Bank levees are one of the most powerful weapons in the collections arsenal. When a levee is filed, the account holder can suffer irreparable financial consequences. Skilled New Jersey debt collection lawyers can explain your best legal options whether you are a creditor pursuing a debt or a debtor facing a bank levee.
Procedure for Obtaining a Bank Levee
A bank levee is a specific type of collection tool available in certain circumstances if a debt goes unpaid. Like all collections actions, a creditor must first obtain a money judgment in court. Therefore, if you are a debtor, you will have the opportunity to be heard before the judge if you feel you do not owe the debt. It’s therefore critical that you seek qualified legal counsel if you are served with a lawsuit. If the plaintiff/creditor prevails in the lawsuit, he or she will have the option of filing a bank levee. The plaintiff must have information that the debtor has money on deposit sufficient to pay all or part of the debt.
How a Bank Levee Impacts the Debtor
A bank levee essentially allows the creditor to put a hold on the debtor’s bank account until the money judgment is satisfied. This means that the debtor/account holder may not have access to his or her funds pending the resolution of the collections matter. Clearly, this can cause significant negative financial consequences and it’s important to understand defense options.
Defending Against a Bank Levee
As indicated above, debtors should contact an attorney as soon as they receive notice that a lawsuit has been filed or even before. Attacking a bank levee will generally require proof that the levee itself is defective. In most cases, courts do not let debtors rehash underlying defenses to the debt itself. A skilled collections lawyer can discuss ways to aggressively defend your case.
Our office has experienced New Jersey debt collection attorneys who can counsel you and help you develop an aggressive strategy for collecting unpaid debts or responding to collections proceedings. To make an appointment with the offices of Snellings Law, LLC call (973) 402-4892.