• The Break Room is NOT an official service of Target Corp.
    This is a site run by regular people who are off the clock.
    We do not perform any HR related services, or affect any internal information regarding Target.

Defaulting on target debit card.

Bullseyerc

GSTL
Joined
Mar 31, 2016
Messages
533
So.. hypothetically. Let’s say someone were to run their target debit card and it the charges didn’t clear because either the bank account was closed or their were insufficient funds. Target services starts calling you and you ignore all their calls.. would they just drop it? How long would it take for them to successfully sue (if they even got that far).

Asking for one of my former cashiers. She has money issues.
 

gsa4lyfe

Always here
Joined
Jul 31, 2017
Messages
3,037
So.. hypothetically. Let’s say someone were to run their target debit card and it the charges didn’t clear because either the bank account was closed or their were insufficient funds. Target services starts calling you and you ignore all their calls.. would they just drop it? How long would it take for them to successfully sue (if they even got that far).

Asking for one of my former cashiers. She has money issues.
They’ll just sell the debt to a loan collector after a few month. Standard debt procedures
 

REDcardJJ

Service and Engagement TL
Joined
Sep 18, 2017
Messages
2,272
it'll get sent to collections. i'd advise working out a way to pay because dealing with target card services is going to be a lot more pleasant than dealing with debt collectors.
 

Kartman

MasterBlaster (User has passed away)
Joined
Nov 20, 2014
Messages
9,224
That's a good way to get paid back, lol.
 

REDcardJJ

Service and Engagement TL
Joined
Sep 18, 2017
Messages
2,272
That’s just a scare tactic. I had a TMs default in her card and it get sent to collections. She still works there and last I checked still hasn’t paid it
was it credit or debit? the credit card isn’t owned by us anymore but the debit still is
 
Joined
Jun 11, 2018
Messages
2,394
was it credit or debit? the credit card isn’t owned by us anymore but the debit still is
You can’t default on a debit , since it comes right out of your checking account . It will put you in overdraft but no default
 
Joined
Jun 11, 2018
Messages
2,394
So.. hypothetically. Let’s say someone were to run their target debit card and it the charges didn’t clear because either the bank account was closed or their were insufficient funds. Target services starts calling you and you ignore all their calls.. would they just drop it? How long would it take for them to successfully sue (if they even got that far).

Asking for one of my former cashiers. She has money issues.
They will send her to collection and she will end up paying more than what she owes . As for how long until they sue it could be years . Because even if her account is closed missing payments will add interest . And she won’t get fired because her working for target has nothing to do with her owning a red card . But I bet her credit is ruined because that’s what credit cards do to people who can’t afford it:
 

Tessa120

Current game: Kenshi
Joined
Mar 17, 2017
Messages
4,653
You can’t default on a debit , since it comes right out of your checking account . It will put you in overdraft but no default
A lot of banks will not honor an ACH overdraft, the next business day they will reverse the charge to your account, slap on an overdraft fee and tell the business that there is insufficient funds. I would suspect that red card services is like other businesses and will put their own NSF return fee on top of what you already owe. I also suspect that like other businesses they will redeposit, which will start round two of overdraft fee/return fee. If the account is closed and there's no hope of getting money out of that bank account it'll go to collections and ding the credit report. If someone lets it sit for a long while, they could probably negotiate a partial payment to the collections company to settle the account as paid in full, but a collections agency isn't going to start off immediately willing to waive a portion of the debt. If a fairly small debt, a lawsuit is not likely, since it will cost the collections company more to get the judgment than they will receive from garnishment.
 

seasonaldude

That Asshole in OPU
Joined
Oct 3, 2018
Messages
2,182
They will send her to collection and she will end up paying more than what she owes . As for how long until they sue it could be years . Because even if her account is closed missing payments will add interest . And she won’t get fired because her working for target has nothing to do with her owning a red card . But I bet her credit is ruined because that’s what credit cards do to people who can’t afford it:
A little more realistic: They may in fact never sue. It depends on how much is owed and the likelihood of being able to recover the debt even after suing. Collections will call over and over and over and over and over and over again. However, they are only going to actually sue if they can collect more than the cost to sue. That means as long as the debt is less than court fees plus attorneys' fees it will likely never end up in court.

Also, when dealing with 3rd party collectors, if they aren't licensed to practice law in your state, they aren't going to sue you. Note, the may also be breaking the law to even call you if they aren't licensed debt collectors in your state depending on your state's laws.
 
Joined
Jun 11, 2018
Messages
2,394
A little more realistic: They may in fact never sue. It depends on how much is owed and the likelihood of being able to recover the debt even after suing. Collections will call over and over and over and over and over and over again. However, they are only going to actually sue if they can collect more than the cost to sue. That means as long as the debt is less than court fees plus attorneys' fees it will likely never end up in court.

Also, when dealing with 3rd party collectors, if they aren't licensed to practice law in your state, they aren't going to sue you. Note, the may also be breaking the law to even call you if they aren't licensed debt collectors in your state depending on your state's laws.


Yes you are right. I believe it depends on the state but after a certain year they can’t longer sue either .
 

seasonaldude

That Asshole in OPU
Joined
Oct 3, 2018
Messages
2,182
"Yes you are right. I believe it depends on the state but after a certain year they can’t longer sue either ."

Yes, that is the Statute of Limitations. After a certain year they cannot sue. When that is depends on the state and the type of debt. Technically, with the exception of one state (Montana I believe), the debt is still owed after the Statute tolls. So, they can keep calling and bothering you, but you can laugh and hang up.
 

busyzoningtoys

Closing Lead
Joined
Oct 6, 2016
Messages
1,098
If it’s charged off they can sue, and you owe the creditor the money. If it’s sent to collections then they’ve basically given up on the debt and sold it to the collection agency; you now owe the collector the money. If it was sent for collection, you should be in the clear as they’ve already written it off as a loss and moved on.
 

Tessa120

Current game: Kenshi
Joined
Mar 17, 2017
Messages
4,653
Yes, that is the Statute of Limitations. After a certain year they cannot sue. When that is depends on the state and the type of debt. Technically, with the exception of one state (Montana I believe), the debt is still owed after the Statute tolls. So, they can keep calling and bothering you, but you can laugh and hang up.
If you don't agree with a debt and are willing to ignore it past the statute of limitations, don't talk to the creditor at all. Don't agree to a payment plan, don't say anything that would make it seem like you are taking action on the account or like you plan on doing so soon. That will restart the clock to day 1 for when statute of limitations expires.
 
Top