creditor emptied checking account

[mrswright]

What is the name of your state (only U.S. law)? Idaho

Today my husband received a call from our bank saying that an old creditor would be taking every penny from our checking account, minus our pending debits (to total around $1900). We have been attempting to work with this creditor, but at times it has been hard and we haven't always been able to make timely payments. I guess once you're in debt it just keeps getting worse. We were NEVER notified that they would be garnishing wages let alone seizing our entire bank account. Can they do this without serving us first?? We can't even afford to buy groceries for our three kids now. Is there anything we can do to get some of the money they took back and pay the rest when we can?

 

[Proserpina]

What is the name of your state (only U.S. law)? Idaho

Today my husband received a call from our bank saying that an old creditor would be taking every penny from our checking account, minus our pending debits (to total around $1900). We have been attempting to work with this creditor, but at times it has been hard and we haven't always been able to make timely payments. I guess once you're in debt it just keeps getting worse. We were NEVER notified that they would be garnishing wages let alone seizing our entire bank account. Can they do this without serving us first?? We can't even afford to buy groceries for our three kids now. Is there anything we can do to get some of the money they took back and pay the rest when we can?

If the creditor is the IRS, or CSE, then they're not legally required to give you further notice before levying your assets.

If not, the creditor would have to obtain a judgment first.

Are you saying that you never received any notice at all that there was a judgment?

 

[mrswright]

If the creditor is the IRS, or CSE, then they're not legally required to give you further notice before levying your assets.

If not, the creditor would have to obtain a judgment first.

Are you saying that you never received any notice at all that there was a judgment?

We were paying the account off through a lawyer but we never received anything from them showing that they could levy our assets.

 

[justalayman]

did the bank?

 

[Proserpina]

We were paying the account off through a lawyer but we never received anything from them showing that they could levy our assets.

That didn't answer my question


Is there a judgment against you?

If there is, even if you have a payment arrangement if you have not made the payments on time they can - very often - levy your assets without further notice.

In fact, quite often the writ of levy/garnishment is issued at the same time as the judgment.

 

[Proserpina]

did the bank?

Ima guess "yes"

 

[mrswright]

That didn't answer my question


Is there a judgment against you?

If there is, even if you have a payment arrangement if you have not made the payments on time they can - very often - levy your assets without further notice.

In fact, quite often the writ of levy/garnishment is issued at the same time as the judgment.

I am not sure if there is a judgment for this debt. I know that it was in the hands of an attorney but I was never aware that it had gone as far as a judge, although I could be (and most likely am) wrong.

And, yes the bank did notify us. AFTER the money was taken out. We were not once informed that this was happening until after the fact.

 

[Proserpina]

I am not sure if there is a judgment for this debt. I know that it was in the hands of an attorney but I was never aware that it had gone as far as a judge, although I could be (and most likely am) wrong.

And, yes the bank did notify us. AFTER the money was taken out. We were not once informed that this was happening until after the fact.

So when you asked the attorney about this, what did the attorney say?

 

[mrswright]

So when you asked the attorney about this, what did the attorney say?

They're closed for the day, so we didn't get the chance to talk to anyone except for the person who called from our bank. If there isn't anything I can do about this then I guess I will have to accept it because the debt is one we owed. But, it doesn't seem like it should be legal for them to take everything at once. Maybe it is and in that case I guess I will just have to feed my kids ramen noodles and hotdogs until pay day (you live and learn). But if it isn't I really need to know what action I can take to get part of the money back and they can take the rest later!

 

[Proserpina]

They're closed for the day, so we didn't get the chance to talk to anyone except for the person who called from our bank. If there isn't anything I can do about this then I guess I will have to accept it because the debt is one we owed. But, it doesn't seem like it should be legal for them to take everything at once. Maybe it is and in that case I guess I will just have to feed my kids ramen noodles and hotdogs until pay day (you live and learn). But if it isn't I really need to know what action I can take to get part of the money back and they can take the rest later!

...this is why you need to speak to the attorney.

We cannot see or read the papers, nor do we know the details

 

[mrswright]

...this is why you need to speak to the attorney.

We cannot see or read the papers, nor do we know the details

I cannot see or read the papers either because we did not get any. I was planning on talking to the attorney first thing tomorrow morning, I just planned to be armed with a little bit of knowledge about my rights in this situation. Thanks for trying though

 

[Proserpina]

I cannot see or read the papers either because we did not get any. I was planning on talking to the attorney first thing tomorrow morning, I just planned to be armed with a little bit of knowledge about my rights in this situation. Thanks for trying though

Nah, I understand where you're coming from.

However I suspect you're going to be hit with bad news in the morning; I think you're going to find out that yes, there's a valid judgment against you and yes, the levy was legal.

Good luck though. Hopefully you can find a way to pay off your debt while keeping the kids fed.

(for what it's worth...ramen and hotdogs are a staple of college students everywhere. The kids will be fine )

 

[Antigone*]

it is almost a certainty there is a judgement. If that is the case the levy is valid.

The bank does not have to give you prior notice. In fact it was very nice of the bank to call you. Business as usual would be a copy of the levy and a notice of the fee the bank has charged you for processing the levy in the mail.

 

[Proserpina]

it is almost a certainty there is a judgement. If that is the case the levy is valid.

The bank does not have to give you prior notice. In fact it was very nice of the bank to call you. Business as usual would be a copy of the levy and a notice of the fee the bank has charged you for processing the levy in the mail.

(OT: Glad you're back tonight )

 

[CourtClerk]

FYI... they don't give you advanced notice that they will be draining your account next Thursday so you'll have plenty of time to take all of the money out of the bank.

The point is for it to be a surprise so they can finally get paid.