I am currently collecting unemployment. And just in the past two weeks I have had two judgments placed against me. This is what has got me started on my credit repair. I wish I would have done this about two years ago. Financila Credit LLC has sent me a Notice of Court Proceeding to Collect Debt. They are of course asking for payment to avoid garnishment. What type of letter and or info should I send them to inform them I am collecting unemployment.
I would recommend reviewing your state statutes regarding garnishment exemptions. If you can't find the information online, go to the courthouse and ask for a garnishment exemption form. It will give you the information you are looking for. You can then write a more informed response to any creditor letting them know that a wage garnishment won't yield them anything right now. Just for your information though, most states allow plaintiffs to examine defendants under oath about their finances and property. They can also demand that you bring documentation with you to court. Even if you write a letter to the creditor, they can move forward with this process just to make your life difficult.
One last point, if you receive a summons to appear in court to answer questions about your finances, don't ignore it. You can go to court and tell the judge or creditor that you don't currently have any non-exempt property to satisfy the debt. I see people ignore these every week. Ignoring them gets you in trouble with the court. They won't even care about the case anymore--they will be angry that you ignored the court order.
