related to this, many people are being contacted by collection agencies regarding debts from years ago. The agencies get these old "debts" pennies on the dollar then start collecting. Laws vary from state to state but it's very common that if you do not dispute their claim, they can procede with trying to collect. In Michigan there is a time period where the debt can be disputed and then it is up to the agency to verify that it is a valid debt, at which time they drop it rather then try to produce legal documentation. But the individual's response has to be in writing, requesting the verification. If the agency contacts the person, the debt isn't disputed, then it becomes active again, at which point the individual has to provide documentation that the bill was paid or settled. Some of these "debts" can be years old making it difficult to provide documentation, which is what the collection agencies hope for. So don't just throw those letters out; read them and make sure you act within the specified time frame.
Congrats for going to bat for this guy. Is his pay SSDI or SSI - unlike SSDI SSI can't be garnished. From your description it's possible his income is SSI as it is based on income and assets.
Best to you. Yup, it's stressing. Try doing this while you're disabled. Yes, it helps if you pay your bills. But collection agencies can still make mistakes. Keep good records!
Was he ever issued a 1098C?
It's SSDI. no he does not get SSI he was refused for some fucked up reason. i have tried to talking him into re-trying to gt it. he won't try again.
Everyone gets turned down for SSI, it is at this time you get a lawyer. Lawyer will work for 1/3 of the lump sum payment your friend will get, retroactive to when the disability occurred minus 5 months IIRC, when he wins the case. Nothing out of pocket.
he just called and said a Collection Agency is garnishing his pay! he makes $860 or so and said he will get like $750 after it.
How is a debt collection agency garnishing wages without due process of law?
Find a pro bono lawyer or organization willing to write a demand letter to the agency.
i been trying to figure that out myself. I contacted department of ed. and they put off everything.
heh everyone gets turned down for SSDI too.
i have tried to get him to go for SSI. he doesn't want to. i think after the fight to get SSDI he was burned out. took him 2-3 years to get it.
Ruthless, no way, below from an article about them:
Threatening to dig up dead bodies: Another collection agency, Rumson, Bolling & Associates, was fined more than $700,000 last month for taking harassment to a whole new level. One of the worst offenses listed in the FTC's lawsuit: collectors allegedly threatened to dig up the bodies of debtors' deceased children and hang them from a tree or drop them outside their door if they failed to pay their funeral bills. The defendant's attorney, Christopher Pitet, said the company's owners did their best to ensure collectors complied with the law -- so if any wrongdoing was done, it was done by employees and was against company policy.
I just read that this morning (err maybe last night). i was shocked.
dig up the bodies. who the fuck thinks of something like that. wow
If he was never served, the garnishment should not be valid.
They need to show he was served for the court hearing; get a copy of the service; someone committed fraud.
Document and present it to the court that allowed the garnishment.
If he has not filed his taxes; hold off until the mess is cleared up.
How is a debt collection agency garnishing wages without due process of law?
It seems to me that we have a right to life, liberty and protection of property under the law. Taking something without due process is stealing.