[maxxie]

I was told that if you receive SS disabiliy a debt collector or their lawyers cannot bother to coleect debt is this true.

[Cada]

I don't believe it is true, it just makes you a less likely candidate to pursue if the disability is permanent and all your funds/assets are exempt from collection efforts. Even though S.S. and disability funds from most sources are exempt under federal and I think most state laws, it isn't enough to prevent a collector from trying to collect. Some collectors may decide it isn't worth their time while others may try to break you down or go after a judgment with the hope your financial situation changes in the future. I'm not an atty so this is just my opinion. It's always best to consult a professional when looking for answers to these types of questions, especially since collection laws can vary so much from state to state.

[DelaneJ]

Cada, on 06 February 2012 - 04:13 PM, said:

I don't believe it is true, it just makes you a less likely candidate to pursue if the disability is permanent and all your funds/assets are exempt from collection efforts. Even though S.S. and disability funds from most sources are exempt under federal and I think most state laws, it isn't enough to prevent a collector from trying to collect. Some collectors may decide it isn't worth their time while others may try to break you down or go after a judgment with the hope your financial situation changes in the future. I'm not an atty so this is just my opinion. It's always best to consult a professional when looking for answers to these types of questions, especially since collection laws can vary so much from state to state.

FEDERAL LAW STATES:

(and I'm quoting from memory)

USC 407-970 & SSR 79-4

" SOCIAL SECURITY INCOME AND VETERANS DISABILITY INCOME
is exempt from execution, attachment, garnishment or other LEGAL PROCESS or from the operation of any Bankruptcy, or insolvency law"
If you are the recipient of this income check your specific state laws. Also if you have limited assets they may be protected under your states "Homestead exemption code" Check with a Bankruptcy Attorney for advice, especially if you have been sued, as your exemption document will have to be filed with the court BEFORE JUDGEMENT IS FINAL.

I SUGGEST THAT YOU PREPARE OR HAVE YOUR BK ATTORNEY PREPARE A NOTARIZED DOCUMENT, SHOWING YOUR SOCIAL SECURITY OR VET DISABILITY INCOME AND ALL QUALIFIED ASSETS, and when you get a letter from a Debt collector...send them a copy advising them of your exemption status and reference the FDCPA which states that it is a violation to "abuse, harass, oppress or cause anxiety or stress" ( review the fdcpa for exact language) This just might stop them from pursuing you , but if a suit does occur, go to court and request the judge to "dismiss the suit" in view of your exemption status.