What is the smallest amount of money a collector will sue for?

[HHM]

The sweet spot for collection lawsuits is $750-$3000. You will see more lawsuits in that range than any other because from a collection standpoint, those accounts have a higher return on investment. Through various methods, it is easier to actually collect on those amounts through garnishment, bank levy, and simply bullying the person into some sort of payment arrangement.

As was pointed out, there is no amount too small. But unless you are dealing with a payday loan (that sues in small claims court on its own behalf) it is relatively rare to see a suit for $500 or less.

[freedomnow7]

I was reading somewhere that if you keep your money in an online bank that only has a physical office in Delaware, then your bank account cannot be levied because Delaware does not allow bank account levies. I will try to research this and post if I find anything.

[WhatMoney]

I was reading somewhere that if you keep your money in an online bank that only has a physical office in Delaware, then your bank account cannot be levied because Delaware does not allow bank account levies. I will try to research this and post if I find anything.

There are at least three threads in the BK Forum that mention the Delaware levy law for non-governmental levies. So far there has been no confirmation from anyone I can find posting on the Internet that the Delaware banks enforce this rule. I expect anyone doing this does not want to speak up. The threads are here:

http://www.bkforum.com/showthread.ph...r-bank-account

http://www.bkforum.com/showthread.ph...re-Not-Allowed

http://www.bkforum.com/showthread.ph...ocial-security

[freedomnow7]

Hey, Whatmoney, thanks a lot for this. I hope this helps the OP as much as it's helped me!

[IBroke]

Well, what I'm posting now is based on my own experience:

My mother and I are basically are "twins" when it comes to our financial situation. We used to share the same employer, income, debt and even creditors. However, there is a little (but I guess important) difference. When my finances collapsed, I couldn't hold on to my house. Fortunately, my mother could. My credit report reflects a foreclosure, her's reflects a homeownership. I only got hit by 1 judgement - my mother got hit by 6. So I guess creditors also check if you have any fincial "potential" left.

Could also be a coincident. The amounts of her judgements vary - but none of them is for less than $1,000. Mine was for $23K.

[debee]

When you are in a state that they can't garnish your wages is there a way to protect your bank account BEFORE they try to get it.

Some people on this forum have used check cashing services like Walmart. The fees are low ($3 or $6).