can crediter's leagaly just put a hold on account
can a credit collection companey just put a hold on a checking account for large amounts of money. i had some old medical bills and i guess they put a 5000 lean on my checking account. so my whole paycheck of 1200 is being held and my checking account is now over drawn. i though the most they could do is just garnish your wages.
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They can sieze any asset that you have as long as they've gone through due process. They would have needed to get a judgement first on the debt. They probably sent you some messages to that effect. Typically these are default judgements since the debtor rarely shows. The only way to stop such an action is to file for bankruptcy protection. You will want to IMMEDIATELY stop any auto paycheck deposits into that account. If you can't get it stopped by the next deposit - CLOSE the account so that the deposit will be refused.
Sorry to say, that money is gone.
I used to be a credit counselor and delt with these jerkS all day long.0 -
I believe it would take an order from a judge to put a lein on a checking account. Otherwise any could just freeze your assets at will. Was there possibly a court date that you didnt know about? 0 -
I've garnished bank accounts before, and I've done it at some fairly nasty times (Christmas, Valentine's Day), but when you're owed money and the person owing you money appears to have no intentions of making good on the debt, you do what you have to do.
It requires a court order. Normally there is a trial. You were either served or attempted to be served through the mail via registered or certified mail which you may have never picked up. In many jurisdictions, proof of attempted delivery is the same as actually serving you with papers. So, it is possible that you missed a court date that you were unaware of.
I have been in your situation. I had someone serve me with papers through the mail and they never made it to me. They served me at an address that I have never lived at -- they found another person with the same name as myself (who, incidentally, graduated from the University of Wisconsin the same day I did and who moved to Denver around the same time I did -- he's a doctor, we get each other's phone calls, etc. all the time) and decided that was close enough.
I went into court and met with the judge who signed the order, explained that it was the wrong person who the action was filed against, proved that I never lived at that address and that another person with the same name did and they vacated the judgment.0 -
BUY GOLD 0 -
I do not profess to be a lawyer or anything but check out the statute of limitations for your state. There is something about if an account has not had any activity for so many years such as payments and there have been no attempts to collect (not sure if the latter part applies though) that nobody can legally collect on the account anymore. It may be worth checking out if the account is several years old like you say. As usual, some states are better about it than others and it depends on what type of debt it was.
You probably should have tried to reach a settlement agreement with them such as a lump sum payment followed by a number successive payments for less than the full amount before it got to this point. Some will take the deal and some will not. Although I have not dealt in that area, I have heard medical bills are the toughest to get out of. The illegals get out of them all the time though.
They will be cut throat with you so you need to be in return. Take whatever measures necessary to retain your money, be it opening another account in someone else's name for the time being or getting paid by check again. Good luck with it.0 -
It may not require a court order. He may have given the lender access to his account. 0 -
...Oh man! Med Co.'s (hospitals) started this about 5-7 years ago. From what I know (not much) unless you got a summons(correct?) and an order was signed by a judge...they cannot legally do this. They do it anyway! Dont ask me how, but they do. Im not sure how to correct it either, but probably illegal.
... The Co.'s that started this several years ago were in big trouble...but others were still doing it until they got caught.
...There was an epidemic of this kind of thing mostly in the NE where it started several years ago. Check into it!...luck...[;)]
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I had a problem with this a couple of months ago. I didn't get any accounts froze but, I got a letter from a collection agency about a bill from Nov. for my yearly check-up for my fake hips. The hospital had called and left 2 messages. I called back and told 2 different people to send me a bill and I would gladly pay since I had never recieved one and would not blindly send money. When I got the letter from the collection agency, I called the hospital and they said that they had a problem with the Co. that used to take care of the billing. I told them to send me a bill for a 3rd time and they finally did. I paid it but was pizzed that I had to pay $35 for a late fee. Unfortunately, I will have to use this hospital for my yearly check-ups forever. 0 -
Chief,
I would not blindly send money to any creditor just to get them off your back. If you ask, they are legally required to verify that they have taken over collections from said account. Until they do that, you don't have to send a dime.
Sometimes collection agencies get ahold of the wrong people or purposely harrass other people just to get them to pay anything. Surprisingly, it works.0 -
BANK OF AMERICA has been calling the store for several weeks asking to speak to David. I actually answered the other night. (BOA)...."David?"
(me)....."Yes"
(BOA)...."I'm calling in reference to your BANK OF AMERICA Visa payment. The account was opened in September of last year and no payments have been made. What do you intend to do about it?"
(me)....."I think you have made a mistake. I don't have a BANK OF AMERICA" Visa and I am not behind on any Visa bill. I think..." (cut off in midstream of speech.
(BOA)...."You have called three times in the past year to increase your credit limit from this phone number. Do you plan on paying on this account."
