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    t0W1111nG's Avatar
    t0W1111nG Posts: 1, Reputation: 1
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    #1

    Jul 15, 2008, 05:20 AM
    I have a signed paper of money owed me, how do I collect?

    I have a signed paper, from a 'friend', of money that I loaned to him (approx. $3,000). He keeps saying he will pay but doesn't. He is part owner on land that is going to be sold. I have been told that I can put a lien on the land so that it cannot be sold until I am paid, but I can not seem to find out how to do this. This seems to be the only sure way of getting my money as I have found out that this person does not hold a job for very long and spends his money on drugs. Any suggestions without this being very costly on my end?
    tickle's Avatar
    tickle Posts: 23,796, Reputation: 2674
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    #2

    Jul 15, 2008, 05:33 AM
    If someone owes you money and you cannot collect then it is necessary to get a court order before you can attach any of their assets. All states have a small claims court with fairly simple procedures and forms that you can file yourself without retaining an attorney. However, in many cases it is adviseable to at least consult with an attorney so you can be sure to follow all of the rules.

    Small claims courts are limited in the amount they can award so you will need to check with the local magistrate since each state is different. Once you prevail in court you will then have to file a judgement and attempt to collect according to the laws of your state. Many people think that the court will collect for them but this is incorrect.

    If the amount is over the small claims limit you will have to file in a higher court or either settle for the small claims limit. If you decide to go to a higher court then it is best to retain an attorney to assist you.

    Have you tried retaining an attorney to write them a demand letter? This will usually cost you less than $200 and is often very effective in collecting past due accounts.
    N0help4u's Avatar
    N0help4u Posts: 19,823, Reputation: 2035
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    #3

    Jul 15, 2008, 05:35 AM
    You need to go to small claims court and get a judgment against him.
    What state do you live in?
    In some states the maximum you can sue for in small claims is $3,000.00
    Rhode Island is even less.
    Some you can up to as much as $15,000.00
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
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    #4

    Jul 15, 2008, 05:43 AM
    If you know the land is on the market, then you have to move quickly. First you need to file in a court (Small claims if you meet the requirements) to obtain a judgement against the borrower. Next you have to file a Lis Pendens against the property with the County Clerk. This serves notice that there is pending litigation involving the property. So it can't be sold until that litigation is resolved.

    Then you go to court and obtain a judgement against the borrower. Assuming you do (and if you have a signed note, no reason you shouldn't) then you ask the judge to issue a writ of attachment so you can file a lien against the property.
    XHIONZMOM's Avatar
    XHIONZMOM Posts: 15, Reputation: 1
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    #5

    Jul 15, 2008, 08:54 AM
    I Was Told U Can Subpoena 3 Major Banks To Find Out If They Have Accts There And Then Get Your Money.
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
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    #6

    Jul 15, 2008, 10:48 AM
    Quote Originally Posted by XHIONZMOM
    I Was Told U Can Subpoena 3 Major Banks To Find Out If They Have Accts There And Then Get Your Money.
    Where did you hear this? As for as I know you can't go on a fishing expedition. You have to find their assets yourself. A court is unlikely to issue a subpeona like that.
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