January 11, 2024

How to Win a Debt Lawsuit Against Security Credit Services

How to Win a Debt Lawsuit Against Security Credit Services ZumaZip Settle Debt

Security Credit Services is a debt collection agency that specializes in purchasing old debts and aggressively collecting them. Use ZumaZip.com to draft and file your Answer and win in court. If you’ve been sued for a debt by SCS, you have up to 35 days to respond before you lose by default.

If you were served with a lawsuit filed by Security Credit Services LLC, your mind is probably running 100 miles per hour, wondering what steps you should take to beat them in court. ZumaZip can help you respond to the debt collection lawsuit. The information provided below offers key insights and advice on effectively defending and fighting against Security Credit Services (SCS) in court.

Let’s jump right in.

What is Security Credit Services, and how does it work?

Security Credit Services, also known as EquiPro Investments, is a debt collection company based in Oxford, Mississippi. SCS specializes in buying delinquent and charged-off debts from banks, retailers, and other financial institutions at a discounted rate. They then turn around and file lawsuits in an effort to collect on those outstanding debts. Security Credit Services’ contact information is as follows:

Security Credit Services, LLC
P.O. Box 1156
Oxford, MS 38655
Telephone: (866)-699-7889
Website: https://equiproinvestments.com/

Make Security Credit Services prove that you owe the debt

There is a very good chance the debt claimed in the lawsuit has been packaged, sold and resold before Security Credit Services purchased it. A strategy for challenging the lawsuit is simply requesting that SCS provide the original signed agreement and a balance on the account since you started using it. In many instances, the debt collection company only has a portion of the statements and may not have access to the original signed agreement.

Request for your account’s original balances by sending ZumaZip’s Debt Validation Letter that requests SCS to include the following:

  • Name and details of the original creditor
  • A breakdown of the debt in question
  • A statement saying SCS will provide additional information if you still need it
  • A second statement saying that you can dispute the debt within 30 days of receiving the validation notice

If SCS doesn’t have all the information, they will likely stop all attempts to collect and withdraw the lawsuit.

Security Credit Services has bad reviews

If you’re feeling frustrated with Security Credit Services, you’re not alone.

As of 2022, the Better Business Bureau has received 149 complaints against Security Credit Services in a three-year period. Even worse, in the last ten years, the Consumer Financial Protection Bureau reported 886 complaints against SCS. On Google Reviews, Security Credit Services has an average 1.5-star rating out of 5 stars from 64 reviews. It’s clear that SCS does not handle collection efforts in the most professional and appropriate way.

Many of these complaints allege violations of the Fair Debt Collections Practices Act (FDCPA). The most common violations cited by consumers include:

  • Failing to validate debt after sending a Debt Validation Letter.
  • Attempting to collect a debt that doesn’t belong to the consumer.
  • Calling very early in the morning or late at night using an unfamiliar Security Credit Services phone number.
  • Leaving countless voicemail messages and emails.
  • Talking in a rude and unprofessional way.
  • Entering a wrong debt on credit reports.

If you have experienced any of these debt collection tactics while dealing with Security Credit Services, report them to the Fair Trade Commission website, submit a complaint to the Consumer Financial Protection Bureau or report them to your attorney general’s office. You can also consider filing a counterclaim if you have a pending lawsuit against Security Credit Services.

File a counterclaim against Security Credit Services

In addition to defending against a Security Credit Service debt collection lawsuit, you have the option to go on offense by filing a counterclaim against this debt collection company. The counterclaim should be about SCS violating your consumer rights based on FDCPA laws mentioned earlier.

If you win with the counterclaim, you could be entitled to statutory damages of $1,000 per FDCPA violation, plus court costs and punitive and economic damages, depending on your state’s compensation law.

Let’s take a look at an example.

Example: Mike was sued by SCS for a credit card debt of $1190. Before receiving the lawsuit, he had been called multiple times by their agents telling him to pay the debt. He requested them to verify it by sending a Debt Validation Letter, but they did not respond. A month later, he received a lawsuit letter which he had to respond to within 21 days. Mike used ZumaZip to file an Answer and he used his state’s counterclaim form to all file a countersuit, stating that SCS had violated his right by failing to send a debt validation notice. SCS contacted him to negotiate the debt down to $300, but he wanted to proceed with the case. Mike won, and he was exempted from paying the debt and received $1,000 compensation.

Follow these 6 tips to respond to the lawsuit before the deadline

If you get served with a Summons and Complaint from Security Credit Services, you have up to 35 days to respond before you lose by default. Response times vary by state. The best way to respond to a debt collection lawsuit is with a written Answer.

Draft your Answer in 15 minutes with ZumaZip.com.

If you don’t respond within your state’s deadline, Security Credit Services can file a motion for default judgment against you. If the court grants this motion, you are required to pay up. In fact, with a default judgment, Security Credit Services will be authorized to garnish your wages, take money from your bank account, collect their attorney’s fees and court costs, and put a lien on your personal property.

Another vital reason to respond to the lawsuit is because many debt collection companies like Security Credit Services assume you will not file an Answer to the Summons and Complaint. This is because the vast majority of people fail to respond. As a result, when you respond, it actually catches many debt collectors off guard and could create an opportunity to settle out-of-court with SSC.

