Legal Question in Credit and Debt Law in New York

I have insufficient info to answer this fully, especially now that there are new laws on second-party purchasers of debt (lower statute of limitations down to 1.5-2 yrs-the bar assn has not sent me anything but probably because I don't normally practice in this area) and I need to research this. Having said this, don't freak-that paid in full was a contract-and a written one no less. Collections agencies are notorious for buying debt that is no longer valid (e.g. 7 years old) for pennies on the dollar then scaring people into paying something (which starts the statute of limitation anew, which HAD expired, anew. (note-lawyers abbreviate statute of limitations as "SOL"-means the same thing-miss the SOL and you are ...outta luck") Hence the new laws. It sounds like you ARE being scammed. DO NOT pay them anything-not even a dollar. You could even Google the new laws (e.g. Cornell has a great website but use Google as the portal). DOCUMENT everything and watch your credit score-order the free copies you are entitled to (one copy per year) today, then re-order later-s/b free again (and is low-priced anyway).

Should you need a lawyer, there are many free legal services besides Legal Aid. Some people think they are getting a less than stellar attorney when they go the free legal route but that is not the case. They are wonderful attorneys with big hearts BUT have HUGE workloads. And, in many cases, they ask for attorneys from the local bar associations to volunteer.

Example: In Suffolk County, on Long Island, Legal Aid does primarily criminal cases. Elder Law services, due to state cuts (at a time more and more people need help the most), is now handled at Touro Law School, where the staff has access to all kinds of wonderful attorneys-professors from Ivy League schools, wonderful law students interning, and all housed at a brand new law school integrated with the federal and state courts across the street, founded on the idea of using the law to do good. Nassau/Suffolk Law Services helps with all kinds of cases. The Suffolk County Bar Assn partners with Touro and N/S Law Services on special pro bono projects, where volunteer lawyers in private practice step in to help people with legal issues who cannot otherwise afford legal help. There is a Pro Bono Foreclosure Project, a Veteran's PB Project, etc. Nassau County operates similarly.

So, see what your area has, and don't forget there are all kinds of social services agencies everywhere that can refer you (e.g. a HUD agency that does the person's foreclosure modification application free, but having trouble with the lender's behavior, might refer someone to Suffolk's PB Foreclosure Project).