Are you receiving scary calls from the debt collectors during odd hours? Do you spend sleepless nights worrying about the bill payments? Has the huge debt become a burden for you? If your answer to all these questions is yes, then debt may seem to be a big head ache for you.
Such situations arise when your failing to repay lenders. It is simply useless thinking as to how you’ll be able to consolidate debt. Rather, you should take some effective steps to get rid of debt.
Although, it is not a crime to be in debt, the creditors cannot put you in jail because you did not pay off the outstanding debts.
So, if any debt collector tells that he’ll put you in jail, he is lying and violating the Fair Debt Collection Practices Act.
Can you go to jail for not repaying the debts?
You will not go to jail for ordinary debts such as credit card debts, personal loans, or even payday loans. You should not believe the tricks and lies of the debt collectors.
You need to know that they’ll try their best to get your personal information. You should not provide them any details about yourself.
Keep in mind that they may already have the information about you and the debt that you actually owe but they may not have any connection with the original creditor.
Even if you owe the money, it is against the law for the creditors and collectors to make threats or to threaten you for getting arrested.
Illinois – The problems that happen when you do not pay off the debts
The residents of Illinois are struggling to pay off the outstanding debts and, at the same time, worry about being thrown in jail by the debt collectors. According to the WBEZ report, the creditors have pointed out suitable ways that prevent them from putting the debtors in jail for not making the debt payments.
The debtors who are being issued arrest warrants due to unpaid bills are also increasing in number. The collection agencies can reportedly file a complaint with the court’s appearance and if the defendant does not show up for their hearing, an arrest warrant can be issued in his name.
The practice has been taking place more often in a stagnant economy and the Attorney General of Illinois, Lisa Madigan wants to do something about it. Madigan has told the Wall Street Journal that they cannot allow the debt collectors to misrepresent the courts anymore.
He also added that some sufferers of this practice were put into the jail without knowing that they were being sued due to misleading submitted to the court by the debt collectors.
Mississippi – The situation you face when you do not repay the debts
If you have credit card debts or personal loans to repay, the creditors cannot put you in jail. Though it is against the law to not pay off the borrowed amount on time, it is not a criminal offense.
There are certain situations of debt collection, where you may be dragged to the civil court for not paying off the outstanding bills.
If you fall into debt and do not have the capability to pay it off, the bank or the credit card company may appoint a debt collector agency who’ll help you solve your debt problems.
The agencies call you continuously and send mails regarding the debt payments.
If you do not respond to the calls, the agency may think of taking you to the civil court. If you do not appear at the court, a warrant may be issued against you which may result in going to jail.
In case you do not pay off the taxes on time or try to hide the assets in order to avoid paying a judgment, you may go to the jail.
Furthermore, if you’ve committed fraud in any way in paying off the debt, you may go to prison for that. Some other steps that the lender may take on are either he’ll sue you or sell off the debt to a collection agency.
Any debt collector who threatens to file charges against you is violating the Fair Debt Collection Practices Act. You may report the Federal Trade Commission and the state attorney general against such threatens.
Missouri – The difficulties you find when you do not pay back the debts
Going to jail for a debt in Missouri is something very rare that happens here. There is nothing as such called a debtor’s prison in the place called Missouri. Even though a judgment is taken against you, you cannot go to jail for the judgment.
But you can go to jail for a reason that is related to the judgment. After a judgment is entered against you, the creditor can ask you to come to the court and answer the necessary questions about your assets.
If you fail to appear at this examination, which is called a debtor’s exam, a warrant may be issued against you by the judge.
If you’re being stopped by the police while the warrant is running, you may be taken to jail.
Although it is uncommon for a Missouri judge to issue warrants for the debtor exams, it can happen here too. So, it can be said that you may go to jail for a debt in Missouri.
Accumulating too much debt and not repaying them on time may lead to unnecessary troubles. You will then have to think how you can reduce debt problems.
If you are amongst the ones who have huge debts to pay off, you should try to get rid of them as soon as possible. You need to know that the different states have different laws related to debt problems.
So, if you are residing in any of the above states, make sure you enquirer about the laws properly and try to eliminate debts soon. You may have to go to jail in case you do not reduce debts on time.