Many folks are surprised when they are sued by a company that they have never heard of. It is not surprising that you have never heard of CACH LLC because CACH LLC is a debt buyer for unpaid debts from large creditors such as Avant or Citi. We review many lawsuit cases per year where CACH LLC sues an individual for unpaid debt. Because CACH LLC is so litigious, we are writing this article to provide insights as to who CACH LLC is and provide insight if you have been sued or if you just received a letter that CACH LLC is now handling your debt.
It’s important to understand how this firm works, so that you can be prepared to deal with them if they purchased your debt or just handed you suit paper. We would also love to provide free feedback how to work with CACH LLC or talk to you about how we may be able to settle for less than owed or direct you to do so, so feel free to write me (Ben) with any questions or setup time with me for a quick call.
Who is CACH LLC?
You may have received a collection letter and are asking yourself, “Who is CACH LLC?” CACH LLC was part of Square Two Financial for many years, but in 2017, Square Two filed for bankruptcy and much of their portfolio was sold to Resurgent Capital Services.
CACH LLC appears to have a two sided debt collection model, and we will go into both of those in details.
Attorney Collection: This is the legal route where CACH LLC appears to have legal entities that it partners in different states to sue consumers for unpaid debt. It’s unclear what percentage of the debt is sued on, but we see that it is a lot.
Debt Collection: Fresh View or Fresh Start appear to be non-litigious collection agencies that work under the CACH LLC portfolio. If you are working with Fresh View or Fresh Start, the odds are good that there’s opportunity to settle for a better percentage than if it’s on the attorney collection side.
Why does some debt go to the attorney collection arm and some go to the general debt collection arm? This is unclear, but our hypothesis is that CACH LLC has a three pronged strategy when it comes to lawsuits:
- Are you in a state that allows wage garnishment, liens and levies (i.e. are they going to be able to enforce a judgement against you if they win a judgement)?
- Are you able to make a payment, but are unwilling to do so (i.e. there are payment propensity scoring systems that will state that person x has a higher percentage to pay than percentage y)?
- What is the cost / benefit analysis of the lawsuit (i.e likelihood of a win (do they have good data to validate the debt), how much debt is owed, unrecoverable court costs if they lose)
I’ve been sued by CACH LLC. What do I do?
The first thing I tell people when they’ve been sued by CACH is to understand that they are not the only ones that this has happened to, and we will get through this together. As CACH is one of the more litigious creditors that we come across, we also know that they will work with you, especially in times of hardship or need.
As a brief overview, a debt collection lawsuit generally begins when the creditor files a complaint with the state civil court and lists you as the defendant. The complaint provides the reason why the creditor is suing you and what the creditors wants to obtain in payment. Oftentimes this includes the money you owe plus interest and potentially late fees and the attorney fees and court costs.
The attorney representing the creditor or the creditor themselves will often notify you of the lawsuit by serving you paper, which means that a copy of the complaint and court summons is delivered to you. The lawsuit information is often found readily available on County Superior Court websites.
If you do not answer the judgement, the creditor will seek a default judgement. With a default judgement, the creditor may do the following based on the state that you live:
- Attempt to freeze money in your bank account
- Put a lien on your property that you own
- Garnish your wages.
This is why it’s important to respond to the summons as many creditors (including CACH LLC) will work with debt settlement firms and consumers when suits have been filed.
When a suit happens you will want to gather as much information on the debt as possible. Oftentimes the entity suing you is not the original creditor and that goes to say with CACH LLC, which is a debt purchaser.
Next, Review your own records and determine:
- Whether you received a validation letter
- Whether the amount CACH states you owe is accurate and whether you owe the debt
- Whether the debt is past the statute of limitation.
If you’re ready to handle the debt, there are a few different things that you can do when CACH LLC, in addition to responding to the lawsuit:
Handling the CACH LLC lawsuit:
The first thing to do when you get sued by CACH LLC is to determine whether you owe the debt or not owe the debt.
If you owe the debt:
When you owe the debt, we generally state to either contact the attorney yourself or speak with debt settlement or debt collection attorney firm to contact the creditor to see whether the firm will negotiate or attempt to negotiate yourself. You may be able to negotiate a settlement upfront.
- See whether a payment plan can be arranged that is affordable with your budget.
- Negotiate for less debt that originally owed. If this is plausible, make sure that you have the settlement offer in writing.
If you do not and cannot have money to pay the debt, this is also a good used case to speak with CACH LLC, and I can help with that conversation. If you need to buy time to get the money together to attempt to settle, you can also file the reply to the case. Rest assured that we have had a great success in this area or we can point you in the right direction if we are unable to help. Feel free to write me directly if you have any questions about which option to pursue.
If you don’t owe the debt:
- If you have adequate information showing that this is not your debt, you will want to fight it. This is essentially telling the creditor to, “Prove that you owe the debt”. The burden of provide lies on them, and if you do not owe the debt, then this may not be a difficult case.
- The contract that you signed was illegal or that you signed it based on false information. You may want to see outside assistance to determine if this is you.
In this case, you may want to have a free consult to speak with a reputable debt collection attorney about your options. If you do not know a reputable debt collection attorney or you cannot afford one or if you want to represent yourself, please feel free to write me directly for more information.
A couple things to note:
1) If you are able to negotiate a settlement with the CACHE LLC debt collection lawyer, get everything in writing. Many creditors will have you sign something that states that if you do not follow through with the payments that a judgement will be forthcoming, so that is important to note.
2) Once the debt has started to go through the process when a lawsuit has been filed a case, so there is an outstanding case against you. The discount will generally be lower than attempting to settle the debt before the case has been filed. It will be unlikely to get a 50% discount.
Here are some common questions:
I received a letter stating that my debt from Avant (or another creditor) has been to CACH LLC. What should I do?
I advise everyone to get ahead of this as quickly as possible. The quicker that you can settle with them before a lawsuit, the better as there can be additional fees realized once a lawsuit has been filed, not to mention additional stress from having to be dealt court paper.
If CACH LLC is able to obtain a judgement, will they be able to garnish my wages?
This is situational from state to state. Feel free to drop me a quick note if you’d like us to give some feedback for your state.
CACH already received a judgement against me. What can I do?
There are many times where CACH LLC will be able to obtain a judgement without your knowledge. Say for example that you were not able to receive the court summons. The creditor in this case may ask the judge to have a judgement passed to them regardless of whether you received the summons or not.
In this case, it may be more difficult to negotiate with CACH, but that is dependent on such things as whether your state allows wage garnishment or whether there are opportunities for levies or liens against an asset. It’s not impossible to negotiate a settlement with CACH LLC after a judgement has been obtain, but it’s just a bit more nuanced given that the court has already agreed with the creditor.
What can I do to resolve debt with CACH LLC if I haven’t been sued?
CACH is in the habit of settling debt via a payment plan or a lump sum payment. You may be thinking that it’s not possible to come up with a lump sum payment to settle that debt. That’s completely understandable.
We work with CACH LLC to negotiate flexible payment arrangements that work for both the consumer’s finances and for CACH LLC. You also may be able to avoid a future lawsuit if you are able to get a structured settlement plan in place with them today.
I do not believe I can do this on my own. Can you help?
Absolutely, we are experts here to help. Ascend is in the business of helping people resolve his/her debts through payment plans and one-time payments. Our conversations and emails are always free, and we will never move forward to offer our services unless we believe it is best for your situation. Feel free to drop me (Ben) a note with your questions.