Yes. There are ways to get judgments against people even though they may not be able to be found in the US. Or put another way, the system properly needs to have methods to allow judgments against people who may otherwise make themselves impossible to find. Clearly, the person should be able to contest it if they feel they have reason, when they do make themselves available to the courts.
Just as clearly, if they cannot be found, nor can any of their assets, enforcing that judgment is difficult.
A civil judgment release is an acknowledgment by the holder of the judgment that it has been paid in full and may now be removed from the public records as a lien. In New Jersey, when a judgment debtor pays the money owed to the judgment creditor, the judgment is said to be satisfied. The creditor is obligated to give the debtor a document called a Warrant of Satisfaction, which is the same as a release of the judgment. The debtor then files that Warrant with the office where the judgment was recorded as a lien. That office marks the judgment satisfied so that it no longer is a lien.
Probably none. In the US when it is a civil suit by a creditor for debt owed the law requires that only a reasonable attempt to notify the debtor that they are being sued needs to be made. In other words, if the debtor refuses the summmons, the summons is sent to the last known address but the debtor no longer resides there, a person other than the defendant accepts the summons, and so forth; the lawsuit can go forward and a default judgment can be entered against the defendant debtor. Consumers are often confused about statute of limitations for debts and assume that once the deadline has passed a lawsuit will not be filed, that is a misconception. The creditor can still legally file suit and the suit can be heard and a judgment entered if the defendant does not appear and present the expiration of the state's SOL as a defense. The exception is that a debtor must be notified that a judgment has been entered against them, but again that notification in the majority of US states only needs to qualify as a reasonable attempt to contact. The best option would be to consult with an attorney who is qualified in creditor-debtor laws.
Simple version: The creditor sues the debtor and is awarded a judgment. The creditor executes the judgment as a wage garnishment. The garnishment papers are served on the garnishee's employer. The employer withholds the amount stated in the garnishment order from the named employee's wages until the debt is satisfied or the garnishment order is no longer valid.
A junior lien is no longer valid as against the property after a foreclosure. However, the creditor can still go after the debtor and any other assets they may have to try to get the debt paid.
Texas does not allow wage garnishment for creditor debt unless the judgment holder has not other means of collecting monies owed. If the judgment debtor owns real property or has a bank account that is subject to levy or holds other funds, investments, etc. that can be seized and liquidated wage garnishment is not allowed. Please be advised, when wages are deposited in a bank account they are no longer considered exempt from creditor judgment, even if the account is jointly held.
Yes, but only if the creditor has not been informed that the debtor does not want to be contacted at the place of their employment. Once the creditor has been made aware of such they can no longer legally make contact at the debtor's place of business. The debtor can render the notice verbally but it is strongly suggested that said debtor send a 'cease and desist' notice via registered mail to the creditor(s). The letter should state all the places and/or methods that the creditor(s) cannot contact the debtor, (i.e, place of employment, educational facility, home, family members home and/or cell phone, landline, internet, etc.).
Your lien would be ineffective if the debtor no longer owns the property. If the property was foreclosed- the debtor no longer owns the property.Your lien would be ineffective if the debtor no longer owns the property. If the property was foreclosed- the debtor no longer owns the property.Your lien would be ineffective if the debtor no longer owns the property. If the property was foreclosed- the debtor no longer owns the property.Your lien would be ineffective if the debtor no longer owns the property. If the property was foreclosed- the debtor no longer owns the property.
The other person becomes solely responsible, if one party has filed bankruptcy and is no longer responsible for it. If both parties file bankruptcy within a relatively short time of each other then neither of you will be responsible for the amount owed. * The exception would be if the judgment has been "perfected" as a lien against real property. In such a case the judgment creditor becomes a secured creditor and the judgment will not be dischargeable under bankrupcy law.
The debtor may take such action, but it is quite likely to be feudal. Even though the debtor is currently 'judgment proof' as determined by the laws of the residence state it does not mean he or she always will be. Many collectors will seek a judgment to be filed and held until said debtor acquires some property against which the judgment can be executed. Perhaps the best option if for the debtor to discuss his or her financial situation with a qualified attorney to make certain he or she is indeed judgment proof. Most attorneys offer free or minimal fee consultations. Likewise, most will agree to write creditors explaining the debtor's situation and requesting that they no longer seek contact with that person. Please be advised, when such action is taken the attorney will charge a flat fee for each letter. If the creditor chooses to pursue a suit and the debtor receives a summons, the debtor must consult with the attorney again to determine what if any further action they wish to take. The initial fee for the correspondence will not include any fees pertaining to defense of a civil suit.
