alt.social-security-disability

On Thu, 02 Aug 2007 07:25:52 -0700, daveh551 wrote:

>On Jul 31, 7:41 pm, Puddin' Man wrote:
>> I know some of this was addressed in previous posts, but it was
>> so voluminous I wasn't able to follow ...
>>
>> A lil' gal I went to hi-school with is on SS disability, owns
>> a house out in the CO boondocks. She had clear title, but
>> bill collectors have been chasing her and *may* now have
>> lien(s) on the property.
>>
>> A collector got a piece of her checking account and she
>> closed all her bank accounts.
>>
>> Is there a nutshell description of what a collector can/
>> cannot do to someone living on SSD (only)?
>>
>> If she opens, say, a NY checking account with a big player like
>> Citibank, are collectors likely to be able to trace it?
>>
>> Anybody heard of any of the following being transferred to
>> a lien on real property:
>>
>> a.) Credit card debt.
>> b.) Hospital bills
>>
>> ??
>>
>> TIA,
>> Puddin'
>>
>> "Mit der Dummheit kaempfen Goetter selbst vergebens!"
>> -Friedrich Schiller
>
>A couple points:
>1. Opening an account with a remote bank will not necessarily shield
>it from being discovered by collectors.

Goes without saying.

Stated Q was "are collectors -likely- to be able to trace it?".

>There are reporting/data
>services that track all inquiries, similar to the credit unions.

I'm not aware of any. If you have source info substantiating
such "reporting/data services", I'd be interested to hear.

It's not enough to say the Homeland Security folks, who are
mostly wasting endless billions, *should* be doing such.
If they're doing anything with demand deposits and the like,
it'd be large scale. Maybe they could trace a strange new $5kk
acc't: not the $1200 or so she'd need to pay nickel/dime bills.

>Actually, it's possible she might do better with a very small, local
>bank that does not participate in these reporting services, but I
>don't know how she would find one.
>
>2. If she does open a checking account, make sure that the ONLY thing
>that goes into that account is her SSDI income. That income is
>legally protected from garnishment or seizure, but it has to be
>segregated for the protection to be effective, and it may be up to her
>to make sure that protection is honored. (in other words, it's
>possible creditors might still seize the funds in the account, but she
>could legally demand that they be returned, and a judge would honor
>that. Most times, if you inform a creditor that the only funds in an
>account are legally exempt funds from SSDI, they won't bother because
>they know they will lose.)

Thanks. I concur 100%.

>3. Laws concerning liens and their effects are dependent on the
>state. In Texas, for example, there is a homestead provision that
>makes a lien on your primary residence (your homestead) ineffective at
>best.

A very relevant point.

Anybody from Colorado familiar with such laws in that fine, fine state?

Thx,
Puddin'

"Mit der Dummheit kaempfen Goetter selbst vergebens!"
-Friedrich Schiller