How to Resolve an Ability Recovery Services Lawsuit
If Ability Recovery Services sued you, file an Answer immediately to avoid default judgment. Validate the debt to ensure it's actually yours and demand proof from ARS. Negotiate a settlement for 60-70% of the balance and get all agreements in writing before paying.
Answer Your LawsuitAbility Recovery Services sued you. You can still resolve your debt and pay less than you owe. Take a deep breath and follow these steps to fight back.
What is Ability Recovery Services?
Ability Recovery Service (ARS) is a national collection agency. The company has been in business for over 30 years. ARS collects debt in all 50 states.
Don't Let Ability Recovery Services Win by Default
You have limited time to file your Answer before the court issues a default judgment. Respond to the ARS lawsuit today and protect your rights.
File Your Answer NowThe company specializes in debt collection for multiple industries:
- Medical providers and facilities
- Financial institutions
- Utility companies
- Colleges and universities
- Telecom companies
Ability Recovery Services is located at 284 Main St, DuPont, PA 18641. You can reach them at (570) 207-1892. Representatives also call from other numbers.
Ability Recovery Services reviews
Nearly 400 consumer complaints appear on the BBB profile for ARS. The company has a one-star average review rating. ARS has an A- BBB rating but isn’t BBB accredited.
The Consumer Financial Protection Bureau shows over 2,000 complaints against Ability Recovery Services. Common complaints include:
- Putting derogatory marks on credit reports without prior notification
- Rude customer service representatives
- Refusal to provide debt validation or itemized lists
- Ignoring settlement requests
- Attempting to collect wrong amounts
How to Respond to an Ability Recovery Services Lawsuit
ARS can report your debt to major credit bureaus. They can also legally sue you to recover unpaid debt. You need to respond quickly and strategically.
File an Answer immediately
File your Answer the moment you receive the lawsuit notice. Your Answer communicates your willingness to fight the lawsuit. Without an Answer, the court can issue a default judgment against you.
Default judgments give ARS the power to garnish wages and freeze bank accounts. Our partner Solo makes it easier to draft an Answer. Answer a few questions online and generate a court-ready document. You can file it yourself or request filing assistance.
Validate your debt
Never admit the debt is yours until you verify it completely. Demand that Ability Recovery Services provide specific details:
- The identity of your original creditor
- The date you took on the debt
- The date of your last payment
- The original debt amount
- The remaining balance
ARS must prove they own the debt and have the right to collect. If they can’t tie you to the debt, you may win the lawsuit. Otherwise, you’ll need to pay the balance or negotiate a settlement.
Settle Your Debt With Ability Recovery Services
The debt is genuinely yours. Now you can settle it and pay less than you owe. Follow these steps to negotiate with Ability Recovery Services.
Submit a debt settlement offer
Start by offering to pay 60% of the total amount. Submit your offer in writing to create a paper trail. Don’t make any payments until ARS responds to your offer.
Explain your circumstances
Explaining your financial situation may help your case. Mention other debts or income limitations you’re facing. Be honest since collectors may already have access to your credit report.
Prepare for a counteroffer
Ability Recovery Services may not accept your initial offer. They’ll likely respond with a counteroffer demanding more money. You can accept, reject, or submit another counteroffer.
Repeat this process until you reach a mutually agreeable solution. Get all agreements in writing before making any payments.
Use a settlement platform to streamline negotiations
Negotiating with creditors can feel intimidating if you lack experience. Settlement platforms serve as a middleman between you and the collector. You never have to interact with them directly.
You submit offers and respond to counteroffers through the platform. The service also handles your payment for maximum peace of mind.
Example: Mark fell behind on his student loans and never expected a lawsuit. When Ability Recovery Services sued him, he panicked but quickly filed an Answer. Mark submitted an initial offer to pay 60% of his balance. ARS rejected this offer but countered with 65%. Mark agreed and resolved his debt for less.
Three Ways to Resolve Ability Recovery Services Lawsuits
No one-size-fits-all approach exists for resolving debt lawsuits. You generally have three main options when facing an ARS lawsuit:
- Arrange a settlement with the collector
- Force the issue into arbitration
- Continue the lawsuit
Option 1: Arrange a settlement
Settling your debt lawsuit is often your best option. You must still respond to the lawsuit within your state’s deadline. File an Answer to keep your options open.
In some cases, Ability Recovery Services might drop the suit entirely. Collectors sometimes prefer not to pursue consumers who fight back. If they don’t drop it, you can negotiate a settlement.
You and the debt collector agree on a lump sum payment. The amount is typically less than the full balance you owe.
Example: Jack received notice that Ability Recovery Services sued him for $5,000. He knew he owed it but couldn’t afford full payment. Jack filed an Answer by his state’s deadline. He offered to pay $2,500 through a settlement platform. The collector countered with $3,500. They finally agreed on $3,000. Jack paid the lump sum and resolved his ordeal.
Option 2: Force arbitration
You might be able to force the lawsuit into arbitration. An arbitrator can help resolve the issue outside of court. However, arbitration services aren’t free.
Filing a Motion to Compel Arbitration works great in some circumstances. In others, it can actually make your debt worse. Understand the particulars of your case before filing a motion.
Arbitration may be viable if your original creditor agreement included an arbitration clause. Review your contract carefully or consult with an attorney.
Option 3: Continue with the lawsuit
Continuing the lawsuit makes sense if you have a good chance of winning. Identity theft or mistaken identity are valid reasons to fight in court.
You can bring relevant documentation to court and prove your case. You must file an Answer document by your state’s deadline. Missing this deadline almost guarantees a default judgment against you.
A default judgment means Ability Recovery Services wins automatically. The collector can then garnish your wages, put a lien on your house, or freeze bank accounts.
How Does Ability Recovery Services Work?
Ability Recovery Services follows up on debt owed to their clients. When you stop making payments, the creditor attempts to collect first. After three to six months of non-payment, they transfer or sell your account to ARS.
With transferred debt, ARS collects on behalf of the creditor. They receive a percentage of the money they recover. With purchased debt, ARS collects as if the debt is theirs.
Collectors usually buy debts for a fraction of the actual amount. They then attempt to collect the full amount from you. You can request ARS to settle the debt for less than you owe.
Know Your Consumer Rights While Communicating With ARS
You don’t have to endure mistreatment by debt collectors. The Fair Debt Collection Practices Act safeguards borrowers from harassment. The law outlines specific guidelines that collectors must follow.
Ability Recovery Services cannot:
- Call continuously for the same debt on the same day
- Phone you after 9 pm or before 8 am
- Talk to colleagues, family, or friends about your debt
- Use abusive or profane language
- Threaten to take documents or call police to arrest you
- Use deceptive and aggressive collection tactics
If ARS violated any of these laws, you have a strong defense. You can use these violations as affirmative defenses in your Answer. Violations may force ARS to withdraw the case or accept a settlement offer.
Our partner Solo helps you add violations as affirmative defenses in your Answer document. Document every violation with dates, times, and specific details.
Take Action Against Ability Recovery Services Today
Resolving debt before a lawsuit is always better than fighting in court. But don’t despair if you already face a lawsuit from Ability Recovery Services.
You can navigate this difficult situation with the right strategy. File your Answer, validate the debt, and negotiate a settlement. A debt-free life awaits on the other side.