Wife's judement, am I safe?

What is the name of your state? Michigan

My wife got a judgement for a credit card debt that she couldn't pay. With the late fees, over the limit fees, and lawyer fees, it's like $7600.00 now. Her wages are crap, so there are hardly any wages to garnish. Can they go after my wages? Can they go after our joint savings account? Or put a lein on the house (we are co-owners)? I offered to pay it off for her with a settlement of $5000, but they refused. I just don't want to get stuck with this crap. Should I take my savings out of our joint account? I am not a co-signer or co-applicant on her credit card, so I wouldn't think that they could touch any of my assets, but since her name is on the house and bank account, they might try. Does anyone know for sure. I'm nervous.

[Ladynred]

Can they go after your wages.. no.

Can they go after the joint account.. YES. Any asset with her name on it, especially cash, is vulnerable.

Can they put a lien on your house with her name on it.. YES.

Take your savings out of the account... better yet, get your name OFF the account entirely.

I think it'll be tough to avoid a lien on the house, but maybe one of the Sr. Members can verify that. It doesn't matter that her wages are 'crap', they can still take a percentage of it.

Beware of a settlement, anything over $600 of cancelled debt is considered income and you'll pay taxes on it. What was their reason for refusing the settlement offer.. they wanted it all ? Is this a collection agency that refused ?? I take it the judgement has already been rendered by the court ?

She is a waitress, mostly cash, takes home about $120 a month in the form of paychecks. So, I don't think that they will go after wage garnishment. They'd never get their money. So, I'm thinking it will be a lein on the house. We've opened a new checking and savings account, so they won't be able to get at my cash.

Does anyone know what the rate of interest will be on the judgement? I want to settle this up for her. I've got $5500, but they say no! The debt is now $7600 with interest and penalties, they say they'll accept $6600. This blows.

Also, the way they got the judgement was B.S.! My wife answered the complaint and got a court date of Aug. 1. Then, last week, she recieved a judgement in the mail. We called the court house, and they said that she didn't show up for the summary disposition. I said that we had no knowledge of any summary disposition, and she said the the lawyer for citibank sent it out. This is total B.S.! What can I do?

[Ladynred]

MI allows a 20% maximum, but it doesn't say if that's a APR, daily, monthy, etc. Maybe someone else can clarify this.

Usually legal papers sent thru the mail are sent certified, return receipt requested. If you never got anything like this for the summary dispostion, then you may have a way to fight it. Call the court back and verify with the clerk if the certified RRR is the proper method for that lawyer to have sent the notice. If it is, then make them produce the return receipt. I'd also ask the clerk what the outcome would be if there is no producable 'green receipt' by Citibank.

Thank you for the info. I'll call the clerk.

What is a "green reciept"?

[Ladynred]

A 'green receipt' is that part of the Certified Mail form from the Post Office that just happens to be green Had you gotten one of these, the post office removes a portion of the green card, stamps it, and returns that receipt to the sender.

Call the court or go in person and ask if there is an appeals process on a judgment in that court.

You will need to know this ASAP as usually there is a number of days that that process expires.

If you are within that time frame, she needs to file an appeal.

Also, you need to know if MI is a community property state.

Even if you opened a new bank acct and you still have her name on it, it is open for garnishment.

Yes, they can lien you property.

No, the creditor does not have to make a deal, altho it really is dumb on their part not to take your offer of that cash. Can't help you there.

Good Luck,

Take your savings out of the account... better yet, get your name OFF the account entirely.

*********It's to late to start hiding assets. Especially if this is a professional collecting agency coming after you.

Michigan-

I'm not hiding my assets, simply removing my wife's name from them, so that my assets are not taken from me. Why would it be too late to remove somebody from my account, so that I keep my money? It's not a collection agency. It's a lawyer. Judgement will be final on the 25th.

Question: When judgement is final, will they lawyer make some sort of attempt to collect from her before he goes after wage garnishment or a lein? Will we be notified of the what collection method is being used before it is started?

Juice: Sorry, I live in Texas and forget not every state is a community rights state.

Originally posted by juice
Michigan-

I'm not hiding my assets, simply removing my wife's name from them, so that my assets are not taken from me.

>>>>> If this was a joint account when the problem happened and the judgement was made I feel the account will be looked as community property and partly her asset.
To move the account into your name will look to the judge that she is hiding assets to avoid collection.
I would hate to go to an interrogary and be asked if I have changed ownership of any financial account since the judgement.

Why would it be too late to remove somebody from my account, so that I keep my money? It's not a collection agency. It's a lawyer. Judgement will be final on the 25th.

>>>>Don't know what you mean here, final. You mean your time limit to appeal?
The 25th to become "final" means the judgment has already been made! All assets at that time or in intisipation of the judgement that were transfered will probably be open to attachment.

>>>>The plaintiff being an attorney is worst!

Question: When judgement is final, will they lawyer make some sort of attempt to collect from her before he goes after wage garnishment or a lein?

>>>>> It will be up to him how he handles this. It is likely he will call to see your intensions to pay. If wages in your state can be garnished, that is likely the easiest.

Don't expect to be assulted on only one front. Bank accounts are not that hard to uncover and he will attach them all.

Will we be notified of the what collection method is being used before it is started?

>>>> NO!

Pay Him! The interest that will accumulate will kill you.