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Press Release - Sep 30th 2010

DOES DEBTORS JAIL EXIST IN THE 21st CENTURY OR IS THIS A SCARE TACTIC USED BY CREDITORS


Does Debtors Jail Exist in the 21st Century or is Arresting Consumers for Non Payment of Debt a Scare Tactic. Is Going to Prison for Not Obeying a Court Order to Pay a Debt the Same as Just Not Paying the Debt and Facing Imprisonment.
 
Los Angeles…Pay your bills or go to jail. Debtors prison prior to the 19th century was a common way in which people with unpaid debt were punished. Is this a scare tactic? On the other hand, is history repeating itself?
 
In a recent article published on MSN Money, Teresa Mears tells the story of a Minneapolis resident arrested for non -payment of a $250 debt. The Minneapolis Star Tribune recently reported that there has been an increase in use of arrest warrants for debtors in Minnesota has risen by 60%.
 
Minnesota attorney JD Haas says.“The claim that people are put in jail for debt in the US is false.  No one is put in jail in the US for failing to pay a credit card debt, but they can be put in jail if they ignore a court's order.” Haas works with consumers in financial difficulty. He is supported with automated software and outsourced marketing by Morgan Drexen.
 
In 1977 the Fair Debt Collection Act was instituted in order to protect people from verbal or possible physical harassment from bill collectors. Gone are the days that people have to worry about being hounded, threatened or sent to a 'debtor's prison' by those whose job it is to collect on delinquent funds.
 
It seems that being imprisoned for not obeying a court order to pay a debt; is different to simply not paying the debt. The confusion has lead to several frantic calls from consumers. “
 
Becky Morley engaged with The Hoeg Consumer Law Group she admits. “ I was concerned when I read this article. What if I was pulled over for a traffic violation? They could haul me off, if there was a warrant against me. What would happen to my children? I am their sole provider.”
 
Attorney Karen Hoeg says, “ My clients have access day or night with any concerns they have. Our debt resolution program offers access to an attorney, to avoid any adverse effects from severe financial problems.”
 
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