• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

Credit Card Company is suing me but I receive Old Age Pension issued by Colorado

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

1simplysouthern

Junior Member
What is the name of your state (only U.S. law)? Colorado. I have been issued a summons whereby a credit card company is suing me. I have not paid any bills for the last 2-1/2 years when I became homeless and mentally disabled. I am living in state subsidized housing and am currently seeking SSDI. I am receiving money from the state in the form of Old Age Pension and minimal food stamps. Is this money considered exempt? I also would like to know how to answer this summons. On the back of the papers is a form from the lawyers where I can check that I am getting exempt funds in the form of ____________. I thought this might be the way to go, but I need good advice before I do anything. Thank you for your input!
 


single317dad

Senior Member
Under Colorado 26-2-131, public assistance funds cannot be garnished. If you had a bank account containing these funds, it would be up to you to get any garnishment order stopped or reversed if the creditor mistakenly levied the account containing only those funds.

C.R.S. § 26-2-131. Public assistance not assignable.

No assistance payments made to an eligible recipient under this article shall be transferable or assignable at law or in equity, and none of the money paid or payable under this article shall be subject to execution, levy, attachment, garnishment, or other legal process or to the operation of any bankruptcy or insolvency law.
 

1simplysouthern

Junior Member
Thank you for that information. I just received the summons yesterday, so nothing has been done. I was wondering if I should ignore this or reply by supplying the attorneys for the plaintiff with the information that my money is exempt? Or do I need to go through the court system?

I have a small amount of savings in my account. Should I withdraw the bulk of my savings so they cannot garnish it? The money I am paid is on a card and I take the money left over at the end of the month and deposit in my account. I fear that will be very hard to prove that it is exempt money.

Thank you for any direction you can give me.
 

Zigner

Senior Member, Non-Attorney
Thank you for that information. I just received the summons yesterday, so nothing has been done. I was wondering if I should ignore this or reply by supplying the attorneys for the plaintiff with the information that my money is exempt? Or do I need to go through the court system?

I have a small amount of savings in my account. Should I withdraw the bulk of my savings so they cannot garnish it? The money I am paid is on a card and I take the money left over at the end of the month and deposit in my account. I fear that will be very hard to prove that it is exempt money.

Thank you for any direction you can give me.
Normally, we wouldn't advise you to withdraw money simply as a way to "hide" it, since that would generally be illegal. HOWEVER, in your specific case, I think that might be a good idea until this all settles out. Since the money is exempt, it's not illegal to withdraw it so that it can't be "accidentally" garnished.
 

1simplysouthern

Junior Member
Normally, we wouldn't advise you to withdraw money simply as a way to "hide" it, since that would generally be illegal. HOWEVER, in your specific case, I think that might be a good idea until this all settles out. Since the money is exempt, it's not illegal to withdraw it so that it can't be "accidentally" garnished.
Thank you for your advice.

My main question is, how should I proceed with this? Do I file the answer with the court or do I communicate with the attorneys directly by stating that I receive exempt money from the state?
 

Zigner

Senior Member, Non-Attorney
Thank you for your advice.

My main question is, how should I proceed with this? Do I file the answer with the court or do I communicate with the attorneys directly by stating that I receive exempt money from the state?
You should properly respond to the matter. In my opinion, it can't hurt to communicate your situation with the attorneys, but that won't necessarily stop them from proceeding with the lawsuit. They may not be able to collect, but they are entitled to proceed.
 

1simplysouthern

Junior Member
You should properly respond to the matter. In my opinion, it can't hurt to communicate your situation with the attorneys, but that won't necessarily stop them from proceeding with the lawsuit. They may not be able to collect, but they are entitled to proceed.
Thank you for your advice!
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top