Until you receive actual notice that they have ALREADY filed suit, the credit card collector is LYING. Even AFTER they win the lawsuit, they can’t actually seize a car without a SEPARATE court order. Not even the IRS can seize retirement accounts under current law.
Not unless they go to court and get a judgment against you, then they have to try to get a judge to allow them to go after those items and in most cases vehicles, a means to get to work and earn income, and retirement funds are not items a judge will allow to be taken.
Bob
Budget Assist LLC
The simplest form of asset protection planning involves the ownership of "exempt" property that state law considers unreachable by creditors. Each state has its own laws defining exempt and non-exempt property. Certain property may be entirely exempt while the exemption for other property may be limited to a certain dollar amount. Examples of exempt property include:
Primary residence in some states
Household furniture and furnishings
Clothing and jewelry
Tools of a trade or business
Life insurance benefits may also be exempt property.
Federal law provides that most creditors cannot reach the assets held by qualified retirement plans. This includes pension, profit sharing, and 401(k) plans. Self-employed plans and Individual Retirement Accounts MAY be protected from creditors depending upon your state’s laws.
November 30th, 2009 at 7:21 am
Until you receive actual notice that they have ALREADY filed suit, the credit card collector is LYING. Even AFTER they win the lawsuit, they can’t actually seize a car without a SEPARATE court order. Not even the IRS can seize retirement accounts under current law.
November 30th, 2009 at 7:21 am
Not unless they go to court and get a judgment against you, then they have to try to get a judge to allow them to go after those items and in most cases vehicles, a means to get to work and earn income, and retirement funds are not items a judge will allow to be taken.
Bob
Budget Assist LLC
November 30th, 2009 at 7:21 am
The simplest form of asset protection planning involves the ownership of "exempt" property that state law considers unreachable by creditors. Each state has its own laws defining exempt and non-exempt property. Certain property may be entirely exempt while the exemption for other property may be limited to a certain dollar amount. Examples of exempt property include:
Primary residence in some states
Household furniture and furnishings
Clothing and jewelry
Tools of a trade or business
Life insurance benefits may also be exempt property.
Federal law provides that most creditors cannot reach the assets held by qualified retirement plans. This includes pension, profit sharing, and 401(k) plans. Self-employed plans and Individual Retirement Accounts MAY be protected from creditors depending upon your state’s laws.
Search on "asset protection" + your state