Our client retained us after her bank account was frozen for $6,000 one
day. Like many New Yorkers, she woke up and now could not pay any of her
bills and was left with no money to live because her account was frozen
for a debt that she had completely forgotten about. She once had a credit
card with Discover Bank and was in collections when she fell on hard times
and couldn't pay her monthly bills. She did not know that Discover
Bank had actually sued her for this debt in Kings County. Discover Bank
was represented by Forster & Garbus who regularly represents many
creditors for collecting and suing on defaulted accounts. This Firm has
handled and handles cases with Forster & Garbus daily getting excellent
results for consumers.
Because our client had no idea that she was sued, she did not know that
a judgment was entered against her. Once a judgment is entered, it can
stay on your credit report for up to 7 years, but it collects New York
State judgment interest at 9% annually for up to 20 years. A default judgment
can severely hurt your credit and leaves you at the mercy of the judgment
creditor because if they find out where your bank accounts are, then they
can freeze them for up to double of what you owe, or garnish your wages
for up to 10% of your pre-tax wages.
Once this client hired us, we were able to quickly get her an excellent
settlement, saving her 60% off of what she owed; getting her bank account
unfrozen; and getting Forster & Garbus and Discover Bank to agree
to vacate or remove the judgment against her like it never existed in
the first place.