[seeking solutions]

Hi. I checked my bank account balance online a couple of days ago and found out that I had a negative balance of almost $6,000. I thought, well the bank has just merged with another bank and maybe there are some technical problems, so I gave it about 12 hours and then I called the bank. The lady from the bank informed me that I have a judgement against my account and she gave me what information she had, such as court location, attorney name and the creditor. Turns out that it is an old account for a credit card that I got behind on in 2002 (after being on maternity leave)and at a later date, I tried to resolve the past due payments, but I was told (by someone at Citibank) that they couldn't work anything out with me. So ever since then, I haven't ever tried to re-assume the debt, because they weren't willing to work with me. About 2 years ago, my wages were garnished for this same account, and they recovered about 7 months worth of Garnisment payments. I changed jobs 1 1/2 yrs ago and now they are after me again. I am considering filing bankruptcy because of this, and even though I really don't want to, I don't know what other choices I have. The problem I have is that I was also behind on some student loans, and I went into a repayment agreement with them and am about 1-2 payments away from meeting that agreement, and getting things back on good standings. But part of the repayment plan required me to provide them with a bank acc't for electronic payments. Now that my account is frozen, these last few payments won't be made on time and that will only cause me more problems. I need quick answers to know how to solve this problem. Should I open another account for those student loan payments, while I resolve this issue? Some information that might help, is that the lady at the bank told me that the debit for the judgement won't actually "hard" post until October 2008. Is this common procedure?
Thanks for your time and dedication to those in need of answers.

seeking solutions

[Fr_Chuck]

If you open a new account, they will merely garnish it as soon as they find it. * since they normally run a credit check when you open a bank account, they will find it shortly. ( normally if they want to bad enough)

[seeking solutions]

Hi. I checked my bank account balance online a couple of days ago and found out that I had a negative balance of almost $6,000. I thought, well the bank has just merged with another bank and maybe there are some technical problems, so I gave it about 12 hours and then I called the bank. The lady from the bank informed me that I have a judgement against my account and she gave me what information she had, such as court location, attorney name and the creditor. Turns out that it is an old account for a credit card that I got behind on in 2002 (after being on maternity leave)and at a later date, I tried to resolve the past due payments, but I was told (by someone at Citibank) that they couldn't work anything out with me. So ever since then, I haven't ever tried to re-assume the debt, because they weren't willing to work with me. About 2 years ago, my wages were garnished for this same account, and they recovered about 7 months worth of Garnisment payments. I changed jobs 1 1/2 yrs ago and now they are after me again. I am considering filing bankruptcy because of this, and even though I really don't want to, I don't know what other choices I have. The problem I have is that I was also behind on some student loans, and I went into a repayment agreement with them and am about 1-2 payments away from meeting that agreement, and getting things back on good standings. But part of the repayment plan required me to provide them with a bank acc't for electronic payments. Now that my account is frozen, these last few payments won't be made on time and that will only cause me more problems. I need quick answers to know how to solve this problem. Should I open another account for those student loan payments, while I resolve this issue? Some information that might help, is that the lady at the bank told me that the debit for the judgement won't actually "hard" post until October 2008. Is this common procedure?
Thanks for your time and dedication to those in need of answers.

seeking solutions

Thanks for responding to my question, but I still don't know what my options are. I figured that they will eventually find that account, but I really am short on time and need to make other arrangements for my student loan payments. Also, I read several posts regarding several issues and I think I would like to take action to try to have the judgement dropped. But I'm not sure if it is tooo late, since there is already a judgement.

Any help??

Still seeking solutions

[George_1950]

Bankruptcy is a serious matter and you need a competent lawyer to review your creditors' claims, your budget, your income, and your property before making an informed decision. This will include your spouse, if you are married, although the spouse does not have to file with you.
You wrote: "Some information that might help, is that the lady at the bank told me that the debit for the judgement won't actually "hard" post until October 2008. Is this common procedure?" I have no idea what this means.
How much do you stand to loose from your account that was garnished?
If you are not filing bankruptcy, then open an account at another bank.
One of the advantages of filing bankruptcy is that the creditors are 'stayed' from pursuing you and your property without first getting permission from the bk court. If you file before your money is paid over to the garnishment court and your funds are still at the bank, your attorney may be able to get them returned to you. The funds must be claimed as 'exempt' on your bk paperwork.