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Yes, it may or may not make an impact on the creditor's decision to pursue litigation, but it can do not harm. In the case of the bank, the bank can be notified that the account holds exempted funds, but it is the decision of the bank whether or not to comply with the judgment writ. If an account is joint or the funds in the account are questionable as to exemption or ownership, the bank generally request the court to 'freeze' the account and make rule on the validity of the judgment levy.

2007-02-09 21:24:37
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How do you know if your wages are going to be garnished?

You should in fact receive a letter from who the creditor is and if they are being garnished your employer should send you all the information that was sent to them in order for them to proceed with the garnishment.

What should you do if you were paying on an account by them taking out the money but then they stopped and you received a letter from a lawyer?

If there is not a pending lawsuit you should close the account as soon as possible. The best option is to obtain legal advice concerning creditor debtor laws in the state in which you reside before communicating or making an agreement with the creditor's legal representative.

If account is sold to collections should original creditor remove that account?

The original creditor does not remove your information. What is should say in the notes section is that the account has been transfered or sold to a third party collection agency. This information will remain on your account until the 7 year clock expires.

Can a creditor freeze bank accounts in Florida?

No. No creditor has the right to freeze bank accounts in ANY state. Only the court has the right to rule that an account should be frozen.

What amount will Mastercard or Visa credit card sue you over in Texas?

There are no "set amounts" a creditor uses to determine if a lawsuit should be filed. The largest factor is whether or not a judgment is collectible. Does the debtor have a job where wages could be garnished? Bank accounts that can be levied? Is there real estate, cars, luxury items that are not exempt and could be liquidated to pay the debt.

What is the consequence to the debtor if you are an unnamed creditor in a Chapter 7 and should be?

Any creditor not included in a bankruptcy discharge retains the right to continue attempting to collect a debt. That would include using legal remedy in the form of a lawsuit against the debtor.

Seize bank account for credit card debt?

If your bank account has been seized because of a debt you owe, you should call and work out a payment arrangement with the creditor. You should also start a new bank account.

If a bankruptcy was discharged on an account that was sold to another lender and the original creditor is marking it as a charge off should it be marked as bankruptcy by the original creditor?

Yes, this debt should have been marked as a bankruptcy by the original creditor. It cannot be changed from a bankruptcy to a discharge unless the bankruptcy did not go through.

Can wages be garnished from a joint account when one party isn't involved with the debt in NJ and the state garnished wages from one party for child support the other party isn't involved in the case.?

Yes, you should open up a separate checking/savings account in just your name only.

What do you do if an account was turned over to a collection agency but the original creditor accepted your payment in full?

Contact the original creditor. Provide proof of your payment. They need to retract the account from the collection agency. The account could have been sold to the collection agency or simply assigned to them. For your purposes, it does not matter which situation applies. You paid the original creditor and your credit report needs to reflect this. After they do what they need to do to get the account back; you then dispute the entries with all three credit bureaus. The original account should show as a paid collection and the other collection account should be removed from your credit report entirely.

Does the creditor have to get a court order each time they levy money out of an account once they took money out the first time?

It depends on the circumstance. If for the same account or debt then no, the creditor has the right to exercise said levy until restitution is made upon that debt. If there are multiple debts with the same creditor, each debt should carry its on legal action unless consolidated by court, or your personal agreement with the creditor.

Which creditors can garnish your pension in Alabama?

Generally pensions cannot be garnished by judgment creditors. A few U.S. states have exceptions when it pertains to private pension annuities. All SS benefits are exempt by federal law from creditor garnishment.All pensions, private and otherwise can be garnished for tax arrearages and child support obligations/arrearages. A few U.S. states also allow the levy of pension funds when it relates to spousal maintainence/alimony.CAVEAT: If you have your pension/annuity/whatever directly deposited into a bank account the creditor CAN lien your bank account. Upon their deposit, once those payments are converted to cash, the creditor has access to them. It then becomes YOUR burden to prove to the court which of those funds derive SOLELY from your pension/annuity income and should be untouchable.

How do you know if a levy was placed on your bank account?

The bank should notify the account holder that the account has been levied by a judgment holder. Also, the account holder/judgment debtor should have received a final notice of judgment citing the action the judgment creditor is taking.

Should any and all account be included in a chapter 7 regardless of the account status?

Yes, all accounts should be entered unless they are marked as "paid in full" or "paid" by the creditor on your credit reports.

Can military retirement benefits be garnished by a forclosure judgment in Florida?

