Whatever Moment: Small Claims & Lawyers

I always check my personal email (even at work) and this afternoon, I received this group email from a fellow “Diskarte” member.

good day po sa ating lahat ! gusto ko lng pong malaman kung pasok pa rin po ba sa small claim court ung 60k na credit ko... na nag boom na sa 113 k daw sabi ng kolektor... saan po ba nagbabase ?? sa credit limit or sa utang na nag incurred  ng interest???  kasi po pinaghahanap napo ako ng abogado ng magaling na kolektor... diba po sa small claim court no need ng abogado?? salamat po..

Good day to all. I would like to ask if my 60K credit will be handled by the small claim court (SMC)? As per the collector, the amount boomed to 113K. Where would I base my outstanding balance from? My credit limit or the amount incurred with interest? The collector (CA) told me to start looking for a lawyer. There’s no need for a lawyer when the case’s in Small Claims Court, right? Thanks a lot.

1. You can base your outstanding amount on both but of course if you are going to settle with the bank, it’s best to talk to them and try to haggle with the interest or completely remove them from your balance. Of course, the bank and CA would LOVE to have you shoulder the amount WITH interests and fees BUT if you can haggle with the bank to remove and minimize them, better.
2. No lawyers on SMC? YES!!! What you said is true. Good thing he/she researched on some items online. Small Claims Court doesn’t need the presence of a lawyer unless they are the plaintiff or defendant.
   Q: Are lawyers allowed at the hearing?
   A: No, lawyers are not allowed to appear at the hearing unless they are the plaintiff or the defendant. (http://failuretopaycreditcard.blogspot.com/2011/01/small-claims-court.html)

My reaction on the collector telling the defaulter to start looking for a lawyer:

The next time the CA calls, ask him/her the “Primer on Small Claims Court” and if he/she can’t state it, inform the person that he/she needs to do a bit of research before calling you up and pretends to be the almighty Know-it-all!

And great job to you (defaulter) since you researched what “Small Claims Court” is.

Additional Reads:
http://failuretopaycreditcard.blogspot.com/2011/01/small-claims-court.html
http://failuretopaycreditcard.blogspot.com/2009/04/court-is-my-friend.html