A column by Margaret H. Johnson ACE, RQIC, a thought leader in the field of credit education and money management.
Debtors Rights
There is no debtor prison
There is no debtor prison
No you cannot go to jail for not paying your debts
One of Janice and Larry’s creditor’s has obtained a judgment against them. This couple have heard many collection stories and Janice is afraid the judgment creditor is going to garnish their wages, she thinks they may lose their jobs, or worse, that they might be put in jail. They are both relieved to hear there is no such thing as debtor prison.
Stop Creditor Harassment
Stop Creditor Harassment
Consumer Credit Laws
There are a lot of laws out there that can benefit you. Although you may not be aware of them, the laws are in place to protect you. There is a law that requires collectors to clearly identify themselves when they contact you. A collector may contact you by mail, telephone, or fax. However, a debt collector may not contact you at unreasonable times or places, such as early in the morning or late at night. Check your provincial laws to see what time frames apply. A collector may contact you at work unless you have told tell them not to.
Say it isn't so
Say it isn't so
Bullies in the debt collection industry
What can a bill collector really do to you if you owe a debt that you are unable to repay? Well, some in the collection industry would say that depends on who the collector works for – the credit grantor, which makes the collector a first-party collector, or a collection agency, which makes the collector a third-party collector.
Inherited Debts?
Inherited Debts?
No Way! Show me my signature.
What if someone dies, can they leave their debts to you? The short answer is no.
Debts do not transfer by virtue of marriage or death – not without your signature.
Even in Debt..
Even in Debt..
You have rights too…
Last week I received a telephone call from Jessie, a 31 year old, single mother of three. She was sobbing hysterically because a debt collector had told her he was going to garnish her wages. Jessie was afraid that if he garnished her wages and thereby deprived her rent money she might be thrown out on the street with her kids. After several minutes I managed to reassure her that the debt collector, calling on behalf of a finance company, could not garnishee her wages. At least, not without having obtained a judgment first.
Enforcement of a Judgment
Enforcement of a Judgment
No you cannot go to jail for not paying your debtsThis column is not legal advice. If you are being sued or garnisheed speak to a professional today. Do not wait.
Paying the Piper
If the debtor either cannot or will not pay the debt, the creditor has several possible courses of action to attempt to enforce their judgment.
The creditor may choose either to garnishee the debtor’s wages or bank account or to seize some of the debtor’s goods under an execution order.
Remember, if you are experiencing financial difficulties do not wait. Speak to a professional today!
Margaret H. Johnson ACE. RQIC is president of Solutions Credit Counselling Service Inc. offering 100% confidential and unbiased credit counseling, debt consolidation and credit education services. She can be reached by e-mail at This email address is being protected from spambots. You need JavaScript enabled to view it. or call toll-free in Canada - 1.877.588.9491.
If you are a woman in debt, speak with Women and Money first. We specialize in helping women with their personal and business finance. Money management advice you can count on!