At this time I get a little agitated and I walk to the back of the store. Cusatomers and other employees know what's about to happen. I go to the back of the store and..................................................................(me)....."Who do you think this is?"
(BOA)...."David Baumgardener."
(me)....."No ma'm no one her by that name. This is a place of business. My name is David, but it is not Baumgardener."
(BOA)...."Then why did you anser the phone and say that you were?"
(me)....."My name is David, but my last name isn't Baumgardener."
(BOA)...."Do you know him?
(me).....I've never heard of him."
(BOA)...."Then how do you know he's not there?"
(me).....Ma'm I suggest you get your $&!% together before you call back. This is a business and this is a business phone. No one has been allowed to use this phone for personal business and you have no idea what you are talking about, Now you need to say goodbye." CLICK
Two days later...........
phones rings........(me)....."Lawson Outfitters"
(Sexy sounding female).....Can I speak to David, please?"
(me)....."This is David."
(SSF)....."David, this is Jennifer from BANK OF AMERICA calling about your Visa account."
(me)....."Listen, don't you people get it? This is a business phone. Are you calling about David Baumgardener?"
(ssf)....."Yes."
(me)....."I don't know how many times I am going to have to tell you, he doesn't work here. My last name isn't Baumgardener."
(ssf)....."Well, what is your last name?"
(me)....."Just don't call here anymore looking for David Baumgardner, he doesn't work here and we don't know him."
(ssf)....."Oh, I see a note up here on you. Bye"
I hate BANK OF AMERICA.0 -
pay the danm bill if you do owe it. then get on with your life 0 -
tap dancing around debt is a crime. if you owe someone, you pay them.
otherwise, youre nothing more than a flim-flam.
if its s red tape problem btwn companies, help fix it. if youve done all you can, then you step out of the spotlight gracefully.0 -
quote:tap dancing around debt is a crime.
Well....Now that ain't quite true.
Making a false statement to obtain credit is a crime. Hindering a secured creditor (from recovering encumbered property) is a crime. Fraud is a crime. Running up a bill with no intent to pay can be a crime, but impossible to prove.
Simply not paying a bill is not a crime, and if you don't believe me, just sashay into your local PD or DA's office and demand that they help you collect on a bill.
Some debt collection practices are criminal/bordering on criminal, and should be punished as vigorously as any credit fraud offense.
Of course, the way to avoid unpleasant/annoying/illegal debt collection practices is to simply not borrow money.0 -
Anyone owes me money and isn't paying I just stop in for tea and crumpets. Most of these things are simple mis-understandings that can be cleared right up with personal communication. Like when you say "loan" and they hear "gift". It could happen to anyone, no biggie. Phone calls and letters are so impersonal and you don't really know if you are speaking to the right person or if they are understanding your meaning. 0 -
quote:Originally posted by bigdaddyjunior
Anyone owes me money and isn't paying I just stop in for tea and crumpets. Most of these things are simple mis-understandings that can be cleared right up with personal communication. Like when you say "loan" and they hear "gift". It could happen to anyone, no biggie. Phone calls and letters are so impersonal and you don't really know if you are speaking to the right person or if they are understanding your meaning.
I have this mental image of you, hands the size of Virginia Hams and gold tooth gleaming as a wicked smile splits your bearded face, speaking in a low rumbling voice,
"So, what're we gonna do about this little mis-understanding?"
Then you take your size 14 boot off the guys' throat so he can answer...
I dunno. It's just what popped into my brain.0 -
HK....I hope you the best in dealing with all of this. It is a nightmare I play over and over in my head every time I leave money in my account.....that some large group will just decide what I should or shouldn't do with MY money. This is why I hate and loathe PAY PAL. They "punished" me by holding my entire account...not even letting me close it and take MY money for 180 days. These companies who opperate like they were a mother in charge of children need put in thier place. I don't care if it is pay pal, a hospital, or the IRS....without a court order they shouldn't be allowed to touch your money. We are in the USA....not a third world country with play-by-the-seat-of-your-pants rules. 0 -
this was on medical bills. so its not like i ran up a bill on a credit card and didn't pay it. just couldn't pay the medical bills. i had been making the payments for quite some time but i got behind when the company i work for started doing layoffs. i was just starting to get caught up again and was contacting other collection companies setting up payment plans with them again and this had to happen. i'm tiered of trying to pay these off. if they dont want to work with me on this then i'm just going to file bankruptcy. witch is the last think i wanted to do but i have to be able to buy groceries and pay the electric bill. and this wasnt just some trip to the doctor this happened when the wife and i moved up here for a new job. she wasnt on my old policy and i had to work for the new company for 1 1/2 months before i could get on insurance thought he new job. me and my son were still covered under insurance from my old job but me and my wife weren't married yet. we got married two days before we moved up here. any way after being up here for two weeks she ended up in the hospital for two weeks with some weird throat infection and ran up a 10,000 dollar hospital bill. and that doesn't even cover the specialist bills. witch ran up another 5000. 0 -
quote:Originally posted by nunn
quote:tap dancing around debt is a crime.
