Paying my friend's credit card bill

[jamesvill]

What is the name of your state? Texas
I am judgment debtor. I paid the credit card bills for my friend for few months, totaling around 8K, by going to the bank that issued his credit card and I paid it with my cash. The bank people collected my driver license and gave it back each time I paid the credit card bill. Is there any way my judgment creditor will know this unless I or my friend tell it? For what purpose the bank asked my driver license:?

 

[quincy]

What is the name of your state? Texas
I am judgment debtor. I paid the credit card bills for my friend for few months, totaling around 8K, by going to the bank that issued his credit card and I paid it with my cash. The bank people collected my driver license and gave it back each time I paid the credit card bill. Is there any way my judgment creditor will know this unless I or my friend tell it? For what purpose the bank asked my driver license:?

A bank asks for identification as a bank policy.

It is possible (I can’t say how probable) that your judgment-creditor will learn of the money you have available to pay what you owe them. It is not always easy to hide money and assets from creditors intent on getting paid.

Why are you paying someone else’s debts instead of your own?

 

[Eekamouse]

What is the name of your state? Texas
I am judgment debtor. I paid the credit card bills for my friend for few months, totaling around 8K, by going to the bank that issued his credit card and I paid it with my cash. The bank people collected my driver license and gave it back each time I paid the credit card bill. Is there any way my judgment creditor will know this unless I or my friend tell it? For what purpose the bank asked my driver license:?

You have a debt you owe but haven't bothered to pay but you pay some friend's credit card debt instead? What's wrong with you? Why are you paying somebody else's bills instead of taking of your own?

 

[Taxing Matters]

What is the name of your state? Texas
Is there any way my judgment creditor will know this unless I or my friend tell it?

Very unlikely the creditor will find out, but it's not impossible.

For what purpose the bank asked my driver license:?

Banks have a lot of federal and state regulations they have to follow. Two significant federal laws require that (1) banks know their customers and report to the Treasury Department any transactions that are considered suspicious, known as suspicious activity reports (SAR) and (2) banks must report to the Treasury Department any single cash transaction or series of related cash transactions that total $10,000 or more. In order to carry out their responsibilities under these rules and other rules they need to get identification of the people conducting cash transactions at their banks.

 

[jamesvill]

Unfortunately, I cannot explain in this forum why I helped my friend than paying that money to the judgment debtor.

Hypothetically (I am saying hypothetically because my friend has nothing to do with the lawsuit that made me a judgment debtor) if my judgment creditor gets all the credit card related transactions of my friend, then will it show somewhere that I paid his credit card bill?

If the bank reports this cash payment matter to Treasury Department then whom the treasury department contacts, and what happens after that?

"Very unlikely the creditor will find out, but it's not impossible" could you explain how the creditor can know this if I and my friend never tells this, and the creditor does not get my friend's financial matters.

 

[LdiJ]

Unfortunately, I cannot explain in this forum why I helped my friend than paying that money to the judgment debtor.

Hypothetically (I am saying hypothetically because my friend has nothing to do with the lawsuit that made me a judgment debtor) if my judgment creditor gets all the credit card related transactions of my friend, then will it show somewhere that I paid his credit card bill?

If the bank reports this cash payment matter to Treasury Department then whom the treasury department contacts, and what happens after that?

"Very unlikely the creditor will find out, but it's not impossible" could you explain how the creditor can know this if I and my friend never tells this, and the creditor does not get my friend's financial matters.

If no one ever tells the creditor and the creditor does not get your friend's financial info then the creditor will never find it out. The creditor cannot go after your friend's financial info without hard evidence that you improperly transferred money to your friend. In other words, not just proof that you paid your friend's credit card bill, but ALSO proof that you did so as an improper transfer of money.

As Taxingmatters said, its very unlikely but not impossible.

 

[STEPHAN]

Are you using your friend's credit card?

 

[jamesvill]

Last, if my creditor ever gets the credit card records of my friend (from the bank that issued the credit card to my friend), then will those records show who paid my friend's credit card bills?

"Are you using your friend's credit card? " unfortunately, I cannot explain here, please forgive me.

 

[LdiJ]

Last, if my creditor ever gets the credit card records of my friend (from the bank that issued the credit card to my friend), then will those records show who paid my friend's credit card bills?

"Are you using your friend's credit card? " unfortunately, I cannot explain here, please forgive me.

That would be highly unlikely.

 

[quincy]

Unfortunately, I cannot explain in this forum why I helped my friend than paying that money to the judgment debtor.

Hypothetically (I am saying hypothetically because my friend has nothing to do with the lawsuit that made me a judgment debtor) if my judgment creditor gets all the credit card related transactions of my friend, then will it show somewhere that I paid his credit card bill?

If the bank reports this cash payment matter to Treasury Department then whom the treasury department contacts, and what happens after that?

"Very unlikely the creditor will find out, but it's not impossible" could you explain how the creditor can know this if I and my friend never tells this, and the creditor does not get my friend's financial matters.

It is not so much that your judgment-creditor will learn of your friend’s credit card and your payments on it but more that your judgment-creditor will locate the source of this money you are using to pay off your friend’s credit card.

In other words, the money you are using to pay on the credit card is coming from somewhere. The judgment-creditor (potentially) will be looking at your acquired assets. The creditor knows you are not surviving on no money at all.

 

[Zigner]

This is just an end-around play. The OP is "loaning" his friend money so that it can't be taken by the creditor - the one to whom it should be rightly paid.

 

[quincy]

This is just an end-around play. The OP is "loaning" his friend money so that it can't be taken by the creditor - the one to whom it should be rightly paid.

I agree that this appears to be an attempt to hide money by using a credit card that was opened for jamesvill by his friend.

If this is the case, I hope the friend realizes that, if jamesvill does not pay on this credit card, it will be the friend who is held liable for the balance owing. It will be his friend’s credit that potentially will be trashed.

 

[Eekamouse]

I agree that this appears to be an attempt to hide money by using a credit card that was opened for jamesvill by his friend.

If this is the case, I hope the friend realizes that, if jamesvill does not pay on this credit card, it will be the friend who is held liable for the balance owing. It will be his friend’s credit that potentially will be trashed.

Like Jamesvill will care about that. He doesn't care to pay a debt he owes so he certainly isn't going to give a damn if he destroys his friend's credit when he gets tired of paying that debt, too.

 

[quincy]

Like Jamesvill will care about that. He doesn't care to pay a debt he owes so he certainly isn't going to give a damn if he destroys his friend's credit when he gets tired of paying that debt, too.

Debtors obviously should pay their debts or try to negotiate a repayment plan with their creditor that fits their budget if they are having difficulty paying the original amount agreed to due to circumstances beyond their control (e.g., job loss, illness).

It is rarely in the best interests of the debtor to simply avoid the creditor, hoping the creditor will just go away. Most creditors won’t - and the debt only grows larger.

I think if debtors put half as much energy into working to repay their debts as some debtors work to avoid paying them (e.g., fraudulently transferring funds, hiding assets, quitting jobs), life would actually be much easier and better for them.

 

[Taxing Matters]

In other words, not just proof that you paid your friend's credit card bill, but ALSO proof that you did so as an improper transfer of money.

Actually, under many state fraudulent conveyance statutes the transfer of assets by the debtor would be enough to justify investigating the transfer. The creditor would not need to show something "improper" first. The challenge here for the creditor is finding out the transfer occurred in the first place.