How to Resolve an Arrow Financial Services Lawsuit
File a written Answer to block a default judgment against Arrow Financial Services. Challenge their legal right to sue and demand proof of the debt. Negotiate a settlement for less than the full amount once you've filed your response.
Answer Your LawsuitDealing with a debt lawsuit is stressful. You have rights, and you need to know them.
Arrow Financial Corporation is a multi-bank holding company and debt collection agency. The company manages $3 billion in assets. Arrow has been accused of violating the Fair Debt Collection Practices Act. The FDCPA protects you from unfair, abusive, or deceptive treatment.
Respond to Arrow Financial Services in 15 Minutes
Your deadline to file an Answer is approaching fast. Our partner Solo helps you respond to Arrow's lawsuit and protect your rights before it's too late.
File Your Answer NowMillions of Americans struggle with debt. You may not even owe the debt Arrow claims. You might have already paid it off. Regardless of the situation, you must respond to the lawsuit.
Our partner Solo can help you respond quickly and protect your rights.
Step 1: File Your Written Answer
Most consumers make one critical mistake after being sued. They ignore the summons.
Never throw away the letter. You must respond in writing.
Failing to respond puts you at risk of a default judgment. Arrow can then garnish your wages or freeze your bank account. The debt collector may also add attorney’s fees, court costs, and interest to your balance.
Once Arrow files a lawsuit, it becomes a court record. You need to formally respond with an Answer. Do not admit liability for the debt. Force Arrow to prove you are responsible.
File your Answer with the Clerk of Court. Send a certified stamped copy to Arrow Financial Services. You typically have 20 to 30 days from the notice date.
Step 2: Negotiate a Settlement
Filing your Answer blocks a default judgment. Now you can negotiate the debt.
Follow these expert tips from attorneys:
- Be honest about your financial situation
- Explain why you cannot afford to pay the full amount
- Determine how much you can afford now
- Make a reasonable settlement offer
- Expect a counteroffer and multiple negotiation rounds
- Only mention bankruptcy if you truly plan to file
- Negotiate only through the attorney handling the case
Our partner Solo helps thousands of people settle debt lawsuits every month.
Step 3: Challenge Their Legal Right to Sue
The best defense against a debt lawsuit is challenging the right to sue. Your debt has likely passed through multiple entities before reaching Arrow.
Whoever owns the debt must prove they legally have the right to sue. Without proper documentation, they cannot legally pursue you.
Responding to the lawsuit gives you the chance to demand proof:
- Credit agreement with your signature
- Chain of custody showing debt origination from the original creditor
- Documentation of how Arrow acquired the debt
Many debt collectors cannot produce this documentation. Missing proof can get your case dismissed.
Step 4: Push Back on Burden of Proof
Arrow must prove you are responsible for the debt. They must also prove they have the legal right to sue you.
The company needs to show you owe the specific amount claimed. Arrow must document how the balance increased. Charges, purchases, and fees must match your original agreement.
Arrow cannot prove their case without proper documentation. You can have the lawsuit dropped if they fail to meet their burden.
Step 5: Check the Statute of Limitations
Statutes of limitations set time limits on debt collection lawsuits. These rules vary from state to state.
Most states allow creditors to sue for three to six years. New York allows up to 20 years. The clock starts on the last day you made any account activity.
Activity includes making a payment or using an attached credit card. Even a small payment restarts the statute of limitations.
Debt collectors sometimes sue on time-barred debts. You can get the case dismissed if the statute has expired.
Step 6: File a Countersuit for FDCPA Violations
Arrow may have violated the Fair Debt Collection Practices Act. The FDCPA protects you from harassment and abusive practices.
Debt collectors cannot call you at odd hours. They cannot discuss your debt with family or friends. They cannot threaten you with illegal actions.
You can file a countersuit if Arrow violated the FDCPA. You may seek compensation for damages. Violations can also strengthen your defense in the original lawsuit.
Consider Bankruptcy as a Last Resort
Bankruptcy is not always the best option. Consider it only when you cannot pay your debts.
Filing bankruptcy stops all collection activities immediately. The automatic stay gives you breathing room. You may eliminate your debt altogether through Chapter 7.
Chapter 13 bankruptcy creates a repayment plan you can afford. Your financial situation determines which chapter suits you best.
Your credit report will show bankruptcy for years. Weigh this consequence against your current financial crisis.
Protect Your Financial Future Today
Responding to a debt lawsuit protects your rights. Arrow must follow the law when collecting debts.
Your financial accounts follow you for life. Taking action now prevents wage garnishment and bank account freezes. You can negotiate a settlement for less than the full amount.
Always force Arrow Financial Services to prove your debt. Challenge their legal right to sue. Check if the statute of limitations has expired.
Never ignore a debt lawsuit summons. File your Answer within the deadline. Negotiate from a position of strength.