Can I possibly collect from this person?

[The Grinder]

What is the name of your state? IL
OK now its me on the trying to collect end, heres whats up....I had an ex GF, also an ex employee of mine, who I generously lent 10K to for misc reasons. Well we broke up, she quite her job and when she sold her house she would pay me back from the proceeds. When pony up time came, she thought her balance was 5K when she knew it was twice that, she obviously harbors bad feelings from our failed relationship so maybe this was her way of getting even. She did pay me the 5K

Comment of the evils of loaning friends money but I've heard that so many times so thats really not needed, Ive learned.

So my business uses a collection agency who is willing to try and collect, at the rate of 40% which isnt bad but I still stand to lose 2k, but I can recoup some of that if I added interest. No guarantee she gonna respond to even them.

I could try suing her in small claims but she moved to Indiana, 150 miles away and the retainer on an attorney I'm sure would prob be 2K, not going to put that kind of money into such a iffy account like hers. Doing a suit myself is impractical due to distance and of course not knowing what I'm doing.

Anyone here know of a viable but cheaper alternative to try to recover my money? She is living on her social security and has applied for disability, both I dont beleive can be touched with a garnishment correct? She sells MaryKay and has a online photography business which is her only source of income besides the Gov thing

Any hope at all? me having a big heart has cost me this time, I swear never ever again will I lend $ to anyone
It might be a bit better but of course she is very combatant and defensive towards me and of course blames me, she just defers the blame when she knows she owes, a common human trait.

PS Hope this is right forum for this post, if not please feel free

 

[quincy]

You appear to have reviewed your options and found all of them wanting.

She does not seem to have nonexempt money or assets enough to satisfy the debt.

 

[The Grinder]

Her last text to me was about not getting blood out of a turnip.....I have replied to all her offensive texts and emails very graciously. She did tell me a while back that she applied for SSI and that if granted, would go back quite a ways equating in a substantial amount of cash. She claims insolvency but I question that. I even offered small monthly payments.

Maybe its time to stick it right back to her and let the outside collector handle it, at least I could keep her credit score low for 7 more yrs. maybe hardball is the only language she knows

 

[quincy]

That is certainly one of your options.

 

[The Grinder]

is it hard to put some kind of lien on her accounts or garnish her residual income from a multi level marketing company like mary kay? Currently I'm paying Blitt & Gaines law firm (from citibank) via court ordered payments which I'm doing. is it hard for me to do same with her?

 

[HRZ]

Hey, 60% of something is a lot more than 0% of a Wish upon a cloud ...let the pro collector try .

BTW do you have a decent paper trail of her acknowledging the remaining $5000 due ?

 

[LdiJ]

is it hard to put some kind of lien on her accounts or garnish her residual income from a multi level marketing company like mary kay? Currently I'm paying Blitt & Gaines law firm (from citibank) via court ordered payments which I'm doing. is it hard for me to do same with her?

Its not just hard, its impossible. Its not Mary Kay who pays her, its her customers. She pays Mary Kay for the products.

 

[The Grinder]

Hey, 60% of something is a lot more than 0% of a Wish upon a cloud ...let the pro collector try .

BTW do you have a decent paper trail of her acknowledging the remaining $5000 due ?

yes all itemized w dates and check numbers

 

[The Grinder]

Its not just hard, its impossible. Its not Mary Kay who pays her, its her customers. She pays Mary Kay for the products.

but with MLM companies they receive residual monthly checks as bonuses.

 

[LdiJ]

but with MLM companies they receive residual monthly checks as bonuses.

Only if she has other Mary Kay agents under her and only after they apply them towards the products she purchases.

 

[Dandy Don]

You need to have the small claims court suit done so that you can get a judgment against her that you can collect on later when she does eventually (maybe?) decide to get a good-paying job.

Do some online research or talk to your debt collection attorney to find out how to attach bank accounts (a member of a sheriff's office or the police department goes directly to her bank to instantly deduct a certain amount of money from her bank account if there is enough money in it, but the judgment has to be in place first before you can start attempting to collect),

Do you have anything IN WRITING to where she admits/agrees that this was a loan and when and how much she intended to do as monthly installments to repay? Why did she tell you she needed the money in the first place?

 

[The Grinder]

Yes I have emails
one that acknowledges she owes 10k not the 5k she claims
I lent her $ for groceries (other times I just brought over w no expectations) for utilities, for real estate taxes and to assist her after she spent time in the hospital and not able to work
Never again....

 

[The Grinder]

So I'm chatting with the outside collector and she tells me their company CANNOT take her to court since she receiving Gov assistance, such as a medicaid and food stamps.

I find that hard to beleive, has to be plenty of people who are in small claims that are on Gov subsidiaries, is that true just for Indiana where she resides?

 

[The Grinder]

I'll have to consult with an attorney to get my question answered. here seems to be a good source, anyone have suggestions ?
Also anyone know what the highest interest rate I can charge in Illinois for a personal loan? Thanks again

 

[Zigner]

The collector likely has a policy against proceeding with prosecution of uncollectable accounts.