If you've been sued by Portfolio Recovery Associates or another debt collection agency in Arizona, you might feel overwhelmed. The laws surrounding these cases are constantly shifting, and court rulings can vary widely depending on the judge and the court handling your case.
However, based on years of experience, there are several strategic ways to fight back and increase your chances of winning.
Who is Portfolio Recovery Associates?
![Who is Portfolio Recovery Associates](https://lh7-rt.googleusercontent.com/docsz/AD_4nXcyIXSepPO7VJ2_YtRn7ln4ca2hsfnSyRwW16FSkb0Iyi3r7KnGHV15i3fMxgJ6X0bmggzZHZrD0axmbvZq6DBPXMiuE5xPqeuyq5zue5jQfcnhnG7Ga_4S9FSozf7HDKgOmfgHaw?key=gFCbyAQ-10jneS7MXGPo3H1C")
Portfolio Recovery Associates (PRA) is a debt collection company that specializes in purchasing overdue debts from creditors at a fraction of the original amount. These debts typically come from sources like credit card companies, banks, medical providers, or other financial institutions. Once PRA acquires the debt, they attempt to collect the full balance from the individual who owes it. Their collection efforts often include phone calls, letters, and in some cases, legal action to recover the money.
Contact Information:
If you need to reach Portfolio Recovery Associates, they can be contacted through the following methods:
- Phone: 1-800-772-1413
- Website: www.portfoliorecovery.com (old) and (new) https://www.pragroup.com/
- Mailing Address: Portfolio Recovery Associates, LLC, 120 Corporate Blvd, Norfolk, VA 23502
Portfolio Recovery Associates is one of the largest debt collection agencies in the United States, and it has been operating for over 25 years. However, their reputation is mixed. Some individuals report successful negotiations to settle debts, while others have raised concerns about aggressive collection tactics or errors on accounts.
PRA has faced lawsuits and regulatory scrutiny in the past, including fines from the Consumer Financial Protection Bureau (CFPB) for allegedly using illegal debt collection practices. If you are dealing with PRA, it is essential to understand your rights under the Fair Debt Collection Practices Act (FDCPA) to ensure fair treatment. Always verify debts before making payments and consider seeking legal advice if necessary.
Why is Portfolio Recovery Associates Suing You?
If PRA is suing you, it likely means they believe you owe money on a debt they’ve purchased, and they haven’t been able to collect it through other means. Lawsuits are a common tactic used by debt collectors to recover unpaid amounts. PRA may be suing to obtain a court judgment, which could allow them to take further steps to collect, such as garnishing your wages or placing a lien on your property.
Recommended Article: How to Get a Debt Lawsuit Dismissed: Steps and Advice
What Happens If They Win?
If PRA wins the lawsuit, the court may issue a judgment against you. This judgment can give them the legal right to garnish your wages, seize funds from your bank account, or put liens on your property, depending on the laws in your state. It is important to take a lawsuit seriously, respond to any court summons, and explore your options, such as negotiating a settlement, disputing the debt, or seeking legal advice.
![remove Portfolio Recovery Associates on credit report](https://lh7-rt.googleusercontent.com/docsz/AD_4nXd_18nW5CBAT0m70zZfg83xebBj7I6O_ihBrsO43l-Xa_Jsj7TQQ0OmIuHW5B4PSBQj1GhJr04pjsX0URDTZrhIisMHkQ4Q5Ykd3ege7IR6KMG1LbYm30_qEddWhCh6GdZujzeuEw?key=gFCbyAQ-10jneS7MXGPo3H1C")
Understanding who PRA is and why they’re taking legal action can help you make informed decisions and protect your rights. If you’re facing a lawsuit, consider consulting a consumer attorney to review your case and guide you through the process.
Below, we’ll outline three key tactics to help you defend yourself successfully.
How to Win Your Case Against Portfolio Recovery Associates
If you receive a notice from Portfolio Recovery Associates and they are suing you, it’s important to know the things below:
Don't Ignore
The worst thing you can do is ignore the lawsuit. Failing to respond could result in a default judgment against you, meaning you lose the case automatically. This could lead to wage garnishment, frozen bank accounts, or other legal actions. Make sure to carefully read the notice and take action immediately by responding to the summons within the given time frame. Ignoring it will only escalate the situation and limit your options to defend yourself.
Show Up On Time – It’s More Important Than You Think
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One of the easiest and most effective ways to win your case is simply by showing up to your scheduled court hearings on time. This might sound basic, but many cases have been won because the opposing side failed to appear.
