Judgment creditor looked me up on ChexSystems?

[indigocat86]

Hello everyone ,

Not sure if I'm posting this in the right place but I could really use some advice on something: This summer, I moved to a new state, where I am now living and attending grad school. In the state where I lived previously, one of my creditors got a judgment against me. This was at my old address, where I have not lived since this spring (I moved home in the time in between leaving there and starting school here). Recently, I requested a report from Chexsystems and got it back in the mail. Under the inquireries section of the report (has anyone on here seen one of those?), the judgment creditors' attorney (*cough*debt collection's agency with a fancy letterhead*cough*) showed up. This was on or around the 20th of last month. A few days after that, I received a letter from the judgment creditors' "attorney", dated a few days from the date of the inquiry, requesting that I contact them before "our client exercies its' rights to collect on the judgment". The letter was actually addressed to my last address in my old state (it was forwarded to my new address in the new state via the postal service, as I had set up when I moved).

I am actually in the process of filing for a Chapter 7 bankruptcy as I just have so much bad debt and no way to pay it without sacrificing the fundamentals (like rent) at least until I get out of school, which is at least 2 and a half or 3 years from now (and we all know these creditors won't wait..). I've consulted with several attornies here and they have all advised me just to ignore the correspondence as it would, in their words, be hard for the creditor to enforce the judgment as I am in a new state, bank entirely there, and this state requires the creditor to essentially re-file the suit in order to attach here. Yet I am concerned that they are looking/have looked into me on Chexsystems. They seem to have only found my old address on there--in the state where the judgment was where I no longer live work or bank. But is this even the standard? Are they even allowed to do this? Or is this just typical of the way things go post judgment, before bankruptcy?

Any and all advice on this would be much appreciated! Just want to make sure I know what my rights are.

Thanks!

--indigocat86

[daxtell]

i did not even know someone else could get personal information about you on this chexsystems. this is the first i have heard of that. i thought chexsystems reported bad checks only. and banks used it when you were opening a new account with them. i did not know others had access to it.

[Nicollette]

I didn't realize creditors did this, but I guess it doesn't surprise me! Maybe they were looking at your chexsystems report to see if you opened up an account at a bank in your new state, and possibly try to levy it since they did get a judgement against you? I'm not saying, that's what they are trying to do, just throwing out some ideas of why they inquired on your chexsystems report?

[WhatMoney]

Of course any judgment holder can find you on ChexSystems. And any account locater service can provide that information as well. Also, the largest check printers like DeLuxe report your name, address, bank account number, and check starting number to ChexSystems. If you have opened a checking account and been given printed checks in the last three years, you are probably in ChexSystems, and visible to anyone with a need to know, like a judgment creditor.

This is hardly a new subject here. Just enter chexsystems in the search box at the upper right of the page, and you will find hundreds of threads where chexsystems is mentioned. For example, this one:

http://www.bkforum.com/showthread.ph...ht=chexsystems

[frogger]

Yet I am concerned that they are looking/have looked into me on Chexsystems.

Once again to everyone listening:

EVERYTHING about you is for sale. All of your information that is gathered and collected is for sale by someone. Chexsystems does not directly sell your information, but they own a company that does.....

[treehugger1]

I had the chexsys report run by a judgment creditor against me also. I think I posted this on another post months ago. I finally stopped using checking accounts that posted to chexsys (these do exist, but do your own due diligence.) I also then went out and "attempted" to open checking accounts at dozens of banks. I was on chexsystem for a defaulted overdraft with a major bank. Now my chexsys report shows dozens of potential places where I could bank. Chexsys does not necessarily suggest that you ever opened an account with the banks where you applied. I got so tired of it, I thought it would be fun to give everyone something to look at. My report is about 9 pages long! LOL

[GoingDown]

LOL! My Chexsys report is probably blank because I haven't had a checking account in over 5 years.

There's not much for my creditors to look at.

[ryan]

I also then went out and "attempted" to open checking accounts at dozens of banks. I was on chexsystem for a defaulted overdraft with a major bank. Now my chexsys report shows dozens of potential places where I could bank. ...LOL

I love this! lol, can you imagine some clerk trying to figure out where to send judgment lien orders???

[indigocat86]

Well I think I now know what they were up to../could use some advice!

Last night, I checked the website for the court where the judgment was entered and noticed that they had applied for a non-wage earner garnishment on my bank in my old city/county. I only kept that account open for smaller amounts and purchases (mainly for the little bit of selling I've done on Ebay and other places). It now literally only has about $5 in it. I've read up on the exemptions laws for my old state enough to know that garnishments are exempted up to $150. So if I have less than that amount, can they not touch it at all? Or do they freeze it until I would put more in there (which I of course now have no intention of doing, at least not until this is resolved with the BK)?

Should I just close the account now, while they are still in the process of getting the paperwork in, thus beating them to the punch? Or should I simply leave it be as if I'm correct, they cannot get anything anyhow as it's under $150 (per the laws of the state where the judgment was entered)? I guess I should've just closed the account when I moved but I was still fighting the suit at that time and it is a really conveinient bank and debit card to have as it's a nationwide outfit (I just moved cross country basically) and is virtually everywhere. But I would definitely want to close it over it being frozen! But then again aren't garnishments and levies two different things?

Sorry to ask so many questions, all at once...just confused! Any and all feedback would be MUCH appreciated!

Oh and don't they have to send me notice of the garnishment or attempt for it? Or at least a debtor's inquiry of some sort? I just want to make sure I know my rights are not being violated as this "firm" has a long reputation of doing just that, from my research..

[WhatMoney]

Last night, I checked the website for the court where the judgment was entered and noticed that they had applied for a non-wage earner garnishment on my bank in my old city/county. I only kept that account open for smaller amounts and purchases (mainly for the little bit of selling I've done on Ebay and other places). It now literally only has about $5 in it. I've read up on the exemptions laws for my old state enough to know that garnishments are exempted up to $150. So if I have less than that amount, can they not touch it at all? Or do they freeze it until I would put more in there (which I of course now have no intention of doing, at least not until this is resolved with the BK)?

Should I just close the account now?

Yes, unless you want further charges and hassles with this account.

The $150 exemption rule may mean nothing to the bank - they usually freeze the account first, deduct their "legal fee" for doing so, another $100 to $150 charge to your account, and leave it up to you to claim the $150 exemption with the court. You could end up with an overdrawn bank account and a court hearing to claim the exemption - although if the bank took their legal fee first you would have nothing left to exempt. The term of the levy depends on the state laws - it could be a one time levy or could continue for 3 months depending on the state. You NEVER get any advance notice before a bank account garnishment.

This was all discussed in detail a few weeks ago in this thread:

http://www.bkforum.com/showthread.ph...341#post475341

[chicagoannie]

I had the chexsys report run by a judgment creditor against me also. I think I posted this on another post months ago. I finally stopped using checking accounts that posted to chexsys (these do exist, but do your own due diligence.) I also then went out and "attempted" to open checking accounts at dozens of banks. I was on chexsystem for a defaulted overdraft with a major bank. Now my chexsys report shows dozens of potential places where I could bank. Chexsys does not necessarily suggest that you ever opened an account with the banks where you applied. I got so tired of it, I thought it would be fun to give everyone something to look at. My report is about 9 pages long! LOL

Well, THIS IS FUNNY! Good for you - I never would have thought of doing this; 'course I thought Chexsys was available to banking institutions ONLY, not creditors.