Can a creditor do this?

[DYLAN150]

Can a creditor who has a judgement against you take your car if it's not paid off and you still owe on it?

[Bell30656]

Each state law is different so be sure and check yours but in my state: Yes, yes they can! Of course, since they would be the secondary lien holder the primary lien holder can get the vehicle from them.

[HHM]

Can they, yes! Will they, not likely.

It is a rare collection tactic for a judgment creditor to after the car. They must contend with a likely primary lien holder, which they must pay off; and you are still entitled to your equity exemption.

[Bell30656]

Correct me if I'm wrong but doesn't the equity exemption only apply if you declare bankruptcy? Georgia has the Writ of FiFa where a person with a judgment can get a Writ bring the sheriff's department to assist them and literally carry off your property.

I know someone that lost a vehicle to one of these Writs when a former landlord got a judgment against him. He got the vehicle back but was forced to pay the judgment to do so. From my experience it is the small time local creditors that tend to use these type of tactics rather than the big collectors that are out of town.

I also believe that you have to receive a notification of the judgment with XX number of days to pay it before anything can be seized.

[HHM]

As previously stated, this is going to come down to state law.

As for exemptions, they apply in both bankruptcy and standard collection. Actually, the exemptions, first and foremost, prevent judgment creditors from taking certain assets, the exemptions are only secondarily part of the BK system (the reason exemptions apply in BK is because the trustee acts "as if" he is a judgement creditors).

It sounds like GA may allow seizure of the car. All your friend had to do (potentially) is call their bluff. If their was a primary lien holder (car finance company) and if there is a GA vehicle exemption, all your friend had to do was go to court, claim the exemption, and have the judgement creditor sell the vehicle. The proceeds would have gone first to the primary lien holder, second to the exemption amount, and then third to the judgment creditors. It really just depends on the numbers.

[frogger]

I also believe that you have to receive a notification of the judgment with XX number of days to pay it before anything can be seized.

In GA, after getting judgement, you get a fifa. Then, you can go after any real property without further notification. Happens all the time.

[moonbeam9209]

so how long does it take them to get the fifa? Does it give the debtor a time frame to file bk?

Just wondering because Target Visa got a summary judgement against me on February 11th. I need to know how much time i have to save my car.....

not worried about bank accounts, they are usually empty or close to it.

[HHM]

I honestly wouldn't be worried about the car. A judgement creditor going after a car is a rare tactic.

[DYLAN150]

Look's like if you have a leased auto your ok then. I am finding out that most creditors want cash not things. They want to garnished your wages or take your bank account.

[moonbeam9209]

you say not to worry about the car, but I don't have anything else but the house. I am self employed and only work part-time as a bookkeeper, and my hubby just does odd jobs to make money. (he has been trying for over a year to get a job)

I have read about how in Georgia that the Sheriff can come and seize your things if you have a judgement against you.

What else would they come after? And do I have time before they can actually come get things?

[moonbeam9209]

In GA, after getting judgement, you get a fifa. Then, you can go after any real property without further notification. Happens all the time.

So how long does THIS process take?

Thanks!

[HHM]

Well, instead of worrying about what can be taken, why not start focusing on what can be done to SOLVE the debt problem. It is ALWAYS better to play offense.

I suppose the only good thing about the judgment is that it sounds like it will motivate you to do something. Why you let it go this long, only you can say.

I don't know about GA specifically, but once a creditor has a judgment, they can usually get the necessary documents and court order to go after assets within 2-3 weeks.

[moonbeam9209]

thanks for the reply. I have let it go this long basically to come up with the money for an attorney. Our tax return will be here on the 4th, and that should afford us to hire an attorney.

I am just concerned about the next couple of weeks of protecting my a--.

I also figured the longer I waited, the less my car would be worth. I made the mistake of putting it only in my name when we moved to georgia, so I suppose I can only take the 3500 exemption.

Also, was hoping to get a loan mod done, but we were denied the first time because of not enough income. I think I stated things a little bit low on our profit and loss, to keep the payment low, but eneded up screwing ourselves in the process. We have another loan mod pkg from our lender, but I see no reason to go through the process again. Hopefully they will still deal with us after we file. (ch. 7 and we ARE behind in our payments) We have been on a loan forbearance since July of last year, but are making those payments on time.

So, as you see there are a lot of variables here. I really appreciate the advice. I am hoping to get our tax return and spend it before they seize anything. Part of it on the lawyer and part on repairs, etc.

[Bell30656]

Moonbeam, I don't think you need to be too worried about the car. Here's a quote from some information that Forsyth County has put out about collecting on a judgment that spells out the process. Several counties including Gwinnett have pretty user friendly court websites. Barrow doesn't seem to have theirs yet. A FiFa can be issued immediately after the judgment but usually isn't for a certain number of days set by each court. This gives the defendant time to pay the judgment after losing.

Since all these motor vehicle forms have to be done by mail, I think you've got a while.

http://www.forsythco.org/pdf/files/S...btors%20MV.pdf

[moonbeam9209]

Thanks Bell. That makes me feel a bit better. I have tried to find something about this on Gwinnett County's website, but maybe I just didn't look far enough.

They say
"For a default judgment, the writ may be issued immediately, but for a contested
case, the writ of Fi.Fa. cannot be issued until 10 days after the date of judgment."

They were awarded a summary judgement, but I don't understand if it was by default. We had a court date set on March 17th, but the judge issued a summary judgement, because he didn't think there was cause for a court hearing.

I wonder, if these Lawyers have already done the search to see if I own motor vehicles in the state of Ga, or if they know anything really until after they get the judgement? Kinda like which came first, the chicken or the egg?

Do they research all of this stuff, like whether I have wages to garnish, or assets BEFORE they bother to serve you, or request a judgement? Or do they start their research AFTER they are awarded a judgement and only THEN do they try to place a lien on something. I really don't care if they have a lien on my house, and I am self employed so they can't garnish wages, but I really don't want the sheriff showing up at my door to take my car.

I hope I can get my tax refund quick, and get this ball rolling.