Bank of America is a common original creditor that pursues consumers through
debt collection and litigation. BOA or FIA Card Services as they often
appear on lawsuits retain the debt collection law firm of Mullooly Jeffrey
Rooney and Flynn or Eltman Law in New York amnd New Jersey cases. In this
case our client received a wage garnishment notice through his job stating
that 10% of his wages were going to be garnished on a total debt amount
of over $20,000. He had never been served because he had moved from New
York to New Jersey before the lawsuit commenced.
Bank of America was able to obtain a default judgment against or client
due to him not answering the initial lawsuit. 9% judgment interest has
accrued for years lifting the total debt amount to just over $20,000.
We contacted Mullooly Jeffrey Rooney and Flynn and notified them that
we would be filing an order to show cause to vacate the default judgment
against our client based on improper service. MJRF agreed pause any sort
of potential wage garnishment and to vacate the judgment since they knew
that the judgment would be vacated due to improper service and the case
re-opened. Mullooly offered to settle the matter for 60% off the full
balance to avoid further litigation although they could have pursued the
client in New Jersey as well. It made sense to accept the offer in this
situation because BOA is an original creditor who had much of the documentation
to prove that this debt was owed to them unlike debt buyers whom often
cannot prove their burden.