Legal Question in Credit and Debt Law in Louisiana

can they do this

In 1998 i had a company come do some work on the house i rent. i never signed up for credit but they said if i paid so much down and so much a month it would be fine.So i did then i was getting bills with a 12% interest fee every month.my total of the cost was almost 900.00 Last year this co. wrote me a letter saying they were going to press charges on me and have me put in jail if i didnt pay it off. i manage to pay 200 on it and continued paying my monthly payments. i asked them to drop the interest fee. they refused.Now they are calling me telling me they are taking me to small claims court and i will have to pay for their lawyer and court cost on top of the remainer of the bill. i quit paying them earlier this year. is there a statue of limitation on something like this? are they in the right here?I know if they were to take away the interest charges they would see that the bill is indeed paid in full. for almost 4 yrs. of paying on a reg. basis not to mention the money down or the 2 times i paid 200.00 each. I have paid well over 1000.00 and they still want more. They want their interest.What are my rights in this situation? They say i owe 600.00 still after all this time.Is this legal?


Asked on 10/26/01, 1:26 am

1 Answer from Attorneys
Sheldon G. Bardach Law Offices of Sheldon G. Bardach

Re: can they do this

It is not clear which state you are in, but you might check to see if 12% represents usury in that state. In the meantime, you have kept up your agreed upon payments. You are not liable for prosecution, nor a judgment. You might, however, have the other company in a difficult situation if their rate is usuarious.

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Answered on 11/27/01, 2:27 pm


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