How to Settle a Portfolio Recovery Associates Debt Lawsuit

George Simons | March 21, 2025

Fact-checked by Patrick Austin, J.D.

Patrick Austin
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Patrick Austin, JD

Patrick Austin is a licensed attorney with a background in data privacy and information security law. Patrick received his law degree at George Mason University's Antonin Scalia Law School, where he served as the Editor-in-Chief for the National Security Law Journal.

George Simons
Co-Founder of SoloSuit
George Simons, JD/MBA

George Simons is the co-founder and CEO of SoloSuit. He has helped Americans protect over $1 billion from predatory debt lawsuits. George graduated from BYU Law school in 2020 with a JD-MBA. In his spare time, George likes to cook, because he likes to eat.

Edited by Hannah Locklear

Hannah Locklear
Editor at SoloSuit
Hannah Locklear, BA

Hannah Locklear is SoloSuit’s Marketing and Impact Manager. With an educational background in Linguistics, Spanish, and International Development from Brigham Young University, Hannah has also worked as a legal support specialist for several years.

Summary: If you've been sued for a debt by Portfolio Recovery Associates, use Solo to respond in just 15 minutes and learn how to effectively negotiate a debt settlement.

It's a terrible feeling to be served with a lawsuit from a debt collector. Yet, the worst thing you could do is ignore the lawsuit in the vain hope that it will all somehow go away. What you need to do if you receive a lawsuit from Portfolio Recovery Associates is take proactive steps to engage with them to try and reach a resolution. Portfolio Recovery Solutions is known for being open to working with consumers and providing flexible options that work for both sides.

Communication is critically important. Make sure that you respond to the debt collection lawsuit and request proof of the amount owed.

In this article, we will talk a little about Portfolio Recovery Associates' track record. But, more importantly, we will tell you how you can easily respond to their debt collection lawsuitWith the help of Solo, you will have the information you need to engage with Portfolio Recovery Associates and take the necessary steps to resolve your debt collection matter without having to waste time and resources in a protracted legal fight.

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Portfolio Recovery Associates is legit—here's their address and phone number to prove it

Portfolio Recovery Associates is a legitimate debt collection company based in Virginia with about 320 employees, and an annual revenue at about $56 million. It uses several business names in addition to Portfolio Recovery Associates, such as PRA III and Anchor Receivables Management.

If you are trying to reach Portfolio Recovery Associates, you can use the contact information below:

Read Portfolio Recovery Associates reviews to learn how to negotiate and settle your debt

The online reviews of Portfolio Recovery Associates are somewhat of a mixed bag (some good and some not so good). Nevertheless, there are numerous positive, 5-star reviews posted by real consumers who were able to negotiate a fair and reasonable debt settlement with Portfolio Recovery Associates. Take, for example, this Google review posted by a consumer named Roberta Rogel:

“Portfolio Recovery has made the process of resolving my debt very pleasant. The website is excellent! When I have needed to delay a payment I have been able to do so in a couple of easy, quick steps. Other debt collectors should take a lesson from Portfolio Recovery!”

Here’s a Yelp review posted by a consumer named Kellie W. that also confirms Portfolio Recovery Solutions is open to working with you to reach a debt resolution:

They let me set up a payment plan that worked for me. Love the convenience of online ability to change my payment date.

These reviews confirm that it makes way more sense to reach out to Portfolio Recovery Associates to try and negotiate a debt settlement, as opposed to ignoring their communications.

Check the statute of limitations on your Portfolio Recovery debt

The statute of limitations is the time frame that a debt collector, like Portfolio Recovery Associates, has to file a lawsuit to try and recover a debt. Let's explain.

The statute of limitations has lapsed on a debt when there has been no "activity" on the account for a certain number of years. The term "activity" can mean anything from making a payment to signing a payment agreement. Watch out: if you take action on an old account, you could wind up restarting the metaphorical clock on the statute of limitations.

Please note that the statute of limitations for debt collection is different in each state. Check out this article listing the statute of limitations on debt in each state.

