MY BANK ACCOUNT HAS BEEN FROZEN BY A DEBT COLLECTOR AND I NEED SOME ASSISTANCE ASAP...

[djransom]

I made a cash deposit in my bank account today and then I head to my job cafe to use my debit card only to find that there are no funds available. I come back to my desk and noticed that my accounts have all been cleaned out for a debt that I irresponsibly ignored. I call the lawyers office and get a very nice lady who was able to assist me. She provided me with 2 options at this point and that's either pay the entire balance and they will remove the levy from my account. She also advised me that I can contact Bank of America and see if they will fax back over the paperwork ASAP and she can have me back in court by Tuesday to work out the arrangements otherwise I would be out of luck until August 19th. The balance of the debt is $1530. I had about $1100 or so in the bank. What would be my best approach at this stage of the game? Thanks in advance.

[gweedoh]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

[djransom]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

 

Yes I'm guilty of the such. I've told the collector that I'm willing to pay the balance.

[melikey]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

 

Yes I'm guilty of the such. I've told the collector that I'm willing to pay the balance.

I could be wrong but I think you are out of luck on this one. You should probably pay the remaining $400 and put this behind you. Problem is, if the original debt was $1500 I wonder if the CA was awarded additional fees. Do you know if the $1500 includes everything?

[djransom]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

 

Yes I'm guilty of the such. I've told the collector that I'm willing to pay the balance.

I could be wrong but I think you are out of luck on this one. You should probably pay the remaining $400 and put this behind you. Problem is, if the original debt was $1500 I wonder if the CA was awarded additional fees. Do you know if the $1500 includes everything?

 

$1530 is the total tab. Fortunately, I just spoke with my father and he is going to front me the money so the CA can release the levy and I can resume having my bank account. I may be broke after paying him back, but this is one debt I definitely want to put behind me.

[gweedoh]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

 

Yes I'm guilty of the such. I've told the collector that I'm willing to pay the balance.

I could be wrong but I think you are out of luck on this one. You should probably pay the remaining $400 and put this behind you. Problem is, if the original debt was $1500 I wonder if the CA was awarded additional fees. Do you know if the $1500 includes everything?

There's such a thing as making yourself "judgment proof" but it's taboo on this board. It only works before the CA gets the $ from your account, anyway, so unless you can make a case that you weren't properly served, you're indeed SOL on the money they levied from your account.

[djransom]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

 

Yes I'm guilty of the such. I've told the collector that I'm willing to pay the balance.

I could be wrong but I think you are out of luck on this one. You should probably pay the remaining $400 and put this behind you. Problem is, if the original debt was $1500 I wonder if the CA was awarded additional fees. Do you know if the $1500 includes everything?

There's such a thing as making yourself "judgment proof" but it's taboo on this board. It only works before the CA gets the $ from your account, anyway, so unless you can make a case that you weren't properly served, you're indeed SOL on the money they levied from your account.

 

They actually served my parents home and I haven't lived there in 5 years.

[gweedoh]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

 

Yes I'm guilty of the such. I've told the collector that I'm willing to pay the balance.

I could be wrong but I think you are out of luck on this one. You should probably pay the remaining $400 and put this behind you. Problem is, if the original debt was $1500 I wonder if the CA was awarded additional fees. Do you know if the $1500 includes everything?

There's such a thing as making yourself "judgment proof" but it's taboo on this board. It only works before the CA gets the $ from your account, anyway, so unless you can make a case that you weren't properly served, you're indeed SOL on the money they levied from your account.

 

They actually served my parents home and I haven't lived there in 5 years.

Does your state law say this is an acceptable form of service?

[djransom]

So...you got served and ignored the summons? Is that what you mean by "irresponsibly ignored"?

 

Yes I'm guilty of the such. I've told the collector that I'm willing to pay the balance.

I could be wrong but I think you are out of luck on this one. You should probably pay the remaining $400 and put this behind you. Problem is, if the original debt was $1500 I wonder if the CA was awarded additional fees. Do you know if the $1500 includes everything?

There's such a thing as making yourself "judgment proof" but it's taboo on this board. It only works before the CA gets the $ from your account, anyway, so unless you can make a case that you weren't properly served, you're indeed SOL on the money they levied from your account.

 

They actually served my parents home and I haven't lived there in 5 years.

Does your state law say this is an acceptable form of service?

 

I'm unable to locate the specific summons laws in Illinois.

Edited July 16, 2008 by djransom

[gweedoh]

I'm unable to locate the specific summons laws in Illinois.

Here you go:

735 ILCS 5/2-203. Service on individuals.

 

* Except as otherwise expressly provided, service of summons upon an individual defendant shall be made

1. by leaving a copy of the summons with the defendant personally,

2. by leaving a copy at the defendant’s usual place of abode, with some person of the family or a person residing there, of the age of 13 years or upwards, and informing that person of the contents of the summons, provided the officer or other person making service shall also send a copy of the summons in a sealed envelope with postage fully prepaid, addressed to the defendant at his or her usual place of abode, or

3. as provided in Section 1-2-9.2 of the Illinois Municipal Code with respect to violation of an ordinance governing parking or standing of vehicles in cities with a population over 500,000. The certificate of the officer or affidavit of the person that he or she has sent the copy in pursuance of this Section is evidence that he or she has done so.

