Promissory note and debt collection

[tbanks]

What is the name of your state? Washington

I'm trying to find out whether once you have a signed promissory note guaranteeing payment on a debt, and there's a default, would you still have to get a court judgment in order to begin debt collection via a collections agency against either a checking account or wages?

To clarify: the promissory note included a payment schedule, but I'm quite convinced that the person will fail to meet that schedule, and that this will go to a collections agency.

 

[seniorjudge]

...I'm trying to find out whether once you have a signed promissory note guaranteeing payment on a debt, and there's a default, would you still have to get a court judgment in order to begin debt collection via a collections agency against either a checking account or wages?....

Yes, you need a judgment before you can latch onto someone's property.

 

[tbanks]

Thank you tremendously for your answer to this. One additional question: presuming we have to get a court judgment, is that judgment then in the public record?

I've been advised to keep the matter confidential due to HIPAA, but would very much like to see something go into the public record on this matter.

Many thanks again for your advice.

 

[seniorjudge]

...One additional question: presuming we have to get a court judgment, is that judgment then in the public record? I've been advised to keep the matter confidential due to HIPAA, but would very much like to see something go into the public record on this matter....

Anything filed with the court (in general...there are narrow exceptions) is public information.

I am NOT a HIPPAA expert, but I didn't think it had anything to do with bill collecting. Ask whoever advised you of that to point out in that law what his concern is.

 

[tbanks]

I'm not a HIPAA expert either, to be honest, but apparently this relates to confidentiality in the employer-employee relationship. Or so I was advised.

Many thanks again for the information provided.

 

[hbreen]

While the records are public information, you do not, at least in my research, have to file anything that would violate the HIPPA laws. Most files I find have the Transcription of Judgment and that's it. But check with your local clerk's office to see what has to be included. You will want to keep the records, but I don't believe that you have to file it in the court.

HBreen
Judgment Recovery Specialist
South Carolina

 

[tbanks]

Thank you for your post. I also hope that the court judgment can be based off the promissory note, without bringing HIPAA-related matters into it. This will have to go through an attorney before we take any action, but it is useful to get some opinions on this in advance.