Example: Joe lives in Texas and is being sued for an old credit card debt with Citibank. Portfolio Recovery Associates purchased the debt and reached out to Joe about it.. However, Joe hasn't purchased anything with his Citibank account or paid anything on it for more than 9 years. Since the statute of limitations on debt is 4 years under Texas law, Portfolio Recovery Associates would probably be unable to prevail against Joe in court. However, it is important to note that Joe needs to raise the statute of limitations as an affirmative defense to ensure the lawsuit is tossed out.


You should investigate before you pay Portfolio Recovery Associates

As mentioned, making a payment toward an old debt can restart the clock on the statute of limitations. Additionally, the debt could be fraudulent, or Portfolio Recovery might be claiming an incorrect amount. For these reasons, you should always investigate the debt before agreeing to make a payment.

A great way to investigate the debt is by sending a debt validation letter to Portfolio Recovery Associates. Upon receiving this letter, Portfolio Recovery Associates will provide you with debt an official debt verification statement that contains the following information:

  • The amount of the debt.
  • The name of the creditor.
  • The collector will assume the debt is valid unless the consumer sends them a debt validation letter within 30 days.
  • If you send the collector a debt validation letter they will need to mail you validation of the debt.
  • If you send them a debt validation letter they will need to mail you the name and address of the original creditor.

Learn more about making a debt validation letter in this video:

Example: Portfolio Recovery Associates keeps calling and emailing Megan about a credit card debt she owed with American Express. They claim that Megan owes more than $20,000 on her account, but Megan doesn't recall using the card enough to owe that much. After some digging, Megan finds her old credit card statements and realizes that the correct amount was only around $2,000. Portfolio Recovery Associates mistakenly added a 0 to the debt amount. In this situation, Megan can send a debt validation letter to Portfolio Recovery Associates to get them to verify the exact amount with documentation as proof. If Portfolio Recovery doesn't have the necessary documents needed to prove that the debt is valid, they will likely halt their debt collection efforts.


How to deal with Portfolio Recovery Associates in court

As mentioned, proactive communication is key in a debt collection matter. This is why you need to respond to the debt collection lawsuit filed by Portfolio Recovery Associates. The way you respond is by filing a document called an “Answer.” We'll discuss this later, but first, here are a few common mistakes to avoid:

  • Waiting Until the Last Minute. You typically have only 10 to 30 days to file an Answer to a lawsuit, depending upon the State in which you reside. So, make sure that you respond quickly. A failure to respond means that Portfolio Recovery Associates will be able to get a legal judgment against you.
  • Saying Too Much. Your Answer to Portfolio Recovery Associates' Complaint should be short. All you need to do is “admit” or “deny” the facts stated in the Complaint. You do not want to write a narrative about your financial situation, or provide more information than is requested.
  • Responding to the Debt Collector By Phone. Never communicate with a debt collector on the phone. Every communication must be in writing so you can protect yourself.
  • Continuing to Pay. It happens frequently that a debt collector will file a lawsuit -- even though you are already on a payment plan for that debt. Not cool. If you are in that situation, then stop making payments, and write a letter to the debt collector stating the reason why -- because they sued you.
  • Admitting the Amount You Owe. Do not be so quick to assume that the debt collector's claim for a certain amount of money is the correct amount. When it comes to the amount listed in Complaint, make sure that you “deny” that paragraph, unless you are 100% certain that they are stating the correct amount. If you don't know, then you should “deny” the paragraph anyway.
  • Forgetting to Demand Proof. This is the biggest mistake. You don't know if Portfolio Recovery Associates is bluffing. Given their track record, that is highly likely. So, somewhere in your Answer, you need to demand verification for the amount they say you owe.

Respond to a debt collection lawsuit filed by Portfolio Recovery Associates

If Portfolio Recovery Associates has filed a lawsuit, then you should have received a court Summons and Complaint notifying you of the suit and listing all the specific claims against you. The first step to responding to a Portfolio Recovery Services lawsuit is to file a written Answer with the court.

