Asset Search

[lilmamma]

I have not yet decided to file bankruptcy, but I'm looking for some input.

I got a letter today saying my credit card company is looking for assets such as automobiles, business assets, homes and land. Everything is in my husband's name except our cable bill and water bill. I have my own checking account with less than $50 in it, and a joint account with my husband that is only used to pay bills, so the running balance is rather low. I have no income, as I stay at home with my three children ages 4, 4 and 3.

Since I have no assets or income, what will they do? Will they come after my husband? His name is not on my credit card, and he has never used it. We are in Illinois, and from what I read, does that mean that he has no obligations to my debts?

[treehugger1]

They can look through yoru county records for real property attached to your name, state motor vehicle records for automobiles, etc. I'm not sure they can get look for information related to bank, stock, retirement accounts without first involving due process through a court system. Without a court order I don;t believe a bank, broker, or fund manager can divulge information to a third party. Even if they find assets, there is not much that can be done without a judgment against you.

Illinois is not a community property state; but they could have some quasi-property laws. You'd have to check your state statutes for any details.

[frustrated7]

One of the most aggressive creditors I had sent me a letter saying they were searching for assets so they could determine further action. This was a couple of months after I started a debt management program, which they had accepted the reduced interest rate and minimum payment, but they still decided to search for assets they could go after. They were the reason we gave up on the debt management program when we did, even though I don't think there was any way we could have kept up such high payments for very long. It's now about seven months since we received that letter and we haven't even been served yet. We will be filing BK in April, if all goes as planned.

I know it can be scary to get these letters from creditors. Just remember that it is their goal to scare you into paying. Don't believe anything they say without checking it out for yourself.

You might want to go to a couple of free BK consults just to better know your options. I wish I had really known all of my options years ago, as I would have saved myself so much money and stress.

Good luck to you.

[catleg]

Are we talking about US Bank here by any chance?

I got one of those letters too, it's laugh out loud funny.

Coming as it does before any legal process or a judgement, it actually undermines their case.

Half the battle with these idiots is convincing them you're really broke. I doubt that the asset search is even real, if it was it might make them more willing to settle, but I haven't seen any evidence of that.

[treehugger1]

Hmm, yes US Bank and a few others are probably still trying to play the "balance sheet" game, and have yet to realize that they are not immune to the real economic situation facing the country. They will. At some point, you have to admit defeat. Sorry about the sarcasm...sort of.

[catleg]

It's funny, I hung up on a US Bank collector tonight (after I verified they were speaking to the right person) and then a short while later I get a call from my parents saying this same collector had just called them and asked me to get in touch with her at US Bank. So much for the idea of calling friends and family just to "locate" you. This is nothing but pure humiliation.

[frustrated7]

US Bank is the super aggressive creditor I was referring to in my post. They sent me the letter investigating my assets after they had agreed to participate in the debt management plan and I had their letter to prove it. They also called constantly. I wrote in another post about how they called when I was about three weeks late for the very first time in over five years, as I had previously had a perfect payment history with them. I told the woman on the phone that my payday was in a week and I would make an online payment then. She insisted I give her a post dated check right then and I refused. She threatened that she would not stop calling until I did. I hung up and she called back literally five minutes later and asked if I was willing to give her that postdated check yet. I told her again that I would pay on payday in one week and I would pay online, hung up the phone, and then turned my phone off. I have had more problems with US Bank than all the other ones combined. They repeatedly harass me and they would lie about not receiving payment when I was looking at my account and could see they had received payment. Then US Bank called the debt management plan I was on and told them that I had authorized an additional payment to them right then. The DMP organization called me and I immediately was livid because I had done no such thing.

I hadn't read much on this board about people having trouble with US Bank, so I find it a bit of a relief to see that others have all sorts of trouble with them too.

[BigJohn]

Sounds like US Bank is living on the wild side. I am surprised nobody goes after them for their harassment.

[lilmamma]

Thank you for your replies!

Yes, it was US Bank. When they see that I don't have any assets, what will be their next step?

[OhioFiler]

Thank you for your replies!

Yes, it was US Bank. When they see that I don't have any assets, what will be their next step?

Let them know about your assets in Costa Rica. Maybe they'll spend a few thousand dollars searching for those. Otherwise, don't worry.

[catleg]

I'm changing my name to Bernie Madoff, that should save them some money on the asset search.

[GoingDown]

If they are the original creditor, the FDCPA doesn't apply to them, but I would still send them a Cease and Desist Communications letter by certified mail and put the following phrase at the end of the letter... "I am tape recording all telephone calls and I will use them against you in a lawsuit I file against you for harassment."

That phrase has worked for me on several occasions.

Then tape record the calls and say the date and time of the call and tell the caller you are tape recording them when you first answer the phone and ask them to identify themself and the account they are calling about. Also, ask for a phone number to call them back and reach that particular collection agent directly-- an extension number. Include a copy of the tape recordings with your cease and desist letter and I bet they will stop calling you.

Like I say, it has worked for me.

[treehugger1]

And, look up your state laws. Several states have consumer/debtor protection laws that refer to original creditors in the same manner that the FDCPA refers to third-party collectors.

In general, if you tell them to stop bothering you, they get the hint, I think.

[Willy13]

Definitely check your state laws. For instance, Maryland is one state that appears to give you more protection.

http://www.dllr.state.md.us/finance/creditharass.htm

Types of collection acts prohibited: In collecting or attempting to collect an alleged debt, a collector may not:

Use or threaten force or violence.

Threaten criminal prosecution, unless the transaction is a violation of a criminal statute.

Disclose or threaten to disclose any information which affects your reputation for credit worthiness with knowledge that the information is false.

Contact your employer with respect to a delinquent indebtedness before obtaining a final judgment against you.

Disclose or threaten to disclose to a person other than yourself, or your spouse (or parent if the debtor is a minor) information which affects your reputation, whether or not for credit worthiness, with knowledge that the other person does not have a legitimate business need for the information.

Communicate with you or a person related to you at unusual hours or in any other manner as reasonably can be expected to abuse or harass you.

Use obscene or grossly abusive language in communicating with you or a person related to you.

Claim, attempt, or threaten to enforce a right with knowledge that the right does not exist.

Use a communication which simulates legal or judicial process or gives the appearance of being authorized, issued or approved by a government, government agency or lawyer when it is not.

Liability for damages under the law: A collector who violates any provision of the Maryland law is liable for damages proximately caused by the violation, including damages for emotional distress or mental anguish suffered with or without accompanying injury.

[catleg]

Just found out today that these sleaze bags at US Bank started calling my neighbors as well. Sigh. Anyone know if a C&D will work with these clowns?