A collection agency cannot file a lawsuit against a debtor.
The agency can refer the account to a collections attorney who is licensed to practice in the state where the debtor resides, and that attorney can file a suit against the debtor.
Some collection attorneys or firms are also licensed to arbitrate accounts, which means the account is sent to the National Arbitration Board rather than the use of standard civil lawsuit procedures.
Actually - a collection agency CAN sue you in court, IF the collection agency owns the account. However, you are correct, they cannot file a lawsuit against a debtor IF they are acting on behalf of the original debt owner, i.e., Sears, JC Pennys, etc.
Most collection agencies, who actually OWN the debt account, purchase these things at very small costs ... as the original folks have written it off their books. Therefore, if they do take you to court, most likely, it will be small claims court...
Debt collection, inlight of credit cards, etc., is actually a CIVIL matter and NOT a criminal matter.
I think you are technically allowed to sue anybody for anything. That does not guarantee it you will win the court case, however.
No you can not
Yes.
Yes.
YES
Yes.
Unless you have a specific repayment plan that the collection agency agreed to, there is no legal reason that cannot sue the cosigner.
Any collection agency can, in theory, sue you anywhere they can find you. Whether or not they have jurisdiction or a valid claim and whether you have defenses would depend upon the circumstances.
yes
If you are not refusing to pay and you pay the debt, they would have no reason to sue you. If you refuse to pay a valid debt, they may advise their client to sue you depending on what state you are in and what the laws are there. Some states only allow original creditors to sue and not the collection agency.
yes
Yes - they can, or they can put a lien on the vehicle.