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Yes. They can sue you and if they win a judgment your wages can be garnished as long as you are in a state that allows wage garnishment. If you are in TX, PA, NC, or SC, wages cannot be garnished for this type of debt.

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โˆ™ 2006-03-04 18:15:11
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Q: When a collection agency buys your charge-off can they take you to court and garnish your wages?
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Can a collection agency take you to court or garnish your wages in Texas?


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.

Defenses against lawsuit on chargeoff account?

You need to find out your state's statue of limitations. If the debt is old, then you can back sue the collection agency. You can also go to court and reach an agreement.

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 a federal agency garnish wages without a court order?

Sometimes. The ability to garnish without a court order depends on the federal agency involved. The IRS, however, can always garnish wages and bank accounts without a court order.

If a collection agency gets a judgment against you can they garnish your checking account for more than the judgment amount?

The collection agency can freeze your account, and garnish enough to satisfy the FULL amount of judgment, including court costs, attorneys fees AND interest accrued, which averages about 10%. So because the judgment verdict also has attached to it various fees, and accrues interest, the collection agency has the right to garnish the FULL CURRENT VALUE of the judgment. Your court of origin should be able to provide a full accounting of the current value of your judgment.

What happens if you are summoned to court for a collection of debt but you don't show up?

What may happen is the court will give the "Creditor" the ruling to Garnish Wages. Its a good idea to WRITE a letter to the creditor or Collection agency and see if you can reduce what you owe. You can negotiate a lower payment. Make sure you can afford that payment. What may happen is the court will give the "Creditor" the ruling to Garnish Wages. Its a good idea to WRITE a letter to the creditor or Collection agency and see if you can reduce what you owe. You can negotiate a lower payment. Make sure you can afford that payment.

Can a collection agency garnish your wages in California?

A Collection Agency who "owns your debt", or one who is acting in collaboration with the debt holder may seek a remedy in the courts. If you lose the case, the court has the power to garnishee your wages until the debt is paid. The determination to garnish, and the amount of the garnishment depends a lot on your overall income and net income (gross income minus legimate expenses).

Can a collection agency seize you assets?

No. A collection agency can apply for a court order to recover a debt which may mean seizing assets.

What do I do after a collection agency sues me?

Once a collection agency sues a person they may have to get an attorney and go to court to settle this. The agency wants you to pay the money you owe them however they can get you to do it.

Can a collection agency have the court garnish your wages in NC for debt owed to a banking institiution?

Yes, provided there is an outstanding judgment against you. Without the judgment, neither the agency nor the original creditor has any recourse for garnishment, and will not be able to obtain an order for garnishment.

Can a collection agency take youto court after 7 years?

no they cant

Is it legal for a collection agency to garnish wages on five year old medical bills?

Yes. There should have been a court hearing on this (possibly in Small Claims court?) because they can't do it without the court's authority. Did you happen to ignore a court summons for this, if so, you were probably found "liable" in absentia.

Can a collection agency suspend your license?

No, but they can take you to the court if you don't pay the debt and then court can suspend your license.

Can the collection agency garnish my check is i skipped a payment but then made two payments and be came current with my agreement with them?

Depending from state to state, most collection agencies cannot garnish your check unless you have signed for them to do so or they have a court order to do so. If you have signed I believe you can still rescind that agreement if you are current on payments. You can consult an attorney free of charge over the phone if necessary, find one in your area.

Can a collection agency put a lien on a newly purchased home which has your name on the deed?

No, almost definitely not. What they can do is take you to court and win a judgment against you. If that judgment isn't satisfied, they can obtain a court order to garnish your wages. What they can't do is threaten you with jail or putting a lien on your home. Know your rights. Check out the Fair Debt Collection Practices Act online.

Can a creditor seize your tax refund?

If the creditor is a government agency, then yes. If the creditor has not won a court settlement to garnish your wages, then no.

Can a collection bureau garnish your wages if they are being garnished for child support in Idaho?

Collection bureaus can obtain court orders to garnish wages for debts unrelated to child support, even if those wages are also being garnished for child support.

How do you pay Florida traffic ticket to collection agency?

Go to the clerk of court office for the county in which you received the tickets, and they will give you a printout of the name and phone number of the collection agency that has them.

Can bill collectors sue you?

Yes, as a company the collection agency can sue you provided that they have the correct documentation. They can Garnish your wages, lien your home and take direct draws from your bank account provided that it is authorized by the court. This will be different from state to state, but in general they can.

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.

Can a collection agency take my state tax refund in Wisconsin?

Not without a court order.

Can collection agencies take you to the court?

Absolutely they can ! The only reason a person needs to deal with a collection agency, is because they defaulted on payments to the original company. That company passed the account to a debt-recovery agency, who paid the sum YOU owe to the original company. If you simply refuse to pay the collection agency, they have the legal right to take you to court to recover the debt !