Illegal Collection Agency Practices.

by Blueblades 10 Replies latest jw friends

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  Blueblades

  Someone just took an income tax check of $4,200 dollars out of one of my family's bank account. It was not the IRS. Some money was owed to someone and today we found out that that someone took out $4,200 from the account. How is that possible, who authorized them to make this withdrawal? There was no notification that such an action was going to be taken.

  We are going to call the bank tomorrow and get to the bottom of this. I understand that there is a fair debt collection practices act of 1977 that explains what can and cannot be done by a collection agency. Besides this information which does not touch on the issue of someone being able to have access to your bank account and take funds out, anyone have any suggestion beside obtaining a lawyer which we will do if necessary? We actually don't know yet if it was a collection agency or the company / person itself.

  Thanks for any help in this matter. Tomorrow we should have more information from the bank on just who did this and was it legal to do.

  Blueblades
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  Honesty

  If a judgement against your family member was awarded by a court it is legal for a collection agency's attorneys to file a lien aganst their bank accounts and wipe them out.
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  Honesty

  I think the legal term for this is LEVY
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  MadTiger

  Get the bank to show whether it was a one-time levy (they have a limited life), or
  
  was it a long-standing lien.
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  roflcopter

  I am very scared of this happening to me as well. I have a 4k check I have to deposit. But stupid wells fargo does not cash checks that large... I know I may have a judgment pending against me.. I don't want to deposit it and find out it gets taken... For me, it would essentially leave me on the street.
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  Abandoned

  What if you opened a new account at a different institution with this check and closed it as soon as the check cleared. Maybe you'd stay a step ahead....
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  Hortensia

  if someone has a judgement against you, you should know about it. They don't have to warn you that they are taking $$$ out of your bank account, they just do it. If you knew in advance, you'd take the money out and they wouldn't get it.

  Try a different wells fargo branch, as I know mine will cash a check that large. They fuss and moan, but they do it.
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  TopHat

  Keep two bank accounts...one where there is only enough funds to cover paying the bills and another that only you and your close family know about.
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  Tuesday

  I don't know if it's illegal. I had something where I felt I was double charged for something and refused to pay it and it got sent to collections. The agency that I deal with basically can't take any legal action against me as long as I make payments, which of course they try to get me to make high payments but I just tell them I can't afford it and I make payments of $50 a month. That would be my suggestion is to call them and make an offer to a payment that you can afford to make, if you stick to your guns and say that's all you can afford they'll take it, and since you set up a payment plan I don't think they can bring legal action against you.
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  Blueblades

  I just found out that it was the bank that took the money. There was money owed out on the bank's own credit card, and they took it from the account. Going to the bank today to make arrangements and clear this up. Thanks for all your input.

  Blueblades