You might think you have to hire an attorney to help you draft and file your Answer, but that's not accurate. You have every right to represent yourself and Solo is here to help. For example, you can draft a free Answer in less than 15 minutes! Here are some tips for drafting a strong Answer (to learn more about these tips, check out the video below):

  1. The Answer isn't the place to tell your side of the story in detail: At this point in the case, the burden of proof is on Portfolio Recovery Associates' shoulders—not yours. You don't have to give an elaborate explanation of your side of the story in your Answer. In fact, doing so can actually weaken your case. All you have to do is briefly respond to each claim listed in the Complaint and watch Portfolio Recovery squirm to prove their side.
  2. Deny Deny Deny: Most attorneys recommend that you deny as many allegations as possible. This makes the burden of proof heavier for Portfolio Recovery Associates, and it makes them have to do more work to prove their case.
  3. Include defenses: Include a section for affirmative defenses in your Answer. An affirmative defense is any reason that Portfolio doesn't have a case (i.e. the debt is past the statute of limitations, the amount listed in the suit is incorrect, Portfolio harassed you to get you pay, etc).
  4. Use standard formatting or “style”: Your Answer should look clean and professional, with standard margins and font size. It should be typed in black and white. It should also include a caption (kind of like a header) that has the court information, case title, and case number.
  5. Include certificate of service: This is a small statement at the end of the Answer document that declares you have sent a copy of the Answer to Portfolio Recovery's attorney. It should include the address of the court and the attorney that you sent everything to.
  6. Sign it: The court will reject your Answer if it doesn't have a signature on it. Some courts require a wet signature (not an electronic signature). SoloSuit can help you determine what type of signatures your court will accept.

After you've drafted your Answer and filed it with the court, make sure to print a copy and send it to the designated attorney for Portfolio Recovery Associates. Failing to do so can cost you big time (it might even result in a default judgment against you).

Example: Jacob is sued by Portfolio Recovery Associates for debt in the California Superior Court. Even though Jacob receives the court documents, he quickly realizes that he's being sued in a different county than the one in which he resides. Jimmy has 30 days to respond, otherwise Portfolio Recovery Associates can request a default judgment be entered against him. Jacob uses Solo to prepare his Answer. He responds to the 18 allegations listed in the Complaint, making sure to deny each one. Jacob also includes some powerful affirmative defenses (improper venue: he's being sued in the wrong county), and signs the document. Solo files the Answer for him and sends a copy to the attorney representing PRA Group, Inc. (a/k/a Portfolio Recovery Associates) with a certificate of service. Subsequently, Jacob finds out that Portfolio Recovery Associates dismissed the debt collection lawsuit.

Respond with SoloSuit

"First time getting sued by a debt collector and I was searching all over YouTube and ran across SoloSuit, so I decided to buy their services with their attorney reviewed documentation which cost extra but it was well worth it! SoloSuit sent the documentation to the parties and to the court which saved me time from having to go to court and in a few weeks the case got dismissed!" – James

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Negotiate a debt settlement with Portfolio Recovery Associates for a percentage of the original amount

You can reach out to Portfolio Recovery Associates to discuss settling at any time: before, during, even after the lawsuit. That being said, if you've already been sued, you should file your Answer before attempting to negotiate a settlement. Why? To ensure you don’t inadvertently fail to respond to the Complaint and wind up with a default judgment against you.

That being said, negotiating a debt settlement for a percentage of the original amount owed is a real possibility. Portfolio Recovery Associates is known for being flexible and working with consumers to reach an out-of-court resolution to debt collection matters. In addition, most debt collection agencies are willing to settle for anywhere between 1% and 60% of the original debt amount.

You can start the settlement negotiation process with Portfolio Recovery Associates by sending an offer via SoloSettle. To learn more about negotiating a settlement, check out these tips from a former debt collector:

Example: Jenny owed $3,000 on her Citibank credit card from 2019. The COVID-19 pandemic affected Jenny and her family hugely, and she fell behind on her payments. Almost three years later, Portfolio Recovery Associates has purchased the debt from Citibank for just $300 or 10% of the original amount. When Portfolio Recovery Associates contacts Jenny about the $3,000 debt, she isn't in a position to pay it back in full. They file a debt collection lawsuit and Jenny reaches out to negotiate a settlement. She offers to pay half the original amount at $1,500. Portfolio Recovery Associates accepts and makes a $1,200 profit off the debt. Most importantly, Jenny pays what she can afford and gets the debt matter off her back.

