Debt Mortgage on my credit

[creditcardfree]

I'd get a second lawyer's opinion.

[Seeker]

ericakj,

Did you take out a "personal loan" and give the money to your friend for the house?

Any documentation of this loan with your friend and the fact that s/he was to pay you back?

Were you named on any legal document as having any proportional interest in this house?

Depending on the answers to these questions, determines whether or not you have any legal recourse. But if the house was upside down and your friend has nothing left either, the questions/answers may be moot anyway.

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As far as seizing your paycheck, or garnishing wages, or having a creditor sue and win a judgement against you, what happens depends on your income amount and the state in which this has happened. There are limits to amounts that can be taken from wages.

Generally I believe (and it varies by state and this info may be outdated), that people must have a "survivable" amount of 30 times the federal minimum wages (this amount is exempt from seizure). Any amounts over 30x federal minimum wages (again some HCOL states have different minimum wages), is garnishable/seizable but only 25% of that overage. There are some exclusions that up the percentage (child support garnishments for instance), but all of that is a case-by-case issue and usually decided in a court of law.

If you do not "have enough to give them 50 bucks" then you may be "judgement proof" in the sense that they could not win a lawsuit judgement over you and/or they could win but not be able to garnish anything. But the courts would be "digging" though your income and expenses to determine whether you are "judgement proof" due to your income levels being too low, or due to your own spending choices, or extenuating circumstances (the auto accident that you posted about previously).

Do what "deadgoon" suggests in response #8 above, and if they continue the calls after receiving that letter, report them. They are at that point, breaking the Fair Debt Collection Practices Act.

Your only other alternatives:

1) ignore the harrassing calls and wait it out (ruining your credit for the next seven years or so)

2) declare bankruptcy (which will ruin your credit for the next decade or so)

3) if you have any documentation with your friend owing you 30k, then pursue it with another lawyer. But if you have no supporting evidence, then you have no case.

[tripods68]

If you can't pay back the loan, what's the point of getting a lawyer, its just another way for you to get screwed.

Your FICO is already tarnished for at least 7 years---ignore those collection call. Get a new phone number.