Expert: Creditwrench - 8/1/2010

Question
I live in the state of Georgia.  I recently received a letter from my bank stating that a debt collector (that claims they are a law firm and don't have to abide by the same rules as debt collectors in Georgia) wants to subpoena my bank records.  I did some research and found out these guys will freeze your bank account.  All my income is from SS and retirement funds.  I am also getting unemployment but won't for to much longer.  I also read that they are freezing accounts regardless that the income is from social security and retirement.  Should I close my account?  If I do how safe is a prepaid debit card?  Can they also try to freeze that?  Thank you very much !!

Answer
Well, If I were in your shoes I sure wouldn't close my bank account. The most probable reason they can get away with it is that people mix their funds with private money. If you have ever done that with that account then yes, close it and immediately open a new one for your pension funds only. Never let any other money get into that account. If you need a separate account in which to deposit money from other sources then open one in some other bank. You should never deposit money from some other source into any SSI bank account. Let the government make the deposits. Then if they freeze they have violated federal law and you can sue them for doing that and make them pay dearly. You can sue them at both the state and federal levels. File a state case against them for illegal garnishment and once that is settled for about $25,000 then take them to federal court and whang them again. Now then under federal law it is illegal for them to even threaten to garnish SSI money, let alone do it. The way I do it is to draw out all the money except for about $25 on the 1st of each month. I never write checks or allow anyone other than myself to get money out of that account. No automatic bill pays, no on line purchases, no ATM withdrawals, nothing. Get it all in cash as soon as it comes in. Then use other bank accounts to do all that other stuff so there can never be an overdraft on my SSI account. That's the way I'd do it then beg them to freeze your account. That will break them of sucking that rotten egg. (LOL)
I've got a case going on right now but they will never even get a judgment, let alone dream about getting to my bank accounts. I've got a hearing coming up Aug. 26th on my motion to sanction the lawyers which means the court will make them pay a fine for their dumb tricks. Then I'll file motion for summary judgment and the judge already said he would grant that too.
You see, I don't face the music, I lead the band and I teach my students how to do the same.
Bill Bauer
(405) 237-2174