How to Settle Debt With Worldwide Asset Purchasing (2024 Guide)

Debt can feel overwhelming, but you can fight back. Millions of Americans face debt from illness, job loss, or missed payments. You are not alone in this struggle.

Worldwide Asset Purchasing, LLC may be suing you for debt. Your original creditor sold your account to this third-party collector. Now they want their money. You need to know your rights and take action immediately.

What Is Worldwide Asset Purchasing?

Worldwide Asset Purchasing is a debt collection agency based in Omaha, Nebraska. The company launched in 2007 and specializes in buying “junk debt.”

Junk debt carries low credit ratings and higher default risk. These debts come with higher interest rates. Worldwide Asset Purchasing profits by collecting on accounts other companies gave up on.

Who Does Worldwide Asset Purchasing Collect For?

Worldwide Asset Purchasing buys delinquent and discharged accounts from multiple sources. They purchase debt from:

• Credit card companies
• Auto loan providers
• Personal loan companies
• Medical billing departments
• Retail financing companies

The company doesn’t work for your original creditor anymore. They own your debt outright and profit from collecting it.

Your Rights Under the FDCPA

The Fair Debt Collection Practices Act (FDCPA) protects you from abusive collectors. Worldwide Asset Purchasing must follow strict rules when contacting you.

Debt collectors cannot legally:

• Use profane or abusive language
• Harass you repeatedly
• Ignore your written request to stop contacting you
• Threaten legal actions they cannot take
• Discuss your debt with family, friends, or employers
• Call before 8 AM or after 9 PM
• Claim you owe amounts not in your original agreement

These violations give you grounds for a countersuit. Document every interaction with the collector. Save voicemails, emails, and letters as evidence.

Statute of Limitations on Debt Collection

Every state sets a time limit for debt collection lawsuits. The statute of limitations typically ranges from three to six years. New York allows up to 20 years for certain debts.

Once the statute expires, your debt becomes “time-barred.” Collectors lose their right to sue you in court. They can still contact you and report the debt to credit bureaus.

Time-barred debt provides an affirmative defense in court. You must raise this defense in your Answer. The judge won’t automatically dismiss a lawsuit on time-barred debt.

Calculate when your debt originated. Count forward to determine if the statute has expired. Different debt types may have different limitation periods in your state.

How to Respond to a Debt Collection Lawsuit

Answer the Summons Within the Deadline

You have 20 to 30 days to respond after receiving the Summons. Missing this deadline results in a default judgment against you.

Default judgments let collectors garnish your wages immediately. They can freeze your bank account and seize funds. Court costs and attorney fees get added to your balance.

Most debt collectors assume you won’t respond. Prove them wrong. Our partner Solo can help you file a proper Answer quickly.

Challenge the Debt Collector’s Case

Your Answer should raise specific defenses. Challenge their right to sue you. Demand proof of the debt amount. Question their ownership of the account.

In your Answer, you can:

• Dispute their legal standing to file the lawsuit
• Request documentation of the original debt agreement
• Challenge the accuracy of the amount claimed
• Demand proof they purchased your specific account

The burden of proof rests entirely with Worldwide Asset Purchasing. They must prove you owe the debt. They must prove they own it. They must prove the exact amount.

Request Debt Validation

Debt collectors often lack proper documentation. Original creditors sell accounts in bulk with minimal paperwork. Worldwide Asset Purchasing may not have:

• Your signed credit agreement
• Complete account statements
• Documentation of the debt sale
• Proof of the current balance calculation

Request validation in writing within 30 days of first contact. The collector must stop collection attempts until providing validation. Missing documents can get your case dismissed entirely.

How to Negotiate a Settlement With Worldwide Asset Purchasing

Settlement can save you thousands of dollars. Debt collectors often accept 40-60% of the balance. Follow these steps to negotiate effectively.

Step 1: Calculate What You Can Afford

Review your monthly income and essential expenses. Determine your available settlement funds using this formula:

Settlement amount = (monthly income – monthly expenses) + available savings

Be realistic about your budget. Don’t commit to payments you cannot sustain. Missing settlement payments restarts the collection process.

Step 2: Make Your Opening Offer

Start lower than your maximum budget allows. Offer 30-40% of the balance if possible. Collectors expect negotiation and price their initial demands accordingly.

Always make your offer in writing. Keep copies of all correspondence. Never provide bank account information until reaching a final agreement.

Step 3: Negotiate Back and Forth

Expect multiple rounds of counteroffers. Stay patient and firm. Worldwide Asset Purchasing wants to collect something rather than nothing.

