My former tenant owes me over $1600. We appeared before a judge and he ruled in my favor. She, not surprisingly, has not paid. What can I do now to collect the money? Is there any way other than sending it to a collection agency and losing up to 50% of the money to them? I know where the tenant is living, and where she works. We are located in PA. Any help would be great. Has anyone successfully collected money after a judgement was made in their favor?
Thanks!
2007-01-22 13:49:49 · 11 answers · asked by Emily 2 in Business & Finance ➔ Renting & Real Estate
Yes, winning a judgement is only the first step in actually collecting. First, realize that collecting 50% is better than collecting nothing, so a collection agency may not be your worst bet. Actually, the amount of your judgement is low enough that even a lot of agencies won't take the case because it's not worth their time.
Depending on your jurisdiction, you may have other options available to you to collect:
1) If your former tenants have their own business, you can hire a marshall/constable/applicable law enforcement officer to go to the business and take money from their till. You have to pay a fee for each visit.
2) If your former tenants receive wages as salaried employees and you can find out who their employers are, then you can garnish their wages so that a portion (up to 25%) of their wages are taken out and sent to you. Unfortunately, the law may require that they be notified ahead of time, and they may quit and get another job before you begin to collect - then you have to start all over again.
The legal system does not make it easy for you to collect - for only $1600, it's probably worth it to just leave hire a collection agency on contingency, leave the headache of collecting to them, and just take a percentage of the total. Also, especially if your former tenants are of limited means, you should expect that the collection will take a while - maybe up to a year or two.
2007-01-22 14:16:02 · answer #1 · answered by Marko 6 · 0⤊ 0⤋
1. You have a judgment. Make sure it is filed in the county records. See if you can file in other counties where you think the person has assets.
2. With a judgment you can get the wages garnished. This means her employer has to send you a check with the amount deducted directly from her wages each pay period. Rather than have the company do this she might pay up. Or they will quit and then you need to go to the next place of employment.
3. Consider settling for less. If you are going to sell it to a collection agency for 50 cents on the dollar see if you can get the lady to pay more if you give her a discount.
4. A judgment will run out after a period of time. Find out how long that is. It could be 5 years. You then refile to extend. The debt would still be valid but the court notice of a judgment is what is expiring.
2007-01-24 05:59:22 · answer #2 · answered by Anonymous · 0⤊ 0⤋
You understand right. Details vary by state but the principle is basically the same. If you rent by the month you owe the entire month, even if you move out early. If you rent by the week, you owe the entire week, etc. Most states require you to make a "reasonable effort" to find a new tenant to cover the remainder of the month and, if you find one, you can't charge both tenants rent for the same time. However, you're just required to make a reasonable effort (like an ad in the Sunday paper). If you don't find a new tenant to move in before the end of Sept, and that happens all the time, she's on the hook for the entire month's rent. The issue with the keys varies a bit more from state to state. Have you tried looking up your state's landlord/tenant laws on the internet? Most states have a definition in their laws of when a tenant is considered to have vacated and once they have vacated you are free to change the locks. In my state you would be able to do that now but I can't say for sure about your state.
2016-05-23 23:29:04 · answer #3 · answered by ? 4 · 0⤊ 0⤋
The court order is not a suggestion. When you took them to court they should have put a stipulation on how long the tenants have to pay. It's usually 30 days form the court date. Obviously this person is having a hard time coming up with the money. So--you've got some options. You can definitely report them to a collections bureau. My guess is that if a judge can't get them to pay a collections agent calling won't do the trick (and you're going to lose money like you said).
Legally you can't go up to a persons job and harass them (howerver so politely). You can however go back to court. I know it didn't do much the first time, but this time you can request a garnishment of wages. If you know the person works you know the person gets a paycheck. You're owed the money. And if it costs you money in court cost you can tack that on to what they already owe you. Worst case you have to pay for it yourself, but you're doing tha anyway.
Garnishment is probably your best bet and I would also report them to the credit bureau. That prevents them from being able to scam other renters.
Get your paperwork together (mortgage, deed, title, rental agreement, court documents)
Good Luck.
2007-01-22 14:10:54 · answer #4 · answered by dapoetic1 3 · 1⤊ 0⤋
Sometimes putting it into collection works very well. After all 50% is better than zero. Sooner or later the tenant will want to do something that requires them to clean up their credit and you will benefit. For now, just write it off, put it into collection and find a good tenant.
2007-01-22 14:04:45 · answer #5 · answered by Othniel 6 · 0⤊ 0⤋
best thing to do is what has already been mentioned- call the court back, and set up a garnish/payment plan. basically, you will get part of your former tenant's paycheck each week...sort of like child support.
do NOT give it over to a collection agency....you will get all of your money back...it just may take a while...
2007-01-22 14:00:40 · answer #6 · answered by Anonymous · 0⤊ 0⤋
I don't know if you could but you need to place it to collections if you make their credit bad they will have to pay you. If you had to evict that tenant then you can put an eviction on there credit report and they won't be able to get a place to stay any where until they pay you and get that off there credit unfortunately this is my situation.
2007-01-22 15:36:44 · answer #7 · answered by unique 1 · 0⤊ 0⤋
Can you possibly go back to court with the judgement in your favor and request a wage garnishment?
2007-01-22 14:02:30 · answer #8 · answered by ms p 1 · 0⤊ 0⤋
contact the judge that you had in court and tell them that the tenant hasnt paid and they will set up a garnishment and you will get all of your money plus court costs
2007-01-22 13:57:51 · answer #9 · answered by punkins_wife121705 2 · 0⤊ 0⤋
Go back to court and ask for a wage garnishment order. They will take it out of her pay. Don't be in a hurry, this can take a while.
2007-01-22 13:58:31 · answer #10 · answered by Bruce H 3 · 0⤊ 0⤋