as fast as possible to collect the total amount of the debt, plus interest and penalties.

One of our recent clients told us his story: “Portfolio Recovery Associates sued me, claiming to have purchased a debt I allegedly owed to Synchrony Bank. The only paperwork they sent in their collection efforts was the last statement on my credit card billing cycle. I asked for validation of the debt but only received the last billing statement. That’s when I hired Chicago Consumer Law Center. Portfolio Recovery Associates is suing me for a debt they can’t prove that I own.”

This company is not in business to help you or be your ally through this trying time. They will use every method available to obtain as much of the debt as quickly as possible. That includes lawsuits.

When it comes to debt collection, it is more profitable to litigate as opposed to collect. Portfolio Recovery uses the court as its collection agency. Timing is of the essence, and it is critical to hire an experienced debt defense attorney to help guide you through the process.

Debt Collection Lawsuit Law Firm Chicago

Why Did I Get a Pre-Legal Notification?

The answer is to scare you into engaging the debt collector without understanding your options or rights. Portfolio Recovery does NOT want to have to spend the time and money to sue you. They’d rather scare you into making their life easier by picking up the phone, calling them, and paying them in full.

Does it Matter if Portfolio Recovery or a Law Firm Sent the Letter?

If a law firm sends the letter, the debt is now in the hands of the law firm, and you should seek competent counsel from a debt collection defense attorney. The collection law firm is trying to scare you into paying before they go through the time and expense of filing a lawsuit.

If Portfolio Recovery sent the letter, this implies they are using scare tactics to get you to settle the debt without fully understanding all the available options without paying the entire debt.

What Do I Do Now that Portfolio Recovery Associates Portfolio Services is Suing Me?

If sued for a debt, it is critical to speak with us sooner rather than later. You must respond to the lawsuit.

If you do not respond, three things will happen:

  1. Portfolio Recovery may then ask the court to enter a default judgment against you. This means you automatically lose the case.
  2. You’ll then be required to show up in court and forced to disclose all your money and assets to the judge.
  3. Finally, Portfolio Recovery can enforce the judgment against you by garnishing wages, freezing your bank accounts, or filing liens on your property. They can also charge 9% interest on the judgment. All this can last up to 27 years in Illinois.

It’s natural to investigate your options, especially if you’re headed to Cook County Court against Portfolio Recovery. It is critical to hire an experienced consumer law attorney to help guide you through this process.

How Do I Hire the Right Debt Defense Attorney?

These lawsuits are intimidating and financially devastating. You need an ally, a trusted advocate who can assist you through this process. You need a debt collection defense attorney on your side. Look for a few key things:

  • Experience specifically defending against Portfolio Recovery Associates.
  • Proven track record of litigating and not simply settling debt right away.
  • A law firm focused on both debt collection defense and suing debt collectors. Not just a general practice lawyer.
  • Often, law firms that offer cheap lawsuit protection use cheap, inexperienced labor (law students, admins, etc.) in your case. Do you want the cheapest doctor operating on you? Think a lawyer or law firm that has to churn through cases to keep the lights on is concerned about you or your specific case? You get what you pay for. Avoid problems with your case and future issues and hire right.
  • Find a fair-priced attorney who is hands on, be sure to ask what you can expect from the attorney, or will you have a great relationship with just their paralegal and junior associate?

A couple struggling with debt collection lawsuits

Contact Chicago Consumer Law Center, P.C.

Our law firm has a track record of protecting consumer rights and explaining your options to you when a company like Portfolio Recovery Associates takes you to court before they get a default judgement against you. Although it’s best to contact one of our experienced debt collection defense attorneys as soon as possible, you deserve to know your rights and what to expect no matter where you are in the process. Give us a call at (312) 858-3240 or complete the form on our website to schedule your free strategy session.


Copyright© 2021. Chicago Consumer Law Center. All rights reserved.


Disclaimer: The information in this blog post (“post”) is provided for general informational purposes only and may not reflect the current law in your jurisdiction. No information contained in this post should be construed as legal advice from the individual author or the law firm, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through, this post without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from a lawyer licensed in the recipient’s state, country or other appropriate licensing jurisdiction.

Chicago Consumer Law Center, P.C.
650 Warrenville Road Suite 100
Lisle, IL 60532
(312) 858-3240