No. Military and government pensions are exempt from judgment creditor action. However, the judgment debtor should keep in mind that it is his or her duty to inform the court that such funds are exempt from attachment. Exempt monies such as pension benefits, SSI, SSD, etc. should never be commingled with other funds in any bank account.

What can you do if a credit card issuer is planning to sue for an account that was never charged off or reported to the credit bureaus?

Any creditor/lender may file a lawsuit against a defaulted account at any time. The account need not be designated a charge off nor be reported to credit bureaus before litigation can be pursued. The best choice is for the debtor to seek advice from an attorney who is qualified in creditor and debtor issues (bankruptcy attorney). Most attorneys offer a free or minimal fee consultation to discuss the options. If the debtor chooses not to seek legal advice, he or she should research the laws of their state to discover what personal and real property can be exempted from creditor attachment.

Should original creditor and the new creditor the account was sold to be included in bankruptcy?

Both and anyone else you can think about in the middle, because it removes any claims down the road for not providing proper notice.

If a collection agency refuses to settle medical debt and you can't pay what is the worst they can do?

The collection agency can take you to court and garnish your wages. You should attempt to contact the original creditor and make negotiation with them if possible. If this is not possible, attempt to set up a reasonable payment plan with the collection agency. Having wages garnished sets back your life until the debt is paid off. * Collection agencies have no legal authority. If they are a third party collector that has purchased the account they can refer the account to an attorney who can file a lawsuit in the appropriate court in the debtor's state of residency. If they are working for the original creditor the original creditor must be the one to implement a lawsuit. If the plaintiff wins (they always do) a judgment will be entered against the debtor. Judgments can be executed according to the laws of the state where they are issued. Generally a judgment can be used as a wage garnishment or bank account levy or seizure and sale of non exempt property or a lien against real property. In most states it is possible to execute judgments against jointly owned property even that which is considered marital. Judgments are granted from 5-20 years and most are renewable and can be executed at any time the judgment creditor so chooses and will continue to incur interest until they are paid or settled.

Can a creditor levy a joint bank account?

Yes, if the creditor has first obtained a judgment against one of the joint owners. However, the creditor cannot take the money in the account without a court order. In order to get the court order, he has to give notice of the levy to both persons who then have the right to object to the turn-over of the funds to the creditor. One obvious objection is that even though the account is in joint names, the money in the account actually belongs to the non-debtor party and should not be taken by a creditor of the debtor party. A joint account does not necessarily signify joint ownership of the funds in the account. It really means that both joint owners have equal access to those funds and the bank will honor checks drawn or withdrawals made by either of them.

Can a postal retirement annuity be garnished by an auto finance co?

In order for a garnsihment to be issued you must have had a judgment. Under normal conditions retirement, 401k and disability cannot be touched. For example under the OJ case his retirement from the NFL was not subject to the goldmans lawsuit. Your disability check should not be effected by a lawsuit.

Can a creditor and the collection agency who purchases your account from the creditor both report the same debt in separate instances to a CRA?

Yes, they can and it's customary for them to. The original account should have all the history, including late payments you made and the status (collection or charge off), the DLA, and date the account was opened. It should not be showing a balance due once sold or assigned to a collection agency. It may have a statement about being sold or transferred, but not always. The CA account should have the date they received, or were assigned, the account and the current balance (often with interest added in). The DLA should not have changed.

Can a creditor garnish your wages if they have the wrong social security number?

If you do not owe the creditor, then you should make sure they understand that the account is not yours. If the number they are using is wrong but the account belongs to you, the debt is still yours to pay. Unfortunately you need to work it out with everyone so that your credit reporting information is correct.

In Georgia can your check be garnished if you are an independent contractor?

If you are an independent contractor in Georgia, you should not have a regular paycheck that can be garnished. If you have a regular paycheck from one specific employer and taxes are taken out, it can be garnished.

How do you represent yourself in court when the credit card company has sold the debt to a collection company?

There is no difference between defending a lawsuit brought by the original creditor versus one by a collection agency. The only valid defense for a creditor suit is that the debt is not valid. The inability of the debtor to pay what is owed, such as the loss of employment, illness, etc. is not considered a valid legal defense. The debtor should be knowledgeable on what personal and real property they are allowed to exempt under the laws of their state of residency. The preferred method of execution of a creditor judgment is wage garnishment or bank account levy.

How do you go about charging off your unsecured credit?

A "charge off" is not done by the person owing the money. It is a term used by the creditor that means the account is being written off as a loss. An action taken for tax purposes. The debt is usually sold to a collection agency, which will proceed with the collection process, phone calls and letters. After a period of time, the account may be referred to a collections attorney, who will decide if a lawsuit should be filed.