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Okay, I've been at this credit repair thing for a long while now, but I need advice as to what to do about this (I personally don't have any judgments against me, so I have NO idea how to proceed).

My boyfriend and I have a joint account in the state of North Carolina. Today we received a notice from our bank that they received an order to take the money from our account for the judgement that was taken against him. Luckily because of Christmas our account balance was $0!

Some background:

---My boyfriend financed a bed through Seclect Comfort in North Carolina in 2003

---He lived in New York State and a judgment was apparently taken out against him there by Erin Capital Management(JDB's) in 2004. He never received a summons to appear in court.

---Now we live back in North Carolina and our bank account was seized here.

What recourse does he have in this situation? Can they take his vehicle which is owned outright?

I'm not really sure what to do. Please give me some direction!

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I almost forgot!:shock:

The day before we got the letter in the mail from our bank I received another letter from a CA that the debt he owed had just been placed for collection. This is with a new collection agency, or maybe it's a JDB...I'm not really sure. The letter is just your standard collecion letter as if the judgment has never existed. Can Erin Capital Management do this if a judgment already exists???

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not sure about your second question and yes they can take the vehicle in NC if it has equity of over 1500.00 ,. The irony of this is if you owed 20K on your car they cant touch it but since there is no lien on it they have a better chance of it... how much was it for?? Be aware that in NC they will freeze your account for 10 days but they can go back and hit it again without warning.... you have no idea when its coming... as you more then likely know they can not garnish wages here..

Any checks or payments that come through your account for the next ten days however will be sent back.. so be aware of that if you have automatic payment and if you bank with wachovia they have a habit of making it worse!

chances are they dont want your car they want your $$$$.. what was the amount?

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Thanks for the response, Blue Eyes! I didn't know they couldn't garnish wages in North Carolina, so that's a relief! The amount owed was $1500. His vehicle is worth about $2000-$3000. I guess we are just going to have to put it in my name. Any idea how the seizure of a vehicle works? Do they just have a sheriff come and take it? I have no idea.

What I would really like to do is find a way to sue Erin Capital Management. I'm not sure what for, but I'm combing through both the NY and the NC laws to see if I can find something. Please let me know if you have any ideas!

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go put it in your name tomorrow.. takes five minutes at the office and then you get it notirized.. I would do it just to be safe... in NC you can only garnish wages for taxes and child support.

as far as them taking it they wont show up in the dead of night.. you are entitled to exemptions in this state.. 1500.00 for a car.. a 10,000 homestead exemption if you own your home.. then there are things like IRA's.. etc so you get exemption papers to fill out before siezure.. then you get 20 days to fill those out then the sherriff shows up....thats the way its SUPPOSED to work... anyway go get the car changed over.. chances are they will never go for it but you have nothing to lose by transferring the title (thats what we did)... it was very simple.. went to the plate/title office (NOT THE Drivers license office) figured out where to fill out what.. had it notorzied at the UPS store.. went back and the new title is sent in a few days but it takes effect at once.

I cant imagine what you can sue for though.. they have the judgement.. and now the account info.. OH and FYI.. get an account with just YOUR name on it.. they cant touch that.. open a new one.. and this way your $$ is safe for a while.. also if you need a debit card and are worrying about this.. paypal.com has them.. you can transer funds from your bank account to this debit card and it can never be touched... but keep your guy off your account.. his name should not appear at all.. thats why I mention the paypal debit card.. you can open that account.. and transfer funds and then order a card for him so at least he will have access to one.. also you can do backup funding which means they will take it from your bank account (like a normal debit card) this way he has a card but no name on your account.. if this doesnt make sense let me know and I will go into more detail....I am just FULL of info :)

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Can they take his vehicle which is owned outright?

anyway go get the car changed over.. chances are they will never go for it but you have nothing to lose by transferring the title

I would caution against such action in light of the outstanding judgment. If it is transferred without consideration (receiving reasonable value) it could be deemed a fraudulent conveyance. Depending on NC statutes, not only would the creditor still be entitled to claim the vehicle, but you could also face criminal charges.

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I would caution against such action in light of the outstanding judgment. If it is transferred without consideration (receiving reasonable value) it could be deemed a fraudulent conveyance. Depending on NC statutes, not only would the creditor still be entitled to claim the vehicle, but you could also face criminal charges.

when we went through the same thing the lawyer told us to change it over.. we did and with no problem and this was a local judgement for much more. in MOST cases they dont want your car anyway.. they want your bank account which is what they would go for... the lawyer told me if they made a claim for the car and you have filled out exemptions then fraud is an issue but in her case they have not even been given exemption papers nor have they tried to claim it.. but if you are in doubt.. E. Normis is correct.. check with a lawyer.. ours told us it was fine in our case...

Have you called them to try to work out a payment plan so you can get this paid off and not have to deal with this

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Why would money in a Paypal account that has an attached debit card not show up on an asset search and be seized by the party winning the judgement?

Paypal is not an "asset" since its not a bank account.. you can transfer the money over long before the account is garnished...They have no record of it. .. the bank account can indeed be siezed but if you move that money to the debit card.. that money is in the paypal account.. I have yet to see this found anywhere.. I read this on several other boards and when a friend had her account frozen for a period of time she was glad she put the money in the paypal account.. this of course was beforehand.. the account attached YES is siezed.. but its like if you write a check to someone and it clears before the account is garnished they are not going to get that money.. its like paying another vendor except this one is yourself.. its perfectly legal.. and since its not a bank account paypal doesnt have to give a dime of it to anyone you do not give them permission too.

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when we went through the same thing the lawyer told us to change it over.

Recommending a client transfer an asset intentionally to avoid a judgment creditors rightful possession would be unethical by most bar standards.

Depending on the attorney's involvement, how the attorney "advised" their client, and other factors, the attorney could be subject to criminal conspiracy charges.

Makes one wonder if this is the same "attorney" who advised you would have to travel to DC for "tax court" :)

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Recommending a client transfer an asset intentionally to avoid a judgment creditors rightful possession would be unethical by most bar standards.

Depending on the attorney's involvement, how the attorney "advised" their client, and other factors, the attorney could be subject to criminal conspiracy charges.

Makes one wonder if this is the same "attorney" who advised you would have to travel to DC for "tax court" :)

no that was via phone call.. and a lawyer someone frome this board mentioned.. after a few more conversations.. well he annoyed me for several reasons....

you have to remember in my case I didnt have a judgement yet either.... we were still negotating so there was nothing filed..which is when he said go and move it before they do.. so as I said you are right.. check with a lawyer

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C.B.E., thanks for the PayPal info. Interesting and useful.

it saved my friends butt.. she put about 1000.00 into her paypal account transfered it over then when the froze her account she still was able to use a debit card... I read about this on another debt board.. I checked into it.. it was great advice...

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