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Title: Welcome to Debtors' Prison, 2011 Edition
Source:
Wall Street Journal
URL Source: http://online.wsj.com/article/SB100 ... 4396504576204553811636610.html
Published: Mar 17, 2011
Author: JESSICA SILVER-GREENBERG
Post Date: 2011-06-25 08:01:19 by lucysmom
Keywords: None
Views: 4105
Comments: 7
Some lawmakers, judges and regulators are trying to rein in the U.S. debt-collection industry's use of arrest warrants to recoup money owed by borrowers who are behind on credit-card payments, auto loans and other bills.
More than a third of all U.S. states allow borrowers who can't or won't pay to be jailed. Judges have signed off on more than 5,000 such warrants since the start of 2010 in nine counties with a total population of 13.6 million people, according to a tally by The Wall Street Journal of filings in those counties. Nationwide figures aren't known because many courts don't keep track of warrants by alleged offense. In interviews, 20 judges across the nation said the number of borrowers threatened with arrest in their courtrooms has surged since the financial crisis began.
The backlash is a reaction to sloppy, incomplete or even false documentation that can result in borrowers having no idea before being locked up that they were sued to collect an outstanding debt. The debt-collection industry says such errors are extremely rare, adding that warrants usually are sought only after all other efforts to persuade borrowers to pay have failed.
snip
Illinois regulators are investigating the use of warrants by debt collectors and other financial firms doing business in that state. In September, the Illinois Department of Financial and Professional Regulation issued an order seeking to revoke the license of Easy Money Express Inc. The Paducah, Ky., payday lender won arrest warrants against at least four customers. One spent five days in a Carbondale, Ill., jail last March after failing to pay a $275 debt, court filings show. The lender "exploited the court system to obtain the arrest and incarceration of its customers," said Sue Hofer, a spokeswoman for the agency. The company declined to comment but is fighting the state's proposed ban.
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#1. To: Badeye, A K A Stone, hondo68, Fred Mertz, Godwinson, go65, war, no gnu taxes, Skip Intro, ferret mike, jwpegler, brian s, mcgowanjm, Capitalist Eric, Mininggold (#0)
The Paducah, Ky., payday lender won arrest warrants against at least four customers. One spent five days in a Carbondale, Ill., jail last March after failing to pay a $275 debt...
Five days in jail at public expense for a $275 debt doesn't sound cost effective to me.
It is our responsibility to protect that child once that child’s born too. When we start debating a budget, let’s make sure we don’t cut 100,000 vaccines. Let’s make sure we’ve got health insurance. We seem to worship what we cannot see, but as soon as that baby’s born, oh no, we don’t want to be intrusive. Texas is going to shrink government until it fits inside a women’s uterus. Senator Leticia Van de Putte
#2. To: lucysmom (#1)
Bee-zar fer shore...
America...My Kind Of Place...
"I truly am not that concerned about [bin Laden]..."
--GW Bush
"THE MILITIA IS COMING!!! THE MILITIA IS COMING!!!"
--Sarah Palin's version of "The Midnight Ride of Paul revere"
I lurk to see if someone other than Myst or Pookie posts anything...
#3. To: lucysmom (#1)
payday lender won arrest warrants against at least four customers
The justice system is as corrupt as the rest of government. Remove the funding for 95% of government.
Vigilantes kept the streets of San Francisco safe, until federally funded organized crime, LEO's took over.
97% of elected D&R officials would be hung by the neck until death, if the justice system wasn't so corrupt.
"We (government) need to do a lot less, a lot sooner" ~Ron Paul
Obama's watch stopped on 24 May 2008, but he's been too busy smoking crack to notice.
#4. To: hondo68 (#3)
Vigilantes kept the streets of San Francisco safe
Unless you were Irish or Chinese.
#5. To: lucysmom (#1)
Five days in jail at public expense for a $275 debt doesn't sound cost effective to me.
Depends on the specifics. Is this the first time for the offender?
Proxy IP's are amusing.....lmao
#6. To: hondo68 (#3)
Vigilantes kept the streets of San Francisco safe, until federally funded organized crime, LEO's took over.
Maybe, maybe not. It's said the vigilantes contolled the pres at the time.
It is our responsibility to protect that child once that child’s born too. When we start debating a budget, let’s make sure we don’t cut 100,000 vaccines. Let’s make sure we’ve got health insurance. We seem to worship what we cannot see, but as soon as that baby’s born, oh no, we don’t want to be intrusive. Texas is going to shrink government until it fits inside a women’s uterus. Senator Leticia Van de Putte
#7. To: mininggold (#4)
Unless you were Irish or Chinese.
Well if they were too lazy to have their own vigilantes, then they deserve whatever they got.
"We (government) need to do a lot less, a lot sooner" ~Ron Paul
Obama's watch stopped on 24 May 2008, but he's been too busy smoking crack to notice.
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