A motion or application for an order vacating or setting aside the judgment may be made if service of the complaint had not been made properly. Before a judgment can be entered against a debtor, the complaint must be served on the debtor personally or sometimes if the court allows, by certified mail. If the debtor was not served with the complaint because he was out of the country and if he did not know about the lawsuit, the judgment entered would be void. But because the judgment is on the public record as a judgment, the debtor has to ask the court to set it aside. If the court agrees that the judgment should be set aside, it will enter an order vacating the judgment , but it will also reinstate the case as if it were just filed. By filing the motion to vacate the judgment, the debtor has automatically acknowledged service of the complaint, so there is no longer a need for the plaintiff to serve it and the case will start again. In addition to this, a debtor in that situation should also review very carefully the documents the collection agency filed in order to prove to the court that the debtor was properly served. If that "proof" was falsified, the agency could be in violation of state and federal debt collection laws, perjury laws and contempt of court rules.
Some consumer's are under the mistaken belief that a credit card issuer cannot take legal steps to recover the debt because a credit card is considered an unsecured debt. This is completely false, the creditor can and often does sue the debtor and if awarded a judgment, use the judgment as income garnishment, bank account levy, attachment and sale of personal property or a lien against real property. Judgments are also entered on the consumer's credit report and will remain for 7 years or longer.
You can try handling it informally directly with the creditor or formally by making application to the court for vacation of the wrong judgment and entry of a correct one. If dealing with the creditor there are a couple avenues of approach. Contact the creditor and explain why you believe the amount is wrong. If you convince the creditor you are right and are able to pay the correct amount immediately, then just pay it and have the creditor remove the judgment. The judgment will still be in the wrong amount but it will no longer be of record. You might also be able to arrange payment of less than even the correct amount of the judgment. Creditors do not want to collect small amounts of money each week on a garnishment when they can have the bulk of the debt in one lump sum and close the file. You might also convince the creditor itself to enter an amended judgment with the correct amount. If you are unable to work out it out informally and if you can prove that the amount is wrong, then you can make a motion for vacation of the wrong judgment and entry of a corrected one. If you are proceeding through court to do this and if you failed to defend against the lawsuit or ignored the summons, you might not be allowed to contest the amount of the judgment unless it is manifestly incorrect. Sometimes judgments are in higher amounts than the original debt because the court tacks on interest, counsel fees and court costs. If you chose not to answer the summons you might not be allowed to challenge those amounts. Remember, the time to challenge allegations is not after the judgment is entered. it is when you receive the complaint.
The term "written off" does not mean the debt has been cancelled/forgiven. The term indicates that the original creditor will no longer continue to collect the debt in the usual manner. The debtor will receive a notice from the original creditor of whatever further action will be taken with the account.
All SS benefits are exempt from private creditor action (benefits may be garnished for back alimony, child support, unpaid federal taxes and amounts due other federal agencies), most pension/retirement plans are also protected, although it is possible to garnish a portion of certain types. In regards to a bank account, if the account(s) are within the U.S. and are not held by a married couple in a state that recognizes TBE protection; the accounts could be subject to creditor levy if said creditor was awarded a lawsuit judgment. As an aside, any non-exempt property belonging to the debtor could be seized and liquidated or if real property be subjected to a lien(s)and possibly a forced sale. The debtor/defendant does not have to present in the U.S. to have a creditor lawsuit initiated and ruled upon, the defendant can have a default judgment entered against him if the plaintiff prevails.It is important to note that once a Social Security payment has been deposited into a bank account (either by check or direct deposit) it is no longer protected.
Debt collectors can contact people at their place of employment until that person request the agency/collector cease from doing so. Once the debtor has told a creditor/collector to no longer contact them at work the collector must do so. If after notice a collector continues such action they are in violation of the FDCPA and should be reported.
Probably. It is likely the debt was bought by the agency from the original creditor. The debtor can request in writing a confirmation of the debt, meaning who it is owed to, and the amount, fees, etc that pertain. Collection agencies often buy accounts from business that close down for whatever purpose.
"Written off" does not always (usually) mean a debt is not still collectible. The term "forgiven" indicates that the creditor no longer considers the debt valid. When a debt is forgiven the debtor will receive a 1099C from the creditor/collector and a copy is sent to the IRS.. The debt is then considered income and must be reported on the debtor's tax return as such.
More than likely you will not be prosecuted for hiding the car. But is this really what you want to do? Do you want to own a vehicle that can be repossessed at any time day or night at any location? Do you want the creditor calling you and trying to recover their property that you are hiding? You signed a contract to pay this loan off. You have defaulted on the contract so do what is right and save some money in the process. Voluntarily return the vehicle to the creditor which will reduce your creditor's expenses in retaking the car, and you will reduce the amount you will owe the creditor. But remember, you will still be responsible for paying any deficiency on your loan, and your creditor may still enter the repossession on your credit report. Sooner or later they will get the vehicle, and the longer it takes them the more it will cost you. They will seek a judgment against you. The judgment is the difference between what you owe on your loan and what your creditor receives when reselling your vehicle. A creditor who has followed the proper procedures for repossession and sale is generally allowed to sue you for a deficiency judgment to collect the loan balance. You should have talked to the creditor before any of this happened and tried to work out a new payment plan. But you did not do that, and now you are making it worse by hiding the car. Think about it.
