Will I go to jail for a car debt?

Someone who fell behind on their car payments recently contacted me because car creditors were threatening to get an arrest warrant. This is a scam. Sometimes, debt collectors resort to deceptive practices to get someone to pay monies owed. In the United States, we do not have debtor’s prison.  Unless your debt is to the IRS, you don’t have to fear jail time.   Other threats I have heard include:

1.    “We will contact your employer and order them to take the money right out of your check.” The only way a creditor can access your paycheck is through a court order.  This is a time consuming process for the creditor and would require that the creditor would file a law suit against you first.

2.    “We will ruin your family members’ credit.” Unless the debt is also in another person’s name, the creditors cannot attack a family members’ credit.

In the end of the day, do you owe a debt? Yes. 

Can they ruin your credit? Yes, if you let them. 

Contact an experienced debt settlement attorney to work out a payment arrangement that works for you and protect your rights, your income and your peace of mind.

To schedule a FREE CONSULTATION with the Law Offices of Brandon Rosenbloom, call us at 678-609-8724 or contact us online.

Racism or a numbers game?

A recent Huffington Post article has reported that debt collectors are more aggressively going after African American debtors than their white counterparts. The article sites research that the African American community, which was hit harder by the recession than any other racial group, is more likely to have credit issues and past due credit accounts.  Therefore, third party debt collectors seem to be focusing more on the African American community.

So is it racism or profiling or just a numbers game? According to ACA International, a trade association of third-party debt collectors, debt collectors are color blind, and are only interested in the numbers.  Of course they’re going to say that – they’re defending themselves.  But in reality, how would a debt collector look at a list of names and phone numbers and identify someone’s race?  

Whether there’s racism or not, debt collectors are notorious for their ruthlessness and aggressive tactics. Before you are forced to agree to any type of settlement or payment plan, contact an experienced debt settlement attorney to make sure your rights and your credit are protected.