Can a collection agency get a jugdment on social security disability in Michigan?

Answer 1

In Michigan, a collection agency generally cannot obtain a judgment against Social Security Disability income. Social Security Disability benefits are protected from garnishment or other collection actions by federal law. However, it is important to consult with an attorney who specializes in consumer law or Social Security Disability to fully understand your rights and protections.

Answer 2

I have discussed this with dozens of people in the collections industry over the years. If a collection agency is telling you that they are going to get a judgment on your social security or disability income... IT IS A SCARE TACTIC Social Security and Disability are "protected classes" and are NOT suit worthy in ANY state. You are still obligated to pay the debt, it's just that the law protects you from a creditor trying to take food off of your table to pay the debt. You need to find another way to resolve this. Rid yourself of the deceitful caller. The next time they call you: 1. Remain calm under all circumstances. Do not allow yourself to become manipulated or drawn into an argument. This is important. It is better to calmly terminate the call than to become emotionally involved and say something you may regret later (especially if the call is recorded and goes to court). 2. Tell the caller that the call may be recorded for "quality purposes" (that will usually get them in the right frame of mind if they do not want you to sue them for harrassment). 3. Request their mailing address. 4. After getting their address, tell them you will have your legal counsel forward correspondence to that address. Politely end the call. Do NOT discuss any of the content in step 5 (below) with the person you speak with at the collection agency. 5. Send a letter to their address with the words "CEASE AND DESIST" prominently displayed near the top your letter. In the letter, demand that they cease and desist all calls and correspondence to your residence immediately or you will seek all legal remedies against them including (1)all remedies available under the Fair Debt Collections and Practices Act, (2) filing a complaint with the Federal Trade Commission and (3) reporting their collection agency to your State Attorney General for harrassment . These steps will usually stop the phone calls and mail from the collection agency. When you send the letter to the collection agency, your account will probably go back to the original creditor. The original creditor may pursue legal action against you. (in view of the SSA/Disability issue -highly UNlikely-but possible) You might consider trying to work this out with the original creditor by mail (they're not going to talk to you by phone now). Offer a repayment plan, if you can, and define the scope of your terms in your letter. It's a good idea to send your first payment with your letter. Be certain to send it "return receipt requested" and keep a copy of your letter for your files. Word your letter such that when the bank endorses your enclosed check, they accept your new terms. This is a tactic that often works since correspondence about an account and payments typically go to two different bank addresses. The payment processing center will just process your check for payment, disregarding your letter (and the new terms). If your account ever goes to litigation, you have a copy of your letter changing the terms of your credit card account AND a signed receipt showing that the bank signed for a copy of the letter AND you have your returned check that the bank endorsed. Whatever happens, the creditor will know to tread lightly where you are concerned because you obviously know more than the average joe. Check with legal counsel in your state. I am not an attorney.