KLS Financial Services Lawsuit: How to Settle Debt

Summary: To settle debt with KLS Financial Services, validate the debt first. Review your finances carefully. Negotiate a realistic settlement offer. Get everything in writing before you pay. Our partner Solo helps you through the entire process.

You received a Summons and Complaint from KLS Financial Services. You have options right now.

Respond to KLS Financial Services Before Your Deadline

Don't let KLS Financial Services win by default. Our partner Solo helps you draft and file your Answer in minutes, protecting you from wage garnishment and property seizure.

Draft Your Answer Now

Battling a debt collection company in court feels overwhelming. But you can reach a satisfactory resolution with proper preparation. Your case is not hopeless.

KLS Financial Services operates like most collection agencies. They rely on you not responding. Your strategic response changes everything.

What is KLS Financial Services?

KLS Financial Services is a legitimate debt collection agency. They operate from North Carolina since 2017. The agency specializes in delinquent medical bills and commercial debt.

Ready to resolve your debt? Contact KLS Financial directly about your payment ability. Here is their contact information:

Phone number: 833-447-3557
Address: 991 Aviation Parkway Suite 500, Morrisville, NC 27560
Email: info@klsfinancialservice.com

Read KLS Financial Services review online

The Better Business Bureau accredited KLS Financial Services in 2018. They maintain an A+ rating with the BBB. You can find consumer complaints through the Consumer Financial Protection Bureau.

Check their complaint history before you engage with them. Knowledge protects you during negotiations.

Who does KLS Financial Services collect for?

KLS Financial Services collects for commercial, medical, and retail creditors. They offer a customizable collection process to their clients.

Many consumers feel confused seeing KLS Financial Services on collection notices. You never did business with KLS directly. Debt collectors contract with creditors to collect debts on their behalf.

KLS Financial Services also purchases charged off debts from original creditors. They attempt to collect the full balance from you.

Know your rights under the FDCPA

The Fair Debt Collection Practices Act regulates debt collection agencies. This federal law sets specific rules for collection practices. Collectors cannot use abusive language or false information.

The FDCPA protects you with these important rules:

Debt collectors cannot call before 8 a.m. or after 9 p.m.
Debt collectors cannot discuss your debt with anyone but you and your lawyer
Debt collectors cannot call you at your workplace
Debt collectors cannot lie about the amount you owe
Debt collectors cannot threaten lawsuits without legal standing
Debt collectors cannot pretend to be law enforcement or government workers
Each contact must include disclosure that they are collecting a debt

KLS Financial Services violated these rules against you? Document every infraction immediately. Report the agency to the CFPB, FTC, and your state attorney general.

You have statutory protections as a consumer

The FDCPA is not your only protection. The Telephone Consumer Protection Act and Fair Credit Reporting Act protect you too.

The TCPA protects you from robocall harassment. Debt collectors harassing you with multiple robocalls daily violate this law. You can file a civil action for $500 per illegal call.

The FCRA sets reporting standards for credit bureaus. No information reported by debt collectors can be false or inaccurate. You have the right to dispute any inaccuracies on your credit report.

KLS Financial Services appears on your credit report? They may offer pay for deletion. Both the original creditor and collection agency should be removed if you pay.

Respond to a KLS Financial Services debt lawsuit

KLS Financial Services sued you? You received a court Summons and Complaint by mail. These documents initiate the lawsuit against you.

The Summons notifies you of the case. The Complaint lists specific allegations against you.

You must respond before your state’s deadline to avoid default judgment. A default judgment lets KLS Financial garnish your wages. They can seize your property too.

Avoid default judgment by filing a written Answer. Our partner Solo helps you draft your Answer correctly. Follow these three critical steps:

Step 1: Respond to each claim listed in the Complaint

The Complaint lists specific claims against you in order. Your Answer document must respond to each claim correspondingly. Admit, deny, or deny due to lack of knowledge.

Most attorneys recommend denying as many claims as legally possible. You force KLS Financial Services to prove their allegations are true.

Step 2: Assert your affirmative defenses

Affirmative defenses tell your side of the story. An affirmative defense is any legal reason you should not lose.

