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I am self employed Can a collection agency file a 1099 and garnish your tax return if the debt is over six years old and the debtor has been in Ohio for six years?
Wiki User
∙ 8y ago
A collection agency has no legal powers. Some agencies are collection attorneys who can file lawsuits. Regardless, no one can seize another person's property without due process according to the persons state of residency laws. In other words they have to take you to court, win a judgment, execute the judgment, this takes a considerable amount of time. The exception is child support and/or spousal maintenance, or a court order that was already in place.
Wiki User
∙ 8y ago
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How long does a collection agency have to validate debt?
30 days from the time the debtor requested written confirmation.
How do you find out who the original creditor is after your account has been sold to a collection agency and 30 days have passed since they first contacted you?
Either you can ask what collection agency the company you originally owed deals with or you will have to obtain your own credit report. * If the debtor did not respond to the 30 day clarification notice, the collection agency has no legal obligation to inform the debtor of the creditor, amount owed, etc. unless litigation is initiated. The debtor's credit report may or may not indicate which account has been sent to collections, as credit bureaus are very lax in keeping timely data on consumer's.
Is it better to pay original creditor who still owns account or debt collection agency who is collecting for original creditor?
Paying the collection agency will clear up your account much quicker and some creditors will return the payment to you if you send it directly to them. Most creditors sign a contract with a collection agency and cannot discuss the debt with the debtor once they place it with the agency, they must refer all correspondence, communications and payments to the agency for the life of that contract.
When a credit card company sells your debt to a collection agency do they have to show proof of the debt to you if you ask for it?
No, the collector is not legally obligated to present such information. Under the FDCPA the collector must inform the debtor that account information will be forwarded if the debtor sends a written request within 30 days of receiving the collection notice.
What does a collection agency have to do to take money from your private bank account?
Assuming the debtor does not voluntarily release the information for collection to the collector due civil process is required before such action can occur. The general steps are: The collector/creditor will file a civil suit against the debtor, win the suit (which is almost certain to happen); be awarded a judgment then execute the judgment as a levy against the judgment debtor's bank account.
Can a collection agency garnish your wages?
A Collection Agency that "owns your debt" can not garnish any wages. Assume that the collection agency in their efforts to collect the debt for their client, sues the debtor and then provoke that the Court works an arrangement to pay the debt, if the arrangement includes garnishment of wages then, the Court can garnish salaries. And there is laws to garnish wages that apply to every state.
Can a business garnish another business for debt?
A business can't garnish over another business, but if they hire a commercial collection agency to collect the debt, even then the agency can't garnish. When a business debt collection service goes to Court, the commercial debt collection agency can arrange a settlement to "force" the Court to garnish over the debtor. Collection Laws varies in every state
Can a collection agency garnish wages from a different state?
Yes, if they have a valid garnishment writ from the court in the debtor's resident state.
Can a collection agency garnish wages without a court order?
No, they must follow the legal steps that are required by the laws of the debtor's state.
Can collection agencies garnish a pension in Pa that is direct deposite in a checking account if the pension is paid by PGBC a government program?
A collection agency can only garnish pensions in PA that is directed deposited in a checking about if the pension is paid by PGBC, a government program if the debtor has not filed an exemption. Typically, the debtor has 10 to 21 to file an exemption.
How are work commercial collection agency?
The commercial collection agency is used in debt collection in the event a debtor fails to.
If a judgment has been made against a debtor and the debt is turned over to a collection agency is the agency able to garnish wages without taking the debtor to court?
If a judgment is in place the judgment holder can execute it under the provisions of the law of the debtor's state. It would not be necessary for the creditor to transfer the debt to a collection agency. That being said, a judgment is not transferrable, so if the original judgment holder did not record the judgment and take action they could not simply "pass it on" to another collector unless that collection agency was acting in their behalf and was part of the original suit.
Is it legal for a creditor or debt collection agency to access a bank account for debt collection?
To access to bank account as such, no. But if the debtor agrees to have ACH for payments, then the creditor or collection agencies can withdraw funds, or depending on the state laws a Judge can authorize to garnish wages from the bank. Find laws that apply to the debt in the resources box
How can collection agency get money from debtor when debtor has lived outside of USA for many years and doesn't own any assets in USA although a debtor is a USA citizen how does the law apply here?
The collection agency sues, gets a default judgment if the debtor does not appear, obtains a court order of garnishment of the US citizen's tax refund.
What are your options if you are unable to pay the full debt amount to the collection agency?
Do NOT pay any money to a collection agency.......send your money to the debtor, the person you owe it to. Send it in the form of a check or money order. NEVER PAY A COLLECTION AGENCY
Can a collection agency in Canada garnish wages in Florida?
Not arbitrarily, the creditor would need to retain a US attorney/collection law firm to proceed with a civil suit against the debtor. Or win a judgment in a Canadian court and then try to have it recorded as a valid judgment in order to attach any income or property belonging to the debtor. If the debtor is a Canadian citizen, a judgment granted in Canada could be executed against any property in Canada that is owned by the debtor even if that person is physically outside of the court's jurisdiction.
How long does a collection agency have to validate debt?
30 days from the time the debtor requested written confirmation.
