Have you been served with a Spring Oaks Capital lawsuit? If so, you may be feeling stressed and uncertain about what steps to take next. Fortunately, you have legal options available to you to resolve the lawsuit. Below, our Texas debt collection defense lawyers break down what to know about Spring Oaks Capital, LLC, and what to do if facing a debt collection lawsuit in Texas.
At Warren & Migliaccio, we represent and defend individuals sued by creditors and debt collectors for debt collection. We take cases across the state of Texas. If you are facing a debt collection lawsuit, do not hesitate to schedule a free consultation to discuss the claims against you and your best legal options for moving forward.
What Is Spring Oaks Capital, LLC?
Spring Oaks Capital, LLC is a debt buyer and debt collector headquartered in Chesapeake, Virginia. The company purchases charged-off debts from original creditors like banks, credit card companies, and other financial institutions. It buys these debts for a fraction of the value. Then, once it acquires the debts, it attempts to collect the total amounts owed from consumers.
Is Spring Oaks Capital Legit?
Yes, Spring Oaks Capital, LLC is a legitimate debt collector in Texas. Debt collectors do not have to be licensed in Texas. However, they do have to register a surety bond with the Texas Secretary of State.
Spring Oaks Capital has an active surety bond through Travelers Casualty and Surety Company of America. You can look up its surety bond on the Texas Secretary of State’s Debt Collector Search page using file number 20200141.
However, even though Spring Oaks Capital is a bonded debt collector in Texas, you should demand debt validation if it is suing you for debt collection. You may have a strong defense to get a case dismissal or fight it in court. You may also be able to negotiate a favorable settlement or pursue alternative debt relief options.
What Does Spring Oaks Capital Do?
Spring Oaks Capital, LLC buys outstanding debts from banks, credit card companies, and other financial institutions. It purchases these debts at a fraction of their face value because the original creditors have charged them off or consider the debt uncollectible and write them off as a loss.
After acquiring the debts, Spring Oaks Capital contacts consumers by phone or letter to request payment. If initial collection efforts are unsuccessful, it may file lawsuits against consumers in an attempt to collect the debt, accrued interest, and legal fees.
In some cases, Spring Oaks Capital, LLC hires local debt collection attorneys to handle its lawsuits. For example, in Texas, it often hires the law firm Scott & Associates, P.C. to handle its collections.
Why Is Spring Oaks Capital Contacting Me?
According to the Spring Oaks Capital, LLC website, if it contacts you, then “your account was originated by another financial institution but is now owned by Spring Oaks Capital SPV, LLC.” This means Spring Oaks Capital believes you owe it money and is contacting you to collect.
Why Is Spring Oaks Capital Suing Me?
Are you being sued by Spring Oaks Capital in Texas? If so, it typically means that it believes you owe a debt it has purchased, and it has chosen legal action to collect it.
Filing lawsuits is a common tactic debt collectors use to obtain a court judgment, which confirms they are legally entitled to collect a debt. Debt collectors want default judgments. A default judgment means the judge rules in favor of Spring Oaks Capital because a consumer ignores the lawsuit and does not appear in court.
With a default judgment, Spring Oaks Capital can pursue further legal action to collect the debt. For example, it may seek bank garnishment, property liens, or property seizure.
The only way to prevent a default judgment is to respond to the lawsuit. Our Texas debt collection defense attorneys discuss what to do if sued by Spring Oaks Capital below.
What to Do if Sued by Spring Oaks Capital, LLC
If you are facing a Spring Oaks Capital lawsuit, you should not ignore it. As mentioned above, failing to respond to the lawsuit can result in a default judgment against you. Instead, we recommend taking the following steps:
- Contact a Texas debt collection defense lawyer. Do not hesitate to schedule a free consultation if you have been served with a Spring Oaks Capital lawsuit. We will review the claims against you, help you fully understand your situation, and discuss your potential legal defenses and options for resolving it. If you decide to work with us on your case, we will represent and defend you from start to finish. We will investigate the claims and determine the best legal strategy for moving forward based on our findings, your financial situation, and your goals.
- Respond to the lawsuit. Depending on the court overseeing your case, you typically have 14 to 20 days to respond to the lawsuit. If you have an attorney, they will handle the paperwork. However, if you represent yourself, your formal written response should address each claim Spring Oaks Capital has made against you. You should also assert any legal defenses you may have, such as questioning the debt’s validity, mistaken identity, or an expired statute of limitations.
- Demand debt validation. You have the legal right to request debt validation from Spring Oaks Capital. Debt collectors must be able to prove that the debt is yours, the amount is correct, and it has the right to collect it. When debts have been sold one or more times, the debt collector may not have adequate evidence to prove one or more of these points. Lack of proper documentation can be a solid defense to request a case dismissal.
- Explore your legal options. Depending on the unique circumstances of your case, you have a few legal options to consider. If you have strong defenses to the case, then you may be able to get a case dismissal or fight it in court. If you acknowledge the debt, you may be able to negotiate a favorable settlement or establish a manageable payment plan. In the case that your debt is overwhelming beyond the lawsuit, alternative debt relief options like bankruptcy may be a viable option for you. One of our experienced Texas debt defense lawyers can help you determine your best option for moving forward.
Schedule a Free Consultation With Our Texas Debt Defense Lawyers
Is Spring Oaks Capital, LLC suing you for debt collection in Texas? If so, do not hesitate to contact our law firm about your situation. Our Texas debt collection defense attorneys provide a free consultation to review the claims against you and help you understand your situation.
We are happy to discuss your potential legal defenses and options for resolving the lawsuit and moving forward. Call us at (888) 584-9614 or contact us online, and we will contact you soon to schedule a free consultation.