The statute of limitations is a common affirmative defense. Your state has time limits on debt collection. Debts beyond the statute of limitations cannot be legally enforced.

Step 3: File the Answer and serve the opposing attorney

File your Answer before your state’s deadline expires. Send all documents via USPS certified mail with return receipt requested.

Send one copy to the court. Send another copy to the attorney representing KLS Financial Services.

Here is an example of how responding protects you:

Ben is being sued by KLS Financial Services for a $2,000 credit card debt. He uses our partner Solo to draft and file an Answer to the lawsuit. Ben responds to each claim in the Complaint, denying most of them. He uses the expired statute of limitations as an affirmative defense. The statute of limitations on credit card debt is three years in North Carolina. Ben hasn’t made any payments in more than four years. His Answer gets filed with the court on time. Ben waits a few months. KLS Financial dismisses the case entirely.

How to settle a debt with KLS Financial Services

Settling a debt becomes manageable with the right approach. Follow these four steps to settle with KLS Financial Services:

Gather information about your debt with KLS Financial Services. Collect your account number, amount owed, last payment date, and all correspondence. Documentation strengthens your negotiating position.
Review your finances to determine your affordable settlement amount. Take a realistic look at your income and expenses. Aim for an initial offer around 30% of the original balance. Know your maximum affordable amount before negotiations begin.
Make a realistic offer. Don’t offer more than you can afford. Don’t offer so little that KLS Financial won’t negotiate seriously. Expect counteroffers during the negotiation process.
Get the settlement agreement in writing and pay it. Settlement agreements are only valid when written and signed by both parties. Verify KLS Financial signed the agreement. Fulfill your payment obligations on time.

Our partner Solo helps you navigate debt settlement successfully. They track correspondence and ensure you receive written settlement agreements. Professional help increases your settlement success rate.

Stand up for your rights outlined in the FDCPA

KLS Financial Services tries to comply with federal and state laws. They focus on following the Fair Debt Collection Practices Act. But violations still occur regularly.

You have the power to hold them accountable. Document every violation you experience. Report violations to the proper authorities immediately.

Key points for settling debt with KLS Financial Services

Here is your action plan if KLS Financial Services files a lawsuit:

KLS Financial Services is a legitimate debt collection agency specializing in medical and commercial debt
KLS Financial Services collectors have been known to violate the FDCPA
The FDCPA and other federal laws protect you from unfair collection methods
Respond to a debt collection lawsuit immediately when you receive it
Your Answer must respond to each claim and assert your affirmative defenses
File the Answer on time and serve the opposing attorney properly
Start negotiating as soon as possible to resolve the debt
Keep track of the lawsuit and show up for all hearings
Provide all required information until the matter is officially resolved

Frequently Asked Questions

What is KLS Financial Services and are they legitimate?

KLS Financial Services is a legitimate debt collection agency based in North Carolina, operating since 2017. They specialize in collecting delinquent medical bills and commercial debt like credit cards. The Better Business Bureau accredited them in 2018 with an A+ rating.

How do I respond to a KLS Financial Services lawsuit?

You must file a written Answer before your state's deadline, typically 14-30 days. Your Answer should deny claims you disagree with, assert affirmative defenses like expired statute of limitations, and be filed with the court. Send a copy to the attorney representing KLS Financial Services via certified mail.

Can I settle my debt with KLS Financial Services for less than I owe?

Yes, you can typically settle for 30-50% of the original balance. Start by offering around 30% and be prepared to negotiate. Always get the settlement agreement in writing and signed by both parties before making any payment to protect yourself legally.

What are my rights when dealing with KLS Financial Services?

The Fair Debt Collection Practices Act protects you from harassment and abuse. KLS Financial cannot call before 8 a.m. or after 9 p.m., discuss your debt with others, call your workplace, or lie about amounts owed. You can sue for violations and report them to the CFPB.

What happens if I ignore a KLS Financial Services lawsuit?

Ignoring the lawsuit results in a default judgment against you. With a default judgment, KLS Financial Services can garnish your wages, freeze your bank accounts, and seize your property. You must respond before your state's deadline to protect yourself.

Is KLS Financial Services Legit? How to Settle Your Debt