When an individual in debt does not pay, the creditor may sell that debt to a consumer debt collection company. Debt collectors will then contact the individual who owed the money and try to get payment on the debt. In the past, debt collectors may have used unfair and abusive tactics in pursuit of getting individuals to pay off their debts.
If you are on private land such as a supermarket car park the “fine” is not actually a fine and will have come from a private company. Private parking charges are unenforceable in Court although they will often sell these “fines” to a private company and they will hassle you. Simply refer them to the driver of the car but don’t say who the driver is. That should get rid of it. Expect them to write to you lots of times but you can simply ignore the correspondence. A friend of mine has been getting letters from a Debt collection companies in respect of his overstay in a supermarket car park, for the last two years. He simply ignores them.
So, what are the bank’s assets? Interestingly, I’ve just covered part of that. One type of asset is the “deposit” which actually consists of the check you just transferred to your account. It was a loan, an IOU from the bank. Banks will count the small amount of vault cash on hand as a type of asset, also. But most of the bank’s “assets” are all the promises to pay. In other words, its loans.
In California I am not currently aware of people being issued arrest warrants for owing purely personal debt but be aware of situations that could amount to debtor’s prison. Courts always maintain that they put people in jail for violating a court order and not for owing debts and thus they get around the constitutional prohibitions. Some creditors in some states have used this loophole to just get a judge to order payment of the debt and when payment is not made then the judge issues an arrest warrant for failing to follow a judicial order. This amounts to the exact same thing as a debtor’s prison.
Once arrested, you get to appear in front of the court, pay some substantial fines and costs (this is the revenue source) and then have to make arrangement to pay the judgment. It’s hard to do that from a jail cell.
Debt collectors will try to pursue the debt even after the statue of limitations on the debt is up. Do not allow yourself to be intimidated by their bullying tactics. Calmly take down their information, deny the debt, and tell them to stop calling you if not you will take legal action against them. If you acknowledge the debt, or agree to pay them, it may be possible that the statute of limitations is no longer valid.
Lastly, any terms you agree upon with this debt you should attempt to get in writing or insure the phone conversation is recorded at least. This is to cover your tracks as nobody wants to pay a few thousand dollars to a debt that’s already charged off then determine if they still owe money on the debt. Ensure the debt will probably be considered paid in full when the check clears. You can requests all of this in writing before you commit to making the payment. Most collection agencies will be glad to do this since they simply want someone to pay back the debt.