So, to draft an Answer to your debt collection lawsuit against Security Credit Services, following these six steps:

  1. The Answer is not the place to tell your side of the story in detail. Some people respond to debt lawsuits with a lengthy letter, outlining their life’s circumstances and everything that led up to them failing to pay their bills. You should avoid this because it can actually hurt your case. Instead, focus on responding to each claim that is listed in the Complaint document by admitting, denying, or denying due to lack of knowledge.
  2. Deny, deny, deny. Most attorneys recommend that you deny as many allegations as possible. When you deny a claim, it’s like saying, “prove it.” If Security Credit Services doesn’t have the proper documentation to prove their claims, they might just dismiss the case.
  3. Include defenses. After you’ve responded to each claim, include a section where you assert your affirmative defenses. These are any legal reasons that Security Credit Services should not win the case. For example, if the debt is past the statute of limitations, use this as an affirmative defense.
  4. Use standard formatting or “style.” Your Answer should look clean and professional. You should use standard margin and font sizes. At the top of the Answer document, you should include a caption where you state the court, case number, and party names involved in the case. ZumaZip’s Answer form follows all these rules and more.
  5. Include a certificate of service. At the end of the document, include a certificate of service that serves as proof that you sent a copy of your Answer to Security Credit Services’ lawyers.
  6. Sign it. Don’t forget to include your signature! This is super important, because most courts will reject any legal documents that don’t contain a signature. Some courts allow an electronic signature, while others don’t. ZumaZip knows which ones will accept both types of signatures.

Confirm the statute of limitations on your debt

As mentioned earlier, many debt collection companies like Security Credit Services assume that people will not respond to the lawsuit and they will win by default. Because of this, many debt collection agencies fail to confirm that they can legally sue you for the debt. If the statute of limitations has expired for the debt in question, Security Credit Services collection agency is legally prohibited from suing you. But what is the statute of limitations?

The statute of limitations is a law that sets the time period that a debt collector or creditor can sue someone for a debt. The statute of limitations clock starts when the last activity on an account occurred. This means that, if you haven’t been active on an account in many years and then SCS contacts you and convinces you to start making payments, the clock will reset on the statute of limitations.

So, be sure to check the statute of limitations on your debt before you agree to make any payments to Security Credit Services.

If the statute of limitations expired, you can raise it as an affirmative defense that could enable you to file a motion to dismiss the lawsuit. Check your state’s statute of limitations on debt before you make any payments to SCS.

Now, let’s consider another example.

Example: Leo, from Utah, had $890 debt with SCS that was over 6 years old. He unexpectedly received a lawsuit letter from them. He hardly remembered the debt but knew it was from a while back. Leo checked the statute of limitations for Utah and saw his debt was past the legal time for Security Credit Services LLC to collect. He responded to the lawsuit with ZumaZip’s Answer, and used the statute of limitations expiring as one of his affirmative defenses. SCS had to withdraw the case.

ZumaZip helps you make the right defense the right way.

To learn more about how to effectively respond and defend against a Security Credit Services lawsuit, use the tools and resources available through ZumaZip. For example, our powerful Answer form helps you to customize your answers according to your needs. Afterward, you can use our Debt Lawsuit Settlement Letter to request that Security Credit Services LLC settle out of court.

Check your credit report

Collection agencies enter a debt on a consumer’s credit report once they start attempting to collect or before sending a lawsuit. Hence, ask for your credit report from TransUnion, Experian, and Equifax. They are required to send you a free copy once a year upon request.

Go through the report to check for errors and discrepancies that SCS may have included. It is best if you investigate your report after receiving a validation notice from them using your records. Compare notes and send a dispute letter to the three bureaus if you find even the slightest error. They will contact SCS to verify the information, and if your claim is accurate, SCS may not pursue the case further for fear of severe repercussions for including errors on your credit report.

Overview of what to do when Security Credit Services sues you

Here is what to do if you receive a debt collection lawsuit from Security Credit Services:

  • Take note of any abusive or inappropropriate debt collection practices by Security Credit Services, and figure out if it’s considered a violation of the FDCPA. If it is, file a counterclaim against SCS.
  • You can make Security Credit Services prove that you owe a debt by sending a Debt Validation Letter.
  • The first step to beating SCS in court is to file a written Answer before your state’s deadline. Follow these 6 tips to draft your Answer:
    • The Answer is not the place to tell your side of the story in detail.
    • Deny Deny Deny.
    • Include defenses.
    • Use standard formatting or “style”.
    • Include a certificate of service.
    • Sign it.
  • Each state has a statute of limitations on debt, and if the statute of limitations has passed, SCS can no longer sue you.
  • Check your credit report to make sure Security Credit Services didn’t report any incorrect information about you.

You can beat Security Credit Services in court without having to hire a lawyer.

What is ZumaZip?

ZumaZip is a convenient solution designed to streamline your response to a debt collection lawsuit. Here’s a breakdown of what you can expect when you use ZumaZip:

Firstly, you’ll access our user-friendly web application, which guides you through the process step by step. You’ll be prompted to answer a series of questions related to your specific situation. Once you’ve completed the questionnaire, you have the option to either print out the finalized forms and mail them to the appropriate courts yourself, or you can opt to utilize ZumaZip’s services to file them on your behalf. Additionally, if you choose this option, an attorney will review your document for added peace of mind.

If you’re seeking guidance on how to effectively respond to a debt collection lawsuit, ZumaZip can provide the assistance you need. Feel free to explore our FAQs for more information on what ZumaZip has to offer.

What if I haven’t been sued yet?

If you’ve only received a collections notice, but not a lawsuit, the best way to respond is with a Debt Validation Letter. When a debt collector contacts you in any way, whether it’s by phone or mail, you can respond by formally requesting a debt validation with a Debt Validation Letter . This letter notifies the collector that you dispute the debt and forces them to provide proof you owe the debt. They can’t call you or continue collecting until they provide validation of the debt. This flowchart shows how you can use a Debt Validation Letter to win.

Get started with a Debt Validation Letter here.

How to Answer a Summons for debt collection in all 50 states

Here’s a list of guides on how to respond to a debt collection lawsuit in each state:

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