The non payment of any debt can result in a civil suit by the creditor. However, all U.S. states have SOL's which determine when a creditor can no longer pursue the debt through legal procedures. Please be advised, when the SOL applies it is the debtor's responsibility to bring forth that reason as a defense. Likewise, a creditor/collector can still pursue collection even after the expiration of an SOL by the usual methods, phone calls, letters and so forth. Even so, the debtor has the recourse to send the creditor/collector a letter of "cease and desist" which prevents future debt collection contact. If such a letter is rendered the creditor/collector must cease all contact with the debtor unless/until a civil suit is filed.
In the majority of cases a judgment will remain on you record for 7 years. In the case of Chapter 7 bankruptcy, the judgment can be reported for 10 years. The FCRA (Fair Credit Reporting Act) allows for a judgment to be reported for a period of no longer than 7 years, but this is not mandatory for every state. Your local state laws may indicate a shorter or longer period in which the judgment remains active. Most states comply with the 7 year period as a fair guidance for collection agencies and credit bureaus. A creditor can go back to court and renew a judgment before it lapses. The renewed judgment would extent the life of the debt for another 7 years.
The 7 year designation relates to the time a negative entry can remain on a credit report not to collection procedures. A collection agency does not have the legal power to sue someone unless the agency is a collections law firm. A creditor must file a lawsuit in the state court where the debtor resides, win a judgment against the debtor and then use the judgment to collect the debt. Only an attorney licensed in the state where the debtor lives can file a lawsuit; the one exception being UCC arbitration which can be appealed. It is possible that the state SOL for debt in which the person lives has expired and the collector can no longer pursue litigation. NEVER accept what a collection agent claims as the truth. Collectors work on commission and some will say anything, and often violate FDCPA and other consumer laws. NEVER give a collection agency financial information or agree to any terms other than those submitted in writing. ALWAYS become informed of your legal rights in relation to the laws of the state of residency. The law allows a debtor to send a letter of "cease and desist" to stop a collector from contacting them or their family members.
Yes, if a debt is discharged the debtor no longer has to pay.
Yes, but only after executing a legal contract between you and ONE of the other parties (the creditor OR the debtor). CONTRACT WITH DEBTOR (generally easiest route) In this situation, you are acting like a loan consolidator where you are paying off the other loan(s) and. at the same time, making a loan to the individual whose loans are being paid of. You will need a contract that states what loans you are going to pay on behalf of the debtor, the terms of the replacement loan (including fees, interest rates, frequency of payment, amount of payment, etc.). You may include components concerning collateral, late payments, etc. Once the contract is signed, you pay the debt and the debtor begins to make payments to you according to the terms of the contract. CONTRACT WITH CREDITOR (much more difficult) In this situation, you are acting like a factor where you legally buy the outstanding debt of a debtor (generally at a discount to face value) and takeover collecting the debt. Factoring is an old business and is used by a multitude of companies to increase their cash flow and reduce their cash conversion days. You will need a contract with the creditor that clearly states that you are buying the debt (receivable) of a particular debtor, you will get full and unencumbered ownership of the receivable and the creditor will no longer attempt to collect the debt. In addition, you will need to agree on price and collection process (how you choose to collect may be important to the creditor). Once the contract is signed, you will now own the debt and you will be responsible for notifying the debtor that you are the new owner and are collecting the debt. Based on the country that you are in, you may need to follow specific laws in doing so (in the US, we have the Fair Debt Collection Practices Act - FDCPA). If you don't you may be fined and arrested.
Debts which are retained in a Chapter 7 case are normally retained in one of two ways: (1) the debtor simply keeps paying the debt, keeps the collateral (such as a house or a car) and the creditor keeps accepting the money without any additional documents being signed by the debtor or creditor, or (2) the debtor formally "reaffirms" the debt by signing a "reaffirmation agreement," also signed by the creditor, which is filed with the Court. A reaffirmation agreement puts the debtor back on the hook for the debt since it waives the debtor's discharge on the debt. Debts which are reaffirmed during a Chapter 7 case can be "rescinded" (i.e. canceled) by the debtor providing notice to the creditor that they are rescinding the reaffirmation agreement PRIOR TO to the Discharge date or within 60 days after the reaffirmation agreement is filed with the Court, whichever is later. It is best to ensure that the notice to the creditor is in writing, and is preferably sent to the creditor by certified mail, return receipt requested, so the debtor can prove that the creditor received notice of the cancelation prior to the deadline. If one keeps a house or other debt in bankruptcy and then decides they don't want it, if the debt was not reaffirmed then the person can probably give the collateral back to the bank and walk away (see your lawyer). If one formally reaffirmed the debt, then one can normally rescind the agreement if the Discharge has not yet been granted or if it has not been 60 days from when the reaffirmation agreement was filed with the Court (again, see your lawyer). But, if the debt was formally reaffirmed and the deadline to rescind has expired, then the debtor will no longer be protected by the bankruptcy and will therefore probably still be liable on the debt (see your lawyer). Please note that nothing in this posting or in any other posting constitutes legal advice; this is simply my understanding of the facts, which I do not warrant, and I am not suggesting any course of action or inaction to any person.