In New York, around 75,000 people have been awarded $59 million in a class action lawsuit against the debt collection industry.
The court found a large system of debt collectors only pretended to notify their debtors of lawsuits. Then, when the debtors didn’t show up in court, the collection agencies automatically won the case.
As a result, thousands of people had their wages garnished, their accounts frozen, and their property seized.
This case brings up an important problem with debt collection: these companies are enormous. They have a lot of money, and a lot of power. They can be very intimidating, especially when they use illegal tactics.
Fortunately, there are laws to help debtors deal with debt collectors. And I outline exactly what your rights are in my free report Creditors Can’t Do That.
In this report, I tell you the 13 things a creditor CAN’T do and how to fight back when they cross the line.
It’s also important to note that bankruptcy can immediately stop lawsuits, wage garnishment, repossession, and foreclosure. If that’s something you’d like to discuss, you can contact our Memphis bankruptcy attorneys today.