Why This Works:
- Throughout the lawsuit process, multiple hearings are scheduled. If one party fails to appear, the judge may enter a judgment against them or dismiss the case entirely.
- Debt collection law firms handle thousands of cases each month, with only a handful of attorneys and a team of paralegals managing them. This means they are extremely busy and often struggle to appear at every hearing.
- If the attorney for Portfolio Recovery Associates is absent, immediately request the judge to dismiss the case with prejudice, which prevents them from refiling it. Most courts, especially Justice Courts, are inclined to dismiss cases if one party doesn’t show up.
Caution: This strategy works both ways. If you fail to attend your hearing, you risk losing the case by default. Always prioritize being punctual for all scheduled proceedings.
Say No to Their Witness Calling In
When Portfolio Recovery Associates or another debt buyer takes you to court, they need a witness to prove their documents are real. These witnesses usually work for the debt buyer and don’t live in Arizona. Instead of coming to court, they often ask to call in by phone.
Why You Should Say No:
- Many state law says witnesses must be in court unless the judge allows them to call in.
- It’s harder to look at documents clearly when the witness is on the phone.
- You can’t see the witness’s body language or know if someone is helping them off-camera.
- The trial feels less fair when their witness isn’t there in person.
How This Helps You: If you object to their witness calling in and the judge says no, the case is basically over. They can’t use their evidence without a live witness. Most debt buyers won’t spend the money to fly someone in unless the debt is really big (usually $30,000 or more). If the judge denies their request, you win!
Request Mediation and Negotiate a Lowball Settlement
Winning a case doesn’t always mean going to trial. Another effective way to handle debt lawsuits is to try mediation and negotiate a settlement. This can save time, money, and stress.
What is Mediation?
Mediation is when a neutral third-party, called a mediator, helps you and the debt buyer’s attorney talk through your case to see if you can agree on a settlement. The mediator doesn’t take sides—they’re just there to guide the discussion.
In some courts, like the McDowell Mountain Justice Court in Phoenix, mediation is required for all cases. But even if your court doesn’t require it, you can ask for mediation. It’s a great way to try and settle before going to trial.
How to Negotiate a Low Settlement
When you’re in mediation, you can make a low offer to settle the debt. Debt buyers often don’t expect to settle, so offering a small amount might work better than you think. Start by offering about 10% of the total amount they’re suing for. Many times, they’ll say yes because their attorneys just want to close the case quickly.
If you can settle for 10-15% of the total debt, that’s a big win compared to going to trial. Trials are risky because they’re all or nothing—if you lose, you might have to pay the whole debt. Plus, you could face wage garnishments or even liens on your property.
Good Read: How Much Should I Offer to Settle My Debt
![Negotiate a Low Settlement](https://lh7-rt.googleusercontent.com/docsz/AD_4nXf0Dl4FJ53O-VEw_sq87x15Av84H78exrVjmVJbaneWLCKuHjARRb1jAxUWa2EMAaSkn8FsS1m2QQC-kDDYSC3VM9tm0r4tUKKuMYr-IVUNN_45mEU-gWlwahhQ89hhzkIhOnwHdg?key=gFCbyAQ-10jneS7MXGPo3H1C")
Bonus Tip: What if the Attorney Doesn’t Show?
Sometimes, the debt buyer’s attorney or representative doesn’t show up to mediation. If this happens, you should ask the mediator to default them and request that the judge dismiss the case. Courts often dismiss cases when the attorney or representative doesn’t show up in person.
Also, if the debt buyer’s representative tries to join mediation by phone, you can object to it. They wouldn’t allow a witness to appear by phone during trial, so the same rule should apply to mediation.
By using these tips, you can improve your chances of settling for a much lower amount—or even getting your case dismissed!
Final Thoughts: Participation is Key
Many people feel powerless when facing a lawsuit from a junk debt buyer, but the truth is that there are multiple ways to fight back. Simply showing up, objecting to telephonic witnesses, and negotiating a settlement can significantly increase your chances of success.
Don’t be discouraged by unpredictable court rulings. Participate in the process, be prepared, and use these strategies to your advantage. You may be surprised at how often these tactics lead to victory.
However, don't wait until a debt collection reaches court. Even a simple collection can damage your credit score. Work with ASAP Credit Repair USA and monitor your credit regularly to prevent this from happening. Taking proactive steps can save you from unnecessary financial stress down the line.