Legal Question in Credit and Debt Law in New York

Re: Release of Restrained Checking Account

often, after a judgment is entered, the attorneys for the judgment creditor will issue restraint subpoenas to tie up bank accounts. Some firms use this as security to compel you to make and keep to deals. You should have had an agreement in writing with them that if you made payments to whoever they would not take any further action against you. You should call them and get the account released in return for a written agreement that works out the total amount you have to pay, the installment amount to be paid each month and to who the payments go. The creditor can have the funds removed from the bank to be applied to your judgment total unless there is an agreement that prevents them from doing that...if there are little in the account they probably will just leave it there as incentive for you to cooperate. If you went to court and petitioned the court to vacate the judgment (if you were not aware of the lawsuit or have some excuse why you did not respond to it and have a meritorious defense) the bank restraint would be lifted if the court granted your motion to vacate the judgment...then you would be able to reduce the amount you ahve to pay and get better payment terms.