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QUESTION: my wife and I are separated and we both have payday loans out out the same place. neither one of use was able to pay our loans that were around $200 apeice. I just received a small claims hearing for the total of both amounts and our names are put together. My seperated wife recieves ssi and I am employed. Can they sued me for her loan that was done separately?
ANSWER: Usually a creditor may not sue someone who is not signed on an account however this depends on your state. If they obtain a judgment they can usually attach wages and bank accounts but they cannot attach your x's ssi check.
Let me know what state you are in and I may be able to be more specific.
I know payday loan companies can be abusive so you may want to call them with a small payment proposal. Record the call and see if you can catch them breaking the law by abusing you or calling names etc. Use this in court or play it back to them prior to the court date and they may drop the suit. Make sure it is legal to record calls without notice to them in your state.
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QUESTION: I live in washington state. Can they combine my wife's payday loans to mine. I think they tried this because they can't touch her ssi and are hoping I don't respond to the suit.
No they cannot combine the accounts. You may want to find out whether they are members of CFSA (Community Financial Services Association). Read their member guidelines. If they are in violation file a complaint with the CFSA and your state Dept of Commerce.
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Answers by Expert:
Michael Brotherton
Expertise
Consumer/Debtor Rights Advocate. Mike Brotherton is a negotiator with over 30 years experience in consumer lending and collections. Mike has 30 years in the credit and collections industry as a former loan officer, debt collector and manager of two finance companies over several years. Mike is well versed in Loss Mitigation practices and the legal collection process. He has helped literally thousands of people over many years overcome serious financial problems such as foreclosure, creditor lawsuits and abuse by debt collectors. For more information about resolving your "financial emergency" visit www.financialemergency.com. FinancialEmergency.com is a consumer web site which actively promotes Fair Debt Collection Practices and other consumer protection laws. We teach DEBTOR RIGHTS and enforcement of those rights. The more informed you are of your rights and the credit collections practices of creditors the more peace you can have dealing with your FINANCIAL EMERGENCY. Most financial problems are fairly common and as such have some very common solutions. The key is understanding your rights in the collection process and how to enforce them if need be. Primary business- Debtor Rights Advocacy and Debt Mitigation relating to foreclosure, creditor lawsuits, and other serious financial problems. www.financialemergency.com (copy and paste in browser).
Experience
Over 40 years combined experience negotiating disputes and resolving financial issues related to consumer debt, corporate issues and mortgage modifications.
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