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Hi My Father Was Given A Credit Card Several Years Ago And Was Financially Unable To Pay It Off. Now He Has Been Served With A Court Date To Pay This Credit Card. He Does Not Own Anything And Is On Social Security, I Heard That There Is Nothing They Can Do To Him To Make Him Pay This Now. Please Help!!
You are correct, but with one exception.
If the creditor is granted the judgment, they may be able to attach his bank account without notice... that is, take all the money out of it up to the amount owed.
Have him go to court, plead indigency. If they get the judgment, then he should consider changing bank accounts in case the creditor knows of the account.
They might have a tough time collecting the disability unless, as the last poster suggested, the money is put into an account or used to purchase another asset.
The new bankruptcy law is going to make filing more difficult for people like him.
I've been sued by creditors... 6 years ago... they got nothing from me...
Having a bank account does not matter. Creditors cannot legally garnish a person's bank account whose only income is from Social Security benefits. Go to the Social Security website and check out Section 207 of the Social Security Act (42 U.S.C. 407). The only exceptions are child support/ alimony payments, IRS levies, and debts owed to a federal agency (such as DHS, SSA, etc.) Therefore, you do not have to change bank accounts; however, it is advisable to make your bank aware of this law as some might not be aware of it. That way it will save a lot of hassle in case you do get a garnishment against you. Same applies to SSI benefits too.Quote:
Originally Posted by ineedhelp94
The above user is correct, but the attny can hit accts that are co mingled with other funds.Quote:
Originally Posted by UmmaGumma40
The social security dept. has partnered with many banks around the nation to provide what are called ssaeta accts. It has a special meaning with ssa in front of it. Remember the process you can get caught up in is that most banks are more afraid of not complying with court orders. And they will turn the money over. You will have to let the attny or sheriff know,, and if the money was comingled, it is not protected.
I answered this in detail in another thread where a 95 yr. old senior was being sued.
Please use your search engine, etasocialsecurityaccounts and you should find the social security site that provides the service. They will ask for a zip code, and then provide you with the banks that provide the service in your area.
It is important again, where the junkbuyers get by, is when they get these judgements and hit co mingled accts. They will make errors, in responding going past the time frame allowed to prove that social security funds involved, and this is with a regular account, not co mingled, but with a bank more afraid of court orders then protecting seniors social security income.
Receiving disability, any type of s.s. please, open a sseta approved accound and do not co mingle any money w/it. If you have not had problems w/checking accts they will usually give you a checking account too. Keep that balance low, and not co mingled. These debtbuying attorneys can be ruthless.
This is not legal advice. I worked for some of these attorneys, some were good, some were,, lets say questionable. Again, not legal advice, I've been on both sides of the fence, and now that I receive s.s. benefits, it is in a bank that will not honor a judgement for a credit card.
Get the word out. I was at my old bank which I had argued with for months, and overheard a couple complaining that their account had been cleaned out. That it was Soc. sec. She was explaining on how to contact the Sheriff's office, I wanted to interrupt, but,,
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