Well....Now that ain't quite true.
Making a false statement to obtain credit is a crime. Hindering a secured creditor (from recovering encumbered property) is a crime. Fraud is a crime. Running up a bill with no intent to pay can be a crime, but impossible to prove.
Simply not paying a bill is not a crime, and if you don't believe me, just sashay into your local PD or DA's office and demand that they help you collect on a bill.
Some debt collection practices are criminal/bordering on criminal, and should be punished as vigorously as any credit fraud offense.
Of course, the way to avoid unpleasant/annoying/illegal debt collection practices is to simply not borrow money.
100% Correct! Not paying your bills is NOT a crime. You are under no legal obligation to pay back any debt. You should contact the Federal Trade Commission to inquire about violations of the fair debt collection act. If you have received a call from a collection agency, most likely they have broken the law. I dealt with these people every day for 4 years. They are scum of the earth and hired for that exact skill.
It is VERY important to RECORD every conversation with them. Don't tell them however. You can use this against them later when they break the law. Just play it back for them.
Typical violations that they all do:
Giving a false name
Representing themselves as an attorney
Saying they will do something that they either can't do or have no intention of doing
Make sure you get first and last name of the person you are talking with. Violations of the FDCA, when thrown in their face via recording, often lead to reduction or elimination of the bill.
In many cases, the collection agency bought the debt for .10-.50 on the dollar from the original creditor. They now own the debt and can negotiate for a very small amount. Typically if you offer a settlement, they will do it. Start at 25% of what you owe.
edit: Well actually, you do have a "legal" obligation to repay a debt, it is not a criminal offense not to, however.
PS your debts die with you. There is no "indentured servitude" in this country.0 -
Bankruptcy is not like it use to be where you put your assets on one side and your debts on the other and decide which assets you want to pay for and which one you want to let the creditor eat(Chapter 7.) Now if it is proved that you have any ability to pay then you are put on a repayment plan, thats the way they see it you can pay. This is very unfair for someone that has large medical bills, but someone who just lives it up should have to pay it back as it only costs all of us in the long run. 0 -
There is no DEBTORS PRISON:[:D]
Check your laws, you dont have to deal with a freakin collection agency.
Had one on my case back in 1972 just after I returned from Nam. They kept harrasing me with threats and calling me at all hours of the day and night . I talked to a lawyer and he told I didnt have to deal with a collection agency as they were not who I made the debt with and for me to offer the place I made the debt some rediculous amount of payment (which they refused) even gave me a letter saying the payment was not acceptable. Took it to the court and found out that refusal of any part of payment automatically cancelled the debt.
Here in Florida a couple attorneys advertise that they will take a harrasment case for you against collection agencies if they threaten you in anyway and make calls before 9 am or later than 8 pm.0 -
Depends on your state's laws, but in general they can put a lien on any asset they can find, and they usually start with your checking account. Depending on the state they can sometimes freeze withdrawals from the account until there a hearing is held to determine if they have a right of repayment, so the debtor doesn't take the money somewhere they can't get to it. But debt collection is very strictly regulated and in general debt collectors will be prone to ignoring these regulations in the assumption that they are dealing with someone who doesn't know their rights (which 99% of the time is a good bet). See a lawyer and you might have an out, or a cause of action against the collection company. 0 -
quote:Originally posted by Colonel Plink
quote:Originally posted by bigdaddyjunior
Anyone owes me money and isn't paying I just stop in for tea and crumpets. Most of these things are simple mis-understandings that can be cleared right up with personal communication. Like when you say "loan" and they hear "gift". It could happen to anyone, no biggie. Phone calls and letters are so impersonal and you don't really know if you are speaking to the right person or if they are understanding your meaning.
I have this mental image of you, hands the size of Virginia Hams and gold tooth gleaming as a wicked smile splits your bearded face, speaking in a low rumbling voice,
"So, what're we gonna do about this little mis-understanding?"
Then you take your size 14 boot off the guys' throat so he can answer...
I dunno. It's just what popped into my brain.
Except for the beard and gold tooth you are amazingly accurate, though I tend to change my beard, hair, weight and style of dress pretty often. I am just fickle that way.0 -
FDIC.
No court order to seize the funds....it's theft and FDIC insured.0 -
well i talked to a lawer about it today and he thinks he can get the hold released. so i set up a appointment with him to see what he can do. hope this works out. atleast i got the baby's food and medicain bought before hand. atleast two weeks worth. 0 -
quote:Originally posted by hk-91
well i talked to a lawer about it today and he thinks he can get the hold released. so i set up a appointment with him to see what he can do. hope this works out. atleast i got the baby's food and medicain bought before hand. atleast two weeks worth.
