Our client retained our office after being sued by American Express for
a $40,116 credit card debt. In this case, American Express, the original
creditor was represented by the law offices of Cordoba & Associates.
Our client moved from New York to Florida after losing his job in 2007.
Therefore, at the time the case was picked up, the summons and complaint
had could not have been served on our client.
American Express’s principal products and services are charge and
credit payment card products and travel-related services offered to consumers
and businesses around the world. The company’s segments include
U.S. Card Services, International Card Services, Global Commercial Services
and Global Network & Merchant Services. Prior to 2008, American Express
was not a bank like most other major credit card issuers. However, in
November 2008 the company converted to a bank holding company structure.
American Express rarely sells its debt regardless of their age which makes
defending against them and settlement more difficult as they frequently
have or can come up with most of the evidence to prove their case. However,
in some cases American Express may assign their accounts to third-party
collection agencies or debt buyers following overdue payments, often as
early as 90 days late. Cordoba & Associates has a history of working
with American Express to collect defaulted credit card debt.
American Express is a notoriously difficult creditor to defend against
and to negotiate settlements with. Our firm worked tirelessly to facilitate
communication with American Express in this case and discussed our client’s
situation and options for repayment. After several months of negotiation
with the company and its representation, our firm negotiated a settlement
of over 50% over a long term no interest payment plan. This saved our
client a tremendous amount of money and protected him against a default
judgment that could lead to wage garnishment, bank levy or even a lien
on his home.