The debt is under $2000. and I have been paying down the debt snice 2004. Now I am receiveing phone calls and letters on my job threathening legal action. I have not stop paying them. I have at times sent various amounts, but never not anything at all. Please advise on if they will/can sue and garnish my wages? Is there anything I can do?
2007-11-13 05:19:14 · 6 answers · asked by Vicki 1 in Politics & Government ➔ Law & Ethics
Under the Fair Debt Collection Practices Act, a creditor may not threaten court action unless he/she actually intends to do it. If you have a debt with them they can sue. Whether they will do so depends on whether they are authorized to do so by their client.
As was mentioned earlier, I would send them a letter, certified, return receipt requested, and tell them that you will communicate ONLY with them by correspondence. Then, you set up a payment plan with them, and STICK TO THE PLAN. You may also be able to negotiate a lump sum payment, depending on the circumstances.
Depending on what other bills you have out there, you may want to consult an attorney who deals with debtors issues. For a referral, contact your local or state bar association.
2007-11-13 05:57:35 · answer #1 · answered by Phil R 5 · 0⤊ 0⤋
You must pay and if they go to court and get a judgment they can garnish your wages. Only bankruptcy can wipe out the debt.
The fact that you are paying "something" each month does not stop them from going to court to collect the debt. That's an old urban legend.
What you can do is demand that they stop calling you at work. Send them a certified letter, return receipt requested, and tell them that you are not allowed to have phone calls from them at work and under the terms of The Fair Debt Collection Practices Act you demand they stop calling.
Read your rights here...
http://www.ftc.gov/os/statutes/fdcpa/fdcpact.htm
What you should do is work out a payment plan with them that you both can live with. Tell them that if they fail to work with you you'll seek the court's protection under Chapter 13 of the bankruptcy law in which case a judge will tell them how much they've got coming and the terms under which they'll get it.
The absolute worst thing you can do is to ignore it if they file a court case against you. If you ignore it they'll get a judgment by default and tack on thousands in extra fees. With the judgment you are stuck. If they file in court contact a bankruptcy attorney immediately.
2007-11-13 13:38:54 · answer #2 · answered by Yak Rider 7 · 0⤊ 0⤋
There is nothing you can do to stop them from filing suit to recover the debt. That is their right.
HOWEVER, there IS something you can do to stop them calling or harassing you. Send them a CERTIFIED (RRR) letter demanding validation of the debt. You can find examples on the internet.
IF they then call you or contact you in any way, you have a valid Federal claim for violation under FDCPA.
2007-11-13 13:24:59 · answer #3 · answered by hexeliebe 6 · 0⤊ 0⤋
This is classic collection agency procedure. As long as you are making an attempt to pay it back, the court (should they file and I doubt it) would take this into consideration.
2007-11-13 13:25:42 · answer #4 · answered by sensible_man 7 · 0⤊ 0⤋
they can garnish your wages, but only after a court order - they may just be using scare tactics to try to get you to pay it off faster. all you can do is wait to see if they file in court & then you get a chance to respond.
2007-11-13 13:22:46 · answer #5 · answered by jack spicer 5 · 0⤊ 0⤋
No that can't garnish your wages unless it's a goverement agency. As long as you're paying there's nothing they can do...but they will make threats. However, I would seek advice from a lawyer to see if you can get them for harassing you on your job. Good luck!
2007-11-13 13:27:32 · answer #6 · answered by Anonymous · 0⤊ 2⤋