re prior question – about credit card co withdrawing funds from our personal acct
Our bank account is frozen by a credit card company with the same bank. Are they allowed to freeze the account completely – as our pay is direct deposited and we use this account solely for mortgage, groceries, gas, insurance and taxes. We have no other source of income – and credit cards were torn up last year.
they intend to keep acct frozen until $21,000 more is paid – this will take us at least 6 months – we have 3 children and can’t even buy groceries.
When I called the collection department – the lady was screaming at me so loudly that my ear is still ringing – I had to hand up – she would not listen or answer any questions that I had – she continued to scream – I sure hope that that call was recorded.
I know you’re going to tell me to contact a trustee – and I have – I’ve talked to 2 extensively – but the reason I hesitate hiring a trustee is that they can’t answer my questions.
When the bank has invoked the right of set-off they have the ability to seize any funds within their institution until all outstanding arrears within the institution are paid in full.
The result is you have two options: a) open a new bank account with an institution you don’t owe money with; or b) apply for protection under the Bankruptcy and Insolvency Act (BIA).
In order to apply for protection under the BIA you are correct that you will have to meet with a licensed trustee and under normal conditions I would suggest if you were not comfortable with the trustee you originally met with to contact another.
However, when you have met with multiple trustees and are not comfortable with the answers you have received from either you must consider: a) whether the questions you asked were clearly phrased; or b) if it was the answers themselves that you were not comfortable with.
You must remember that a trustee is an officer of the court and bound to ensure all applicable legislation is complied with. The result is a trustee has very little leeway when discussing the options under the Bankruptcy and Insolvency Act. If you want confirmation on things you can feel free to utilize services such as this blog to ensure you understand the options available.