Legal Question in Credit and Debt Law in Indiana
I have a bill that went to collections for X amount. The collections agency has taken the case to small claims court. I was never served and there has already been a hearing on this case. The Judge continued the case to a future date that I have also not been served for. I have called the collections agency to try to settle this debt outside of court. They say my new amount due is X+Y where Y equals attorney fees and court costs almost doubling the original amount of X. My question is, if I pay X before the next court date, would the agency still have grounds to charge me Y, court costs and attorney fees? If i pay X before the next court date could I go to court and dispute the Y amount?
1 Answer from Attorneys
You should settle for one amount and make sure the release covers everything in addition to having the case dismissed.