Get Out of Debt Thursdays | Live Q&A with Attorney John Skiba

TL;DR

Learn how to handle debt collection lawsuits and find resources to resolve debt issues and move on with life.

Transcript

hey everybody Welcome to Thursday night John skba here with the consumer Warrior YouTube channel here like I am each and every Thursday night to talk about all things debt related uh again I'm John skeba founder of the consumer Warrior YouTube channel uh I'm also an attorney in the state of Arizona where I practice in consumer bankruptcy and defend... Read More

Key Insights

• 🍉 Taking action to resolve debts and debt collection lawsuits is crucial to avoid long-term consequences.
• 💌 Cease and desist letters may not completely stop communication from debt collectors, especially during ongoing litigation.
• 💁 Bankruptcy requires thorough disclosure of financial information, including payments made to family members or friends.
• 🥺 Being "judgment-proof" does not guarantee freedom from debt collection efforts, and changes in circumstances could lead to future liabilities.
• ❓ Debt collectors may still attempt to contact individuals even after the statute of limitations has expired.
• 🖐️ Witness testimonies, document admission, and objections play a role in debt collection trials.
• 🛩️ Arbitration may not be likely if the debt amounts are small, as the costs involved for the creditor may not be beneficial.
• ⚾ Filing motions to compel arbitration or dismiss based on specific rules can be effective strategies in debt collection cases.

Questions & Answers

Q: Can a debt collection law firm be sued for violating the Fair Debt Collection Practices Act if they continue contacting after a cease and desist letter was sent?

While the FDCPA primarily applies to debt collectors and not original creditors like Bank of America, there are exceptions. However, if the lawsuit was filed and the communication is related to the litigation, it is generally permitted. It is advisable to consult an attorney in your state for specific advice.

Q: How does the bankruptcy trustee find out if debts were paid back to family members or friends within a year before filing for Chapter 7 bankruptcy?

Debtors are required to disclose any payments made to family members or friends in the statement of financial affairs submitted during bankruptcy. Intentionally hiding assets or failing to disclose information can result in felony charges.

Q: Should a 78-year-old individual living on Social Security without any assets be concerned about debt collectors suing them?

While it is possible to be considered "judgment-proof" in certain situations, debt collectors may still attempt to contact and harass individuals for payment. It is crucial to consider the potential for future changes in circumstances and seek legal advice before deciding to do nothing about a debt collection lawsuit.

Q: If a motion to set aside a judgment has been submitted but there has been no response yet, what should be the next steps?

It's important to wait for the time period for response to expire and ensure the motion was properly served. If the deadline has passed and no response has been received, contacting the court for an update on the status of the motion is advisable.

Summary & Key Takeaways

• John Skeba, founder of the Consumer Warrior YouTube channel, offers tips and resources for individuals dealing with serious debt issues and debt collection lawsuits.

• Skeba emphasizes the importance of taking action to resolve debts and avoid long-term consequences.

• He provides information on how to contact lawyers for legal advice and mentions the plans to create a network of attorneys in other states for referrals.