How much will the lawyer cost?
Did you try and work out a payment plan with the hospital or clinic?
We work them out every day. Usually $25-$100 a month.
CP0 -
yes i did i tried to offer then 100 a month and they said they would only take 175.00 put they won't release the hold on the account. they said there keeping that money. but the lawyer i talked to said he should be able to get it released. he's the same lawyer I'm going to talk to about filing for bankruptcy. it's only going to cost my 100 to have him try to get the money released.
quote:Originally posted by cpermd
quote:Originally posted by hk-91
well i talked to a lawer about it today and he thinks he can get the hold released. so i set up a appointment with him to see what he can do. hope this works out. atleast i got the baby's food and medicain bought before hand. atleast two weeks worth.
How much will the lawyer cost?
Did you try and work out a payment plan with the hospital or clinic?
We work them out every day. Usually $25-$100 a month.
CP0 -
I will almost guarantee that if they have a "hold" on a bank account, there is a judgment against you.
And some dummy here posted that there is no legal obligation to repay a debt? Jesus, I hope none of you listen to him. If there is a judgment, you are going to be F'ed.
If you never got served with the complaint, you have to move to set aside the judgment.
If you did and you just never answered, your best bet would be to file a motion for installment payments.
Filing for Bankruptcy over 15K is totally not worth it.0 -
quote:Originally posted by Jgreen
I will almost guarantee that if they have a "hold" on a bank account, there is a judgment against you.
And some dummy here posted that there is no legal obligation to repay a debt? Jesus, I hope none of you listen to him. If there is a judgment, you are going to be F'ed.
If you never got served with the complaint, you have to move to set aside the judgment.
If you did and you just never answered, your best bet would be to file a motion for installment payments.
Filing for Bankruptcy over 15K is totally not worth it.
Maybe you should read the whole post before you criticize!0 -
Slipgate is very accurate in his assesment. You do have rights and they will break the law because most people do not know it and are not willing to take their creditors to court. Fortunately, most creditors do not want to take you to court either because of the costs involved. Unless they are after a VERY large amount of money.
I have gone through it with collection agencies and a settlement company. I know them all too well. For some unfortunately hefty fees, a settlement company will negotiate with these people for you and likely settle it for less than the full amount. I had cards settled for 40 to 50%. They said cash advances are the hardest to settle for whatever reason, but credit cards are the easiest and then medical bills.
They will do anything to contact you and talk to you only because they know they can screw you. Collection agencies buy the debt for pennies on the dollar! Then keep charging bogus fees and interest from the previous creditor that has already written it off as a BAD DEBT so they get their tax break. They are done and have nothing to do with it now. Now the collection agency has their chance to make a fortune if you want to pay the full balance to get them off your back. Paying the full balance back now doesn't help your fellow GB'r members. It only lines the pockets of the collection agency.
Most people that haven't went through it don't understand how it works. And before people get on me thinking I made out like a bandit ripping these guys off....FALSE!!!! I paid their interest for years! They hooked me in college and I could never get off them. I am finally free now. All of the money did not go to the collection agencies but surprisingly, it ended up costing me almost the full balance of everything I started with, in the end anyway after all the fees. I was able to save money in the short term and it was at least better than bankruptcy and it does show up on your credit report as account paid in full for less than the full amount. Which is a lot better than bankruptcy. They also handled it for me.
IMO, the credit card companies and the collection agencies are the criminals. They're out of control and complaints to the FTC have gone up on them every year. If they aren't allowed to call at 8:00, they will call at 8:01. A couple times during the day and then again before the cut off time. They will call family members looking for you. Then every time a collection agency sells to another collection agency, the new one thinks they're going to set the world on fire so they start calling the same contacts the last one did, trying to find you.
Pay a lawyer or a settlement company to handle it for you. In general, it's not good to do nothing. Eventually, it will catch up to you.
Moral of the story to the young people on this board: Any credit card offer you get in the mail, you should send it right back to them and tell them where they can shove their 18% interest rates. Because you will be a slave to them for life for a few guilty pleasures in your youth, if you let them. Paying with cash gives you so much more actual BUYING POWER in the end. You have a lot of years to buy all the things you want. For the average person living on their own, paying back a thousand dollars takes a LONG time. Do not become numb to that concept. Do not make the credit card companies any richer. Once you owe, they can do whatevery they want including raising interest rates over nothing. If you pay on a balance too long, they can and will raise interest rates on you and you are stuck. The last payment they received from me was a (albeit distant) double birdie.0 -
quote:Originally posted by Johnnylikesguns
pay the danm bill if you do owe it. then get on with your life
Amen brother. My thoughts exactly.0
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