Legal Question in Credit and Debt Law in North Carolina
I recieved a Notice of Rights to have Exemptions Designated form (G.S. 1C-1603). I have filled this out back in April of this year without an attorney. I returned it and now they have sent me another;Why are they sending it again and do I have to keep replying to it? I am broke and paying for a house, I have only the basic needs to live.Please help!!!!!
2 Answers from Attorneys
Yes, you need to fill it out again. They have to send you the notice EVERY TIME before they plan to execute on the judgment. If you don't timely fill it out each time, and return it to the Court, then nothing is exempt for that particular round of executions, and they can seize whatever they can find to sell at a sheriff's sale. If you just timely fill it out each time (and send to court), that will preserve your statutory exemptions. You might also consider contacting them to see if you can get a reduced payment plan in lieu of them coming after you looking for assets every few months.
The exemptions are only good for 90 days. Most creditors will not file that often and I am surprised that the creditor is being so aggressive in your case when you just filled these out in April.
Howevever, even if the information is unchanged, as noted by Attorney Brumback, you need to fill them out again if you want to preserve your exemptions. Not all states are like this, but in North Carolina, if you don't fill out the exemptions, then your exemptions are waived, meaning that the sheriff can take your property (house, car etc.).
It does not cost you anything to file them other than a postage stamp for the copy to the creditor or their attorney and a trip to the courthouse.