Legal Question in Banking Law in Pennsylvania

deafulting

i took out a C.Union loan. It went to a law firm for collection. I couldnt afford the payments so now I defaulted. What will happen to me now? I don't want to goto jail just because I couldn't afford something and I have no property in my name. just the clothes on my back. PLEASE HELP!


Asked on 1/07/09, 3:02 pm

1 Answer from Attorneys
Roger Traversa Arjont Group (Law Office of Roger Traversa)

Re: deafulting

You asked about dealing with a default judgment.

Except in rare circumstances you cannot be jailed for failing to pay a debt, even a judgment.

The most a judgment creditor can is 1) levy against wages, and that cannot be done for a consumer debt, 2) seize assets other than personal items, such as bank accounts, real property, cars over a certain value, or certain types of belongings (most jewelry and electronics).

In a small civil matter, if you can afford it and want to settle the debt make payment arrangements with the creditor. If you can pay $35 per week they should accept that. If you make that offer, they reject it and go to court to get more they will be shut down by the court.

Regards,

Roger

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Answered on 1/07/09, 7:45 pm


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