Send Portfolio Recovery an email

You can reach Portfolio Recovery Associates, LLC via email at pracustomercare@portfoliorecovery.com or by calling their toll-free number, 1-800-772-1413.

If you decide to send a debt validation letter to Portfolio Recovery Associates, here's their address:

Portfolio Recovery Associates, LLC
120 Corporate Blvd.
Norfolk, VA 23502

Portfolio Recovery files lawsuits in Texas

Portfolio Recovery Associates frequently files debt lawsuits throughout the state of Texas (and all other states in the US). If you're being sued by Portfolio Recovery Associates in Texas, file a response in court and sending an offer to settle with the help of Solo.

How to Answer a Summons for debt collection in all 50 states

Here's a list of guides on how to respond to a debt collection lawsuit in each state:

The Ultimate 50 State Guide

Debt collector guides

Are you being contacted by a debt collector? We’re making guides on how to resolve debt with each one.

Arbitration

If the thought of going to court stresses you out, you’re not alone. Many Americans who are sued for credit card debt utilize a Motion to Compel Arbitration to push their case out of court and into arbitration.

Below are some resources on how to use an arbitration clause to your advantage and win a debt lawsuit.

Bankruptcy

Bankruptcy is a great way to legally resolve debt, but it's usually best to consider it as a last resort. Here are some bankruptcy guides to help you decide which debt resolution option is best for you.

Check your case status

Don’t have time to go to your local courthouse to check the status of your case? We’ve created state guides on how to check the status of your case throughout the US, complete with online search tools and court directories.

Credit

Debt has a big impact on your credit. Below is a list of guides on how to repair and improve your credit, even while managing major debt, along with other credit-related resources.

Debt collection FAQs

Find answers to some of our the most commonly-asked questions about debt collection below.

Debt collection documents and templates

If you're dealing with debt, these documents and templates will help you respond, protect your rights, negotiate, and resolve your debts.

Debt relief

We’ve created a specialized guide on how to find debt relief in all 50 states, complete with steps to take to find relief, state-specific resources, and more.

Debt settlement

Debt settlement is one of the most effective ways to resolve a debt and save money. We’ve created state guides on debt settlement. Find out how to settle in your state with a simple click and explore other debt settlement resources below.

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Facing an eviction? The following guides will help you navigate your situation with confidence.

Federal debt collection laws

Knowing your rights makes it easier to stand up for your rights. Below, we’ve compiled all our articles on federal debt collection laws that protect you from unfair practices.

Legal aid

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Medical debt

Having a health challenge is stressful, but dealing with medical debt on top of it is overwhelming. Here are some resources on how to manage medical debt.

Personal finance

Learn how to manage your finances and overcome crushing debt. Check out our personal finance guides below.

State debt collection laws

Debt collection laws vary by state, so we have compiled a guide to each state’s debt collection laws to make it easier for you to stand up for your rights—no matter where you live.

Statute of limitations on debt

Like all debt collection laws, the statute of limitations on debt varies by state. So, we wrote guides on each state’s statutes and more.

Stop collection calls

Do you keep getting calls from an unknown number, only to realize that it’s a debt collector on the other line? If you’ve been called by any of the following numbers, chances are you have collectors coming after you, and we’ll tell you how to stop them.

Wage garnishment

Forgot to respond to your debt lawsuit? The judge may have ordered a default judgment against you, and with a default judgment, debt collectors can garnish your wages. Here are our guides on how to stop wage garnishment in your state, plus other wage garnishment resources.

The Debt Hotline

Hosted by Team Solo, The Debt Hotline breaks down debt and personal finance topics with help from attorneys, financial experts, and industry pros. We respond to real questions to help you navigate debt with knowledge and courage.

Other debt resources


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