Common negotiation tactics include:

• Requesting lump sum payment for maximum discount
• Offering payment plans at higher total amounts
• Using financial hardship to justify lower offers
• Mentioning potential bankruptcy to increase urgency

Don’t accept the first counteroffer. Push for better terms. The collector likely has authority to discount further.

Step 4: Get Everything in Writing

Never pay without a written settlement agreement. The document must specify:

• Total settlement amount
• Payment schedule and due dates
• Statement that payment satisfies the debt in full
• Agreement to cease collection activities
• Commitment to report the debt as settled to credit bureaus

Review the agreement carefully before signing. Watch for language that reserves their right to collect remaining balance. Unclear terms may not protect you legally.

Step 5: Make Payment According to Terms

Follow the payment schedule exactly as written. Use certified mail or bank checks for documentation. Keep proof of every payment made.

Request written confirmation once you complete all payments. Verify they report the debt as settled to all three credit bureaus.

Settlement Strategy Tips From Attorneys

Consumer rights attorneys recommend specific tactics when negotiating with debt collectors. These strategies improve your settlement outcomes significantly.

Emphasize your financial hardship. Collectors settle for less when they believe you cannot pay more. Mention job loss, medical bills, or other legitimate financial struggles.

Mention bankruptcy as a last resort. Creditors receive nothing in Chapter 7 bankruptcy. Accepting your settlement offer becomes more attractive than risking total loss.

Request deletion instead of “settled” status. Some collectors agree to delete the tradeline entirely. Pay for deletion improves your credit score faster than settled status.

Never admit the debt is yours. Acknowledging the debt can restart the statute of limitations. Negotiate without confirming you actually owe the amount claimed.

Record all phone conversations. Many states allow single-party consent recording. Recordings protect you if collectors make promises they later deny.

What Happens If You Ignore the Lawsuit?

Ignoring a debt collection lawsuit creates serious financial consequences. Default judgments give collectors powerful legal tools against you.

After obtaining a judgment, Worldwide Asset Purchasing can:

• Garnish up to 25% of your wages
• Freeze and drain your bank accounts
• Place liens on your property
• Add court costs and attorney fees to your balance
• Renew the judgment for additional years

Wage garnishment continues until the judgment is paid in full. Bank account levies can drain your funds without warning. Property liens prevent you from selling or refinancing.

Judgments appear on your credit report for seven years. Your credit score drops significantly. Future lenders see the judgment and deny applications.

Our partner Solo helps you respond to lawsuits and avoid default judgments. You have rights and options worth fighting for.

When to Consider Bankruptcy

Bankruptcy may be your best option if debt overwhelms your finances. Chapter 7 eliminates most unsecured debts in four to six months.

Consider bankruptcy if:

• Your total debt exceeds 40% of your annual income
• Multiple creditors are suing you simultaneously
• Wage garnishment will prevent paying basic living expenses
• You have limited income and few assets to protect

Chapter 7 bankruptcy discharges credit card debt, medical bills, and personal loans. You keep most personal property and retirement accounts. The automatic stay stops all collection lawsuits immediately.

Bankruptcy impacts your credit for seven to ten years. Weigh this consequence against ongoing collection harassment and judgments. Many people rebuild credit successfully within two years after discharge.

Document Every Interaction With Collectors

Detailed records strengthen your defense against Worldwide Asset Purchasing. Create a collection file with copies of all documents.

Save and organize:

• Original Summons and Complaint
• All letters from the collector
• Certified mail receipts
• Email correspondence
• Voicemail recordings
• Notes from phone conversations with dates and times
• Account statements from original creditor

Note the date, time, and content of every phone call. Record the collector’s name and employee number. Write down threats, promises, or suspicious statements.

Strong documentation helps prove FDCPA violations. Courts award damages up to $1,000 plus attorney fees for proven violations. Your records become evidence supporting your defense.

Act Now to Protect Your Rights

Time is your enemy in debt collection lawsuits. Every day you wait reduces your options and strengthens the collector’s position.

Take these immediate actions:

1. Calculate your answer deadline from the date you received the Summons
2. Gather all documents related to the debt
3. Review your budget to determine settlement affordability
4. File your Answer before the deadline expires
5. Send a debt validation letter if still within 30 days

Responding to the lawsuit doesn’t mean you admit owing the debt. Your Answer protects your right to defend yourself in court. Fighting back often leads to dismissal or favorable settlement.

Worldwide Asset Purchasing expects you to ignore their lawsuit. Surprise them by defending your rights. Most debt collection cases settle once you show willingness to fight.