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tonjaykay

Bank Judgment

17 posts in this topic

I have a question.... back in 2003 I had a bank loan well over time I did not finish paying off the loan. That particular bank sold it to another bank who in turned garnished my bank account adding a judgment to it! This led me to closing my other bank account that I had and I got me a pre-paid bank card to avoid them doing the same thing to my other account! My question is if I am on another person's bank account as a "joint holder" not the main person can this bank go in a put a "judgment" on their account or garnish their money?

 

Thanks

Tonya Johnson

 

 

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The creditor obtained a court judgment against you. That judgment allows the creditor to attach your non exempt assets to collect that debt. That includes your share of a joint a bank account. 

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So they can garnish another person's bank account with my name on it? Wow, so I may never be able to open up another bank account anytime soon?

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59 minutes ago, tonjaykay said:

So they can garnish another person's bank account with my name on it?

 

Yes.

 

59 minutes ago, tonjaykay said:

Wow, so I may never be able to open up another bank account anytime soon?

 

Exactly.

 

 

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Well, actually when the other person puts your name on their account it becomes at least partially your account.  So the judgment creditor is not garnishing another person's account.

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So keeping a pre-paid bank card will be my only other option until the judgment falls off of my credit report in the  next 3 to 5 years?

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So keeping a pre-paid bank card will be my only other option until the judgment falls off of my credit report in the  next 3 to 5 years?

 

No, In Texas, judgments are initially valid for 10 years. Unless it is renewed, it expires automatically at the end of the initial 10-year period. However, a creditor can renew its judgment for another 10 years and then another 10 years after that, and so on forever.

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21 hours ago, tonjaykay said:

My question is if I am on another person's bank account as a "joint holder" not the main person can this bank go in a put a "judgment" on their account or garnish their money?

 

It's not clear what you mean when you say that you are "a 'joint holder' not the main person."  That doesn't make any sense.  If two persons have a joint bank account, there is no "main person."  On the other hand, if David has a bank account, he can designate Susan as an authorized signer, but in that case, Susan wouldn't have any ownership interest in the account.  With that said, if you're a joint owner of an account, the money in the account is at risk.  If you're not a joint owner, then then money in the account should not be at risk.

 

 

21 hours ago, tonjaykay said:

Wow, so I may never be able to open up another bank account anytime soon?

 

Well...ummm...you could try actually paying your debt.  You could offer to make payments.  Or you could file for bankruptcy.

 

 

16 hours ago, tonjaykay said:

So keeping a pre-paid bank card will be my only other option until the judgment falls off of my credit report in the  next 3 to 5 years?

 

The judgment being on, or falling off, your credit report has nothing do with this.  Based on a quick and cursory google search, it appears that judgments in Texas are enforceable for ten years, and they can be renewed for additional ten year periods.  You didn't say when judgment was entered, but it seems likely that the initial ten year period may be close to coming up or may have already expired.  If it hasn't already expired, then the question becomes whether your creditor is sufficiently motivated to renew the judgment.  When was the judgment entered against you?

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So if I'm added as an "authorize user" and not a "joint owner" on a person's account  it won't affect their account even if I have a judgment against me? I'm just trying to make sure that I understand this correctly before this person adds me to their account! If being just an "authorize user" won't affect their accounts then that is what I'll have them to do when they add me to their account instead of "joint owner"!

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57 minutes ago, tonjaykay said:

So if I'm added as an "authorize user" and not a "joint owner" on a person's account  it won't affect their account even if I have a judgment against me? 

 

Are you going to put your own money into it?

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Understand though, that the money in the account is only at risk from time to time when the creditor files a new garnishment to seize the funds in the account at that time.  The creditor's claim is not continuous.

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No, I will not be adding any of my money to the account I will just be an "authorized user" in the event the person needs me to take care of some bank business for her!

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For ex: If the person is unable to get to the bank to do a withdrawal then I would go to the bank and do the transaction for her and I know the bank will only allow that if I'm on the account as an "authorize user"!

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Just understand that if the bank learns of the account and garnishes it, it could be tied up until the hearing when you would have to prove that none of the money is yours.

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14 hours ago, tonjaykay said:

So if I'm added as an "authorize user" and not a "joint owner" on a person's account  it won't affect their account even if I have a judgment against me? I'm just trying to make sure that I understand this correctly before this person adds me to their account! If being just an "authorize user" won't affect their accounts then that is what I'll have them to do when they add me to their account instead of "joint owner"!

 

If someone is considering adding you in any way to his/her account and you don't disclose that you have a judgment against you, I could make a darn good argument that you're committing fraud.  That said, you have correctly restated what I previously wrote.

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