So you are being sued by a creditor (or worse, creditors) for a debt that you simply can't pay. They keep sending you letters demanding money, and finally, they get a judgment. The scary part now is that you don't know what happens next, or what can happen.

You might be worried that they will levy on your bank account and take that money. Then how will you pay the mortgage or rent, your car loan, or the electric bill? But wait . . . maybe they don't know where your accounts are, where you bank. You then worry ...

How Can a Creditor Find My Bank?

Just because a creditor sues you and gets a judgment doesn't mean that they know where all of your stuff is. They still have to find it in order to collect the debt absent any payment by you. In my experience, there are two ways in which they can find out where you bank.

They Kept Records of Payments

Have you made any payments in the past to a collection agency or the law firm? They may have made copies of the checks before depositing them. Now they have the routing and account numbers! When I was working for creditors, I used to tell them to make photocopies of checks as they came in just in case. Knowledge is power!

You Told Them Where the Accounts Were

Yep! You told them! Now chances are, if you did, you would know it, and at least see the levy coming or know that you need to take action. How did you tell them?

Because they sent you a document called an Information Subpoena requiring you to make full financial disclosure of assets, liabilities, and income sources. In essence, they forced you to tell them where your money was!

So What Do I Do?

If you haven't made payments to this creditor, its collection agents or lawyers, in a long time, or you changed banks since you did, then you are most likely safe for now as long as you didn't answer their information subpoena.

But this does not mean that you should do nothing!

It is only a matter of time before they do something, even if it's recording the judgment as a lien against your home (if you own it). They are going to do something, you are going to wake up one day to no money in the bank or an imminent wage garnishment, and by then it may be too late. You need to take action now!

You're Not Alone; I Can Help!

It's one thing to decide to make payment arrangements with the creditor; it's another to pick up the phone and call (and sometimes even harder to do it successfully)! I have helped lots of people establish an affordable payment plan with lawyers for creditors due to my extensive experience in being one of them myself!

If you are being sued for a debt in excess of $8,000, live in New Jersey, know you need to make payment arrangements with a creditor, and are ready to take action, then call me immediately at 856-432-4113 to schedule an appointment!

Want more information on how creditors use the courts to collect debt? Then download my free book, The Biggest Secrets Your Creditors Don't Want You to Know. Knowledge is power!

But if this debt is not the only one, and you are wondering whether you need a solution to a bigger problem, then download my free book, Am I In Too Deep? A Guide to Knowing When You Need to File Bankruptcy in New Jersey to find out if bankruptcy might be the right solution. You could also just give me a call and come in to discuss it further!

You can also take the quiz to the right to find out if bankruptcy is the right solution!

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Steven J. Richardson
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Bankruptcy, Collections, Student Loan, DUI and Traffic Court attorney in Woodbury, NJ.

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