Legal Question in Credit and Debt Law in Pennsylvania

Re: collection companies re credit card debt

Wage garnishment is not allowed in Pennsylvania. Debtors also are allowed certain rights under federal law. However if you have personal judgements against you creditors can force you to pay certain debts if you have assets.

We would need to look at who incurred debt and how it can be discharged.

If you are located in the western part of PA you can call my office for no cost initial obligation.

Brandon Barnett Esq. 412-916-1677

Re: collection companies re credit card debt

Collection agencies are not allowed to harass you nor are they allowed to call your place of employment. You must make this request in writing to them. Have you thought of bankruptcy as a possible solution your problem?

Re: re credit card debt, a permanent solution

One permanent solution to your problem may be a bankruptcy. As you may know, there are generally two types of bankruptcies for consumers, Chapter 7 and 13. The former is generally for those who simply require the elimination of unsecured debt such as credit cards. The latter is generally for those who have fallen behind in secured debt such as a mortgage. Chapter 13 allows you to repay any arrears over five years.

A bankruptcy protects just about all consumer assets. There is a $16,000.00 minimum homestead exemption in your principal residence. The contents of your home, if any one item is not worth a great deal, are exempt up to at least $8,000.00. There are many other exemptions, as well. Vehicles are exempt to a minimum amount of $2,400.00 and, if you do not own real estate, there is what is commonly known as the "wildcard" exemption. You may use up to one-half of the homestead exemption for any asset you want to protect.

An exemption is a dollar amount assigned to an asset so that, if a Trustee ( the person charged with liquidating assets) were to attempt to sell such an asset, he would have to pay the exemption amount to you. Since the stated exemptions usually cover the value of the assets, most consumer cases are determined to be "no asset". Thus, you simply obtain a discharge of your debt.

Assuming you otherwise qualify, you should consider filing. You should speak with experienced bankruptcy counsel to discuss all the ramifications.

I trust this has been helpful, but feel free to call or e-mail with further questions.