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Posted in Paying Your Bills
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NotSoDebtFree

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Judgement disappeared from credit report.... but then I get bank levy notice
'm a California resident, and back in 2009 I was sued by Arrow Financial for $7000 as I was unable to pay my credit card (originally $3500). I found the papers on the ground outside my door and foolishly ignored them. In early 2015, the judgement disappeared from all three of my credit reports. I thought I was in the clear.

This week (Merry Christmas 2016!) I got a packet in the mail from a neighboring county's sherrif's department explaining that "The judgement creditor seeks to levy upon property [...] ANY AND ALL ACCOUNTS IN THE JUDGEMENT DEBTOR'S NAME" with my SSN listed. The documents are clearly official and legitimate. I now owe more than $13,000 and am accruing interest at more than $2 a day.

Currently, I still have access to my bank account and its (meager) assets are not frozen. I am disabled and receive Social Security; I know that is protected. I have some questions. Any help would be greatly appreciated. Thank you very much!

1) I've prepared a Claim of Exemption form along with a Financial Statement and a Declaration. Should I mail it immediately to the sheriff's office? I can definitely show financial hardship and I have 10 days to return it.
2) I have mixed funds with the bank account including gifts and small revenue from side jobs. My bank balance is generally kept very low (less thatn $2,000). Are future Social Security and other deposits at risk in case the account is frozen?
3) Why isn't my bank account frozen yet?
4) Can my bank account be frozen at all due to the Social Security direct deposit if I keep the balance at or below the deposit amount?
5) Should I call the law office that is representing (the now defunct) Arrow Financial and attempt to negotiate with them?
6) If I make a payment plan deal with them, will my debt reappear on my credit report?
7) After 10 years the judgement expires unless they renew it. Are they likely to renew it? Can I run out the clock for the next two years?
8) Since the judgement is gone from my credit report -- can it ever re-appear?
9) Since the judgement is gone from my credit report -- am I obligated to pay it?
10) Is there any possibility I can get the judgement dismissed due to financial hardship?
11) Is there anything fishy about this? How is the plantiff Arrow Financial Services? Why wait 7 years to attempt to levy my bank account? Is this even legal? Other thoughts?

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