 

Since it was not your "usual place of abode" I'd say that alone renders the service of process invalid.

 

Did your parents or anyone else have contact with the process server? If so, did they inform them that you didn't live there? What exactly was said?

[djransom]

I'm unable to locate the specific summons laws in Illinois.

Here you go:

735 ILCS 5/2-203. Service on individuals.

 

* Except as otherwise expressly provided, service of summons upon an individual defendant shall be made

1. by leaving a copy of the summons with the defendant personally,

2. by leaving a copy at the defendant’s usual place of abode, with some person of the family or a person residing there, of the age of 13 years or upwards, and informing that person of the contents of the summons, provided the officer or other person making service shall also send a copy of the summons in a sealed envelope with postage fully prepaid, addressed to the defendant at his or her usual place of abode, or

3. as provided in Section 1-2-9.2 of the Illinois Municipal Code with respect to violation of an ordinance governing parking or standing of vehicles in cities with a population over 500,000. The certificate of the officer or affidavit of the person that he or she has sent the copy in pursuance of this Section is evidence that he or she has done so.

 

Since it was not your "usual place of abode" I'd say that alone renders the service of process invalid.

 

Did your parents or anyone else have contact with the process server? If so, did they inform them that you didn't live there? What exactly was said?

 

My mother stated that she was given the paperwork and that was pretty much it. It's definitely NOT my usual place of abode.

[gweedoh]

My mother stated that she was given the paperwork and that was pretty much it. It's definitely NOT my usual place of abode.

Ok, then. Head down to the court house and request to have the judgment vacated on the grounds of improper service.

 

They'll give you a court date for a hearing where you can plead your case. I'd bring your mom along to have her testify.

Edited July 16, 2008 by gweedoh

[djransom]

UPDATE: I went today during my lunch and paid it off once and for all. My total tab was $1547 and some change and I provided them with a cashiers check for $1548 and got my necessary paperwork. It will be signed off by a judge tomorrow and dismissed and my bank has been notified that the debt has been paid. I remember how they got my info now, I made a payment to them with my bank account info back in April. You live and you learn. I'm just grateful that the amount wasn't that high where I was stuck and couldn't get out of the rut. I'm also grateful for my father coming through when I needed him the most. Thank you gweedoh for the great advice you gave me. This was my responsibility and I had to own up to it. This was the only thing on my CR that stuck out like a sore thumb. Just wanted to express how satisfied I am and hopefully I will have my BOA checking and savings accounts restored by the weekend.

[EarnIt]

OP glad things worked for you. And this is a vital lesson to all that we need to be careful and protect our accounts carefully.

[djransom]

OP glad things worked for you. And this is a vital lesson to all that we need to be careful and protect our accounts carefully.

 

Definitely and also minimize the debts as well. This was a CC I had years ago with a $400 CL from Aspire that ballooned to $1500 when I could've very well paid the $400 and been done with them.

[gweedoh]

UPDATE: I went today during my lunch and paid it off once and for all. My total tab was $1547 and some change and I provided them with a cashiers check for $1548 and got my necessary paperwork. It will be signed off by a judge tomorrow and dismissed and my bank has been notified that the debt has been paid. I remember how they got my info now, I made a payment to them with my bank account info back in April. You live and you learn. I'm just grateful that the amount wasn't that high where I was stuck and couldn't get out of the rut. I'm also grateful for my father coming through when I needed him the most. Thank you gweedoh for the great advice you gave me. This was my responsibility and I had to own up to it. This was the only thing on my CR that stuck out like a sore thumb. Just wanted to express how satisfied I am and hopefully I will have my BOA checking and savings accounts restored by the weekend.

Hey, good for you. We tend to get caught up in disputing and making sure CAs don't violate our rights that we forget debts can be valid. There's no shame in paying your debts if you agree they're legit.

 

Glad you got the monkey off your back.

[dealornodeal]

Glad you took care of it but FYI for anyone else:

 

Remember, the bank is permitted to freeze only non-exempt funds. However, the bank may not know what amount of your funds are exempt. If the bank does freeze your account (or part of it), then you should inform the bank and the creditor if any of money it has frozen is exempt. For example, every consumer has a "wildcard" exemption of $4,000 in any property of his choice. You can choose to have up to $4,000 in the frozen account declared exempt under this "wildcard" exemption. In addition, most forms of government benefits, including Public Aid and Social Security, are exempt. If your account consists entirely of these exempt government funds, then the entire account is exempt. If the bank refuses to release exempt funds, you may have to go to court to exercise this exemption. The Garnishment Notice tells you how to obtain a hearing to get the court to declare the funds in your account exempt.

 

Up to $4,000 in value of any other property of your choice

- This is informally known as the WILDCARD exemption because you can identify one or more items of property for which you want the exemption applied. For example, if a creditor tries to garnish your bank account which has $500 in it, you can claim the entire account as coming within your wildcard exemption. That means you are left with another $3,500 to exempt other personal property. Also, only your equity interest in the property is counted toward the $4,000 limit. Let's say you want to apply the wildcard exemption to one of your cars that's worth $5,000. If you still owe the bank $4,000 on the car, your equity interest is only $1,000. Since your equity interest is less than the amount of the wildcard exemption, you can use the wildcard to totally exempt your car. You can use the $4,000 wildcard to add exemption value to other exemptions shown below;

Your interest in any one motor vehicle, up to $2,400

- Let's say you want to use your exemption rights to protect your car from being taken by a judgment creditor, but your equity interest in the car is $3,000. You can claim up to $2,400 of it under this exemption. Is the car totally exempt? Yes, it is totally exempt if the $600 difference is claimed as an exemption under your WILDCARD;

Any implements, professional books or tools of your trade, up to $1,500 in value

- Again, only your equity interest in this property is counted toward the $1,500 limit

Your right to receive certain types of government benefits or assistance

- This exemption covers government benefits such as Social Security, unemployment insurance, public aid, veteran's benefits, and other forms of public assistance. Your right to receive circuit breaker property tax relief benefits is also exempt;

Any disability, illness or unemployment benefit from an employer, an insurance company or any other source, including workmen's compensation benefits

Your right to receive alimony, maintenance or support payments. This includes payments for your support or the support of any dependent

Your right and interest in a retirement plan, such as a pension or annuity

Various other forms of property are exempt under the law, including:

Life insurance benefits payable to you as a result of the death of an insured

Payments of money for the wrongful death of a person who supported you

Payments of money due to a personal bodily injury (up to $7,500)

An award under the crime victim's compensation law

Money due you from the sale of any of your property which was exempt at time of sale In addition to the above list of exemptions, there may be other exemptions to which you are entitled under the law.

[Frank13]

Glad you took care of it but FYI for anyone else:

 

Remember, the bank is permitted to freeze only non-exempt funds. However, the bank may not know what amount of your funds are exempt. If the bank does freeze your account (or part of it), then you should inform the bank and the creditor if any of money it has frozen is exempt. For example, every consumer has a "wildcard" exemption of $4,000 in any property of his choice. You can choose to have up to $4,000 in the frozen account declared exempt under this "wildcard" exemption. In addition, most forms of government benefits, including Public Aid and Social Security, are exempt. If your account consists entirely of these exempt government funds, then the entire account is exempt. If the bank refuses to release exempt funds, you may have to go to court to exercise this exemption. The Garnishment Notice tells you how to obtain a hearing to get the court to declare the funds in your account exempt.

 

Up to $4,000 in value of any other property of your choice

- This is informally known as the WILDCARD exemption because you can identify one or more items of property for which you want the exemption applied. For example, if a creditor tries to garnish your bank account which has $500 in it, you can claim the entire account as coming within your wildcard exemption. That means you are left with another $3,500 to exempt other personal property. Also, only your equity interest in the property is counted toward the $4,000 limit. Let's say you want to apply the wildcard exemption to one of your cars that's worth $5,000. If you still owe the bank $4,000 on the car, your equity interest is only $1,000. Since your equity interest is less than the amount of the wildcard exemption, you can use the wildcard to totally exempt your car. You can use the $4,000 wildcard to add exemption value to other exemptions shown below;

Your interest in any one motor vehicle, up to $2,400

- Let's say you want to use your exemption rights to protect your car from being taken by a judgment creditor, but your equity interest in the car is $3,000. You can claim up to $2,400 of it under this exemption. Is the car totally exempt? Yes, it is totally exempt if the $600 difference is claimed as an exemption under your WILDCARD;

Any implements, professional books or tools of your trade, up to $1,500 in value

- Again, only your equity interest in this property is counted toward the $1,500 limit

Your right to receive certain types of government benefits or assistance

- This exemption covers government benefits such as Social Security, unemployment insurance, public aid, veteran's benefits, and other forms of public assistance. Your right to receive circuit breaker property tax relief benefits is also exempt;

Any disability, illness or unemployment benefit from an employer, an insurance company or any other source, including workmen's compensation benefits

Your right to receive alimony, maintenance or support payments. This includes payments for your support or the support of any dependent

Your right and interest in a retirement plan, such as a pension or annuity

Various other forms of property are exempt under the law, including:

Life insurance benefits payable to you as a result of the death of an insured

Payments of money for the wrongful death of a person who supported you

Payments of money due to a personal bodily injury (up to $7,500)

An award under the crime victim's compensation law

Money due you from the sale of any of your property which was exempt at time of sale In addition to the above list of exemptions, there may be other exemptions to which you are entitled under the law.

PLEASE note that laws VARY from state to state ... I do not know which state the poster is referring to in this post, but THE RULES ARE NOT THE SAME IN EVERY STATE!!!