Please keep in mind this is my only loan ever, I am completely volunerable because I knopw absolutely nothing abou tbanking, loans, or anything in this area. So please explain to me as if I were a child or something. Thanks for help!!! In 2002, I took out a 5.000 dollar loan. With interest I now owe 8,000 dollars!!! I made payemnts for a few months regularly, and on time. Shortly, thereafter I became disabled, and since then until now have been completely unable to pay this back, or make any type payment. My budget is strapped to the max as it is. So I ended up moving, and gladly forgetting about this for the most part until they found me. A collection agaency had been hired, and has done every trick in the book, including talking to my ex husband.who was long ou tof the picture before this loan was made. So when they called, they started with all of the talking, and once they said they'd been talking wiht my ex, I immediately unplugged the phone. I felt violated, and felt they could not be trusted to confide any more info about myself too, or resolve this matter with. because, I didnt like the dirty bird practices of being in contact with my exx on such personal matters. I am now on SSI Supplemental Securty Income. I get 567 or so a month, food stamps, and that is all I live on. Here is my questions. First of all, any advice would be welcome. Second of all, Can they garnish government ssi wages. SSI wages are not even close to as much money as regaular disabilty people receive on regualr disability. Is bankruptcy my only choice here. If so, which chapter do I choose with least amount of damage. I am in apt, I own nothing but an older car. Can it get written off? Who do I contact? I dont want to go through the collection agency. They have already lost my trust, I think they wont advise me to my benefit at all. Oh, I was told years ago, by just a random comment by someone that after 7 yrs they would write this off. Others say no, it will just get bigger bigger as of now a 5.000 is now 8,000. I am a mother, and my son only has me to depend on. I am scared. Please advise me, before I get the nerve to plug the phone back up, and face this. We are in NC btw. Thanks so much! If any of you prefer to e-mail me please do here at me4evame@yahoo.com Thanks again anybody!!!
SSI payments, are exempt from garnishment. If you own no real property, or car, you are basically "judgment-proof", and don't need to declare bankruptcy If the SOL for collecting on this debt has expired, and you have not been sued then it is a valid defense if they attempt to sue you in the future that the SOL has lapsed
One thing Not everyone on full disability is getting more than the SSI payment amount, there are a lot of people who get full disability, and SSI to bring them up to the same amount that you get a month (plus a whole $20 because the first $20 of the SSDI isn't counted as income for the purposes of determining the SSI amount.) Now, on to your questions... http://www.carreonandassociates.com/articles/statute.htm#North_Carolina From the SOL that I found, Open & Written Accounts are 3 years, only Sale of Goods is 4 years. Were you in NC when you took out the loan? If you were in another state when you took out the loan, then the CA or OC could attempt to get a judgement in that state (depending on their SOL), and then sue you to attempt to enforce that judgement in NC which has a 10 year SOL on the judgements (both Foreign and Domestic). If you were in NC at the time the loan was taken out, or that states SOL has expired as well, you only need to send the CA one thing, and hopefully they'll disappear, permanately. In the post in my signature, you'll see a link to WhyChat's site, there is a letter their which is to notify the CA that the alleged debt is time-barred (outside of the SOL), and that they are being told to cease collection activities on the alleged debt. If they decide to attempt to file a knowingly time-barred suit against you, you are judgement-proof, and your only wages are exempt from garnishment, and you have a defense to the debt, that it is outside of the SOL.
You don't want to talk with them on the phone, the phone is their weapon. Get their address, and do all communications with them in writing. CA's lie, they cheat, and if they think that they can get away with it, they steal. They can tell you almost anything on the phone, but you don't have proof, the only way you have proof of what is going on, is if you force them to put it into writing. That's if the account isn't 100% time-barred, where you can just tell them to go to one of the nice NC beaches and pound sand...
First of all, thank you so kindly for replying with advise. Okay a few things I am still unclear on, forgive me, I warned I was not well versed in this stuff. #1. What if the SOL is not expired, and they sue? #2. Once you get a judgemnt against you, is it 7 years from the day you get a judgement until you have you slate wiped clean, or 7 years from the day the loan was made still? #3. The interest on this keeps goin up. When will this stop? after 7 years? Do I need to or have to tell collection agency anything, can I just avoid them and if I manage too avoid them have my slate still wiped clean after 7 yrs, and then the interest stops because the whole loan is wiped off? #4. So bascially. just knowing I cannot pay, and knowing if I had too I could prove I could not pay, is it safe to just avoid the collection agents if possible, and let time take care of this? I am just trying to find out if I have overlooked ANY thing that they might have the power to do to me. When will the interest stop? Kinda see where I am still unclear, please explain further for me. I really appreciate all you have said so far. Is it necessary to say anything to, or write in anything to collection agents? I'd prefer to avoid them altogether.
Yes, I was in NC when I took the loan, but the loan was done over the phone from an out of state source.
Oh and btw, I have no idea what the time barr is on the loan. I go the loan over the phone along with a computer, that was a deal they had going. I never signed anything, but the check, and then got the pc in the mail. What is the WORST CASE SCENERIO, you could think of. This was done way back when peoplepc had that free pc with internet deal, then I was offered a loan and took it. I guess they just went off the info people pc had on me to give me loan. Hope that helps, i dont know of the fine print. what would be a worst case scernerio? I want to cover all of my bases. MBNC or MNBC something like that did the fiancning for Peoplepc in 2002. I just dont want 15 years from now somebody say I owe 30,00 dollars from the interest on this thing, that I had supposedly thought had been written off because 7 yrs had passed.
Ok... It looks like, you'ld still be within the SOL. If you fell behind in 2002, the month you fell behind in 2005 would be the SOL. If they decide to sue, you are essentially judgement proof. Since, you have no income which can be garnished under federal law. Judgements don't have a seven year period... Judgements can still be reported as long as the judgement is in effect (and after as a satisfied judgement), and in most cases, judgements can simply be renewed (NC judgement SOL is 10 years, if they can be renewed, they simply go through the process of suing you again to renew the judgement, and the new judgement could be on your report for another 10 years). They will keep trying to charge interest, just because their tradeline disappears after 7 years, they'll keep trying to charge interest, and they will keep trying to collect. The SOL is the first time-frame which you'll come to, if once you know that the account is safely in the SOL, you send them the time-barred letter, then, and hope that they crawl away, taking their trade line with them. It doesn't matter where they are, only where the debt commenced, and/or where you currently live. And the fact that there is no written agreement actually *HELPS* you here, since if there is no written agreement, where the debt was commenced is taken off the table, and they can only sue you in your current jurisdiction. From the FTC Commentary on the FDCPA. http://www.ftc.gov/os/statutes/fdcpa/commentary.htm [blockquote]"SECTION 811 -- LEGAL ACTIONS BY DEBT COLLECTORS Section 811 provides that a debt collector may sue a consumer only in the judicial district where the consumer resides or signed the contract sued upon, except that an action to enforce a security interest in real property which secures the obligation must be brought where the property is located. 1. Waiver. Any waiver by the consumer must be provided directly to the debt collector (not to the creditor in the contract establishing the debt), because the forum restriction applies to actions brought by the debt collector. 2. Multiple defendants. Since a debt collector may sue only where the consumer (1) lives or (2) signed the contract, the collector may not join an ex-husband as a defendant to a suit against the ex-wife in the district of her residence, unless he also lives there or signed the contract there. The existence of community property at her residence that is available to pay his debts does not alter the forum limitations on individual consumers. 3. Real estate security. A debt collector may sue based on the location of a consumer's real property only when he seeks to enforce an interest in such property that secures the debts. 4. Services without written contract. Where services were provided pursuant to an oral agreement, the debt collector may sue only where the consumer resides. He may not sue where services were performed (if that is different from the consumer's residence), because that is not included as permissible forum location by this provision. 5. Enforcement of judgments. If a judgment is obtained in a forum that satisfies the requirements of this section, it may be enforced in another jurisdiction, because the consumer previously has had the opportunity to defend the original action in a convenient forum. 6. Scope. This provision applies to lawsuits brought by a debt collector, including an attorney debt collector, when the debt collector is acting on his own behalf or on behalf of his client."[/blockquote] The interest will keep accrewing indefinately, but once the account has hit the SOL, they can not legally sue you, and win, as so long as you raise the Statutes of Limitations as your defense to their claims. It's up to you how you decide to proceed... Does your ex still live at the address/phone which you had when you opened the account? If yes, then that is how and why they contacted him, since that would be the address/phone that they had for the account. They are allowed to talk to third-parties for the limited reason of finding out where you currently are, if they went beyond that, and you have proof, then they violated the law.
Ok, first point. I made this loan after my divorce from ex husband. He lives in VA we divorced in 1998. I made loan living in NC, where I still am. It really scares me that this loan can keep on adding interest indefiantely. This sounds like it will haunt me forever. Right now I owe 8,000, and everyone tells me to not worry because I am not judegemnt proof, but what if one day I get to own a little something, and by then they catch up to me saying I owe 50,000 or some big number?? I really do have something to worry about dont I? Shouldnt I file bankruptcy just to stop interest? That interest is gonna haunt me for years. What if they do not decided to sure me for another couple years, and then I get a judgment that keeps getting renewed for longer and longer, I dont want to owe great big dollars, that really scares me. How can I not worry? What am I missing, or not understanding that people say I have nothing to worry about, does that just mean "right now", and it does not apply to not worry for later. Will it get me later? I am sorry fo rall the questions. I am a very simple person, very scared. Thank you.
Ok, first point. I made this loan after my divorce from ex husband. He lives in VA we divorced in 1998. I made loan living in NC, where I still am in 2002. It really scares me that this loan can keep on adding interest indefiantely. This sounds like it will haunt me forever. Right now I owe 8,000, and everyone tells me to not worry because I am not judegemnt proof, but what if one day I get to own a little something, and by then they catch up to me saying I owe 50,000 or some big number?? I really do have something to worry about dont I? Shouldnt I file bankruptcy just to stop interest? That interest is gonna haunt me for years. What if they do not decided to sure me for another couple years, and then I get a judgment that keeps getting renewed for longer and longer, I dont want to owe great big dollars, that really scares me. How can I not worry? What am I missing, or not understanding that people say I have nothing to worry about, does that just mean "right now", and it does not apply to not worry for later. Will it get me later? I am sorry fo rall the questions. I am a very simple person, very scared. Thank you.
Ok, first point. I made this loan after my divorce from ex husband. He lives in VA we divorced in 1998. I made loan living in NC, in 2002 where I still am. It really scares me that this loan can keep on adding interest indefiantely. This sounds like it will haunt me forever. Right now I owe 8,000, and everyone tells me to not worry because I am judegment proof, but what if one day I get to own a little something, and by then they catch up to me saying I owe 50,000 or some big number?? I really do have something to worry about dont I? Shouldnt I file bankruptcy just to stop interest? That interest is gonna haunt me for years. What if they do not decide to sue me for another couple years, and then I get a judgment that keeps getting renewed for longer and longer, I dont want to owe great big dollars, that really scares me. How can I not worry? What am I missing, or not understanding that people say I have nothing to worry about, does that just mean "right now", and it does not apply to not worry for later. Will it get me later? I am sorry for all the questions. I am a very simple